Strong demand to continue from first home buyers

Strong demand to continue from first home buyers

14 September 2009 by Staff Reporter 0 comments

Agents can still expect to see strong sales to first home buyers over the coming months despite the wind-back of the beefed-up FHOG.

More than 200,000 Australians are expected to take their first step on to the property ladder this year thanks to low interest rates and government handouts.

Figures from the Australian Bureau of Statistics showed first home buyer sales peaked in May at 19,000.

Robert Mellor, managing director of BIS Shrapnel, said he expected between 15,000 and 17,000 first home sales to occur each month for the next five months.

If this is the case, the number of sales for the 2009-2010 financial year would rise above 200,000 – almost double the number of the past two financial years when approximately 130,000 people purchased a home for the first time.

Despite the full first home buyers grant ending in a few weeks, Mr Mellor said he was confident that house and unit prices as well as house sales at the lower end of the market would remain stable.

He said NSW and Victoria would lead the pack for first home buyer sales.

“Queensland is more vulnerable because the land is more expensive and infrastructure charges are higher.”

 

Agents can still expect to see strong sales to first home buyers over the coming months despite the wind-back of the beefed-up FHOG.

More than 200,000 Australians are expected to take their first step on to the property ladder this year thanks to low interest rates and government handouts.

Figures from the Australian Bureau of Statistics showed first home buyer sales peaked in May at 19,000.

Robert Mellor, managing director of BIS Shrapnel, said he expected between 15,000 and 17,000 first home sales to occur each month for the next five months.

If this is the case, the number of sales for the 2009-2010 financial year would rise above 200,000 – almost double the number of the past two financial years when approximately 130,000 people purchased a home for the first time.

Despite the full first home buyers grant ending in a few weeks, Mr Mellor said he was confident that house and unit prices as well as house sales at the lower end of the market would remain stable.

He said NSW and Victoria would lead the pack for first home buyer sales.

“Queensland is more vulnerable because the land is more expensive and infrastructure charges are higher.”

 

promoted content
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast
reb top 100 agents 2016

With a combined sales volume of $13 billion in 2016, the Top 100 Agents ranking represents the very best sales agents in Australia. Find out what sets them apart and learn their secrets to success.

featured podcast

featured podcast
REVEALED: The 10 best agents in Australia for 2017

For the first time ever, the top 10 agents in the REB Top 100 Agents ranking are revealed in this exclusive podcast. ...

View all podcasts

Are dodgy agents being punished enough?

Yes (8.6%)
No (55%)
Only in some states (2.3%)
Not all dodgy agents are being found out (34.1%)

Total votes: 220
The voting for this poll has ended on: April 15, 2017
Do you have an industry update?