First home buyers priced out of market
New loans for the construction of housing fell by one per cent in August and loans to buy them fell 2 per cent despite new home approvals climbing one per cent for the month according to the latest data from the Australian Bureau of Statistics. Loans for new homes have been falling for ten months.
First-home buyers accounted for just 15.5 per cent of housing finance commitments, the lowest proportion since mid-2004. JP Morgan economist Helen Kevans said first-home buyers were largely priced out of the market. First-home buyers accounted for 28.5 per cent of all home loans — a record high — as recently as May last year.
Source: Herald Sun