The number of enquiries from friends and relatives wishing to buy a property together has risen 300 per cent, statistics from MyRate.com.au has revealed.
According to the website’s managing director, Kevin Sherman, the increase highlights Australia’s reaction to the tightening of lending criteria since January and the desire to take up the first home owners grant before December.
“First home buyers are realising a bigger deposit is now expected and they simply can’t afford it on their own,” Mr Sherman said.
“Many lenders are demanding greater serviceability on the loan to assure themselves that it can be paid with many younger purchasers being asked to have mum and dad sign on as guarantors.”
Recent Australian Bureau of Statistics figures show the current number of dwellings bought by owner-occupiers is 29 per cent higher than when the FHOG boost was introduced, with first home owners accounting for 95 per cent of the increase.