Are Young People Being Priced Out of The Property Market?

"When I speak with women specifically I want to focus on them as people not just as a group or the gender "woman"."
-Katherine Hann
August 8, 2017

Are Young People Being Priced Out of The Property Market?

By Katherine Hann

Are Young People Being Priced Out of The Property Market?

We’ve been seeing a slew of media reports about the soaring house prices Australia-wide, and we’ve certainly heard a lot of talk about ‘bubbles’ and ‘entitlement’.

Our government is working at applying more pressure to financial lending practices for investors- which tells us they’ve seen the problem too.

But is the situation really as bad as it sounds, or are we just too focused on hotspot areas around Sydney and Melbourne?

The March residential prices from the ABS (found here)
give us a better idea of what is really going on. Investor activity has caused a boom in certain pockets around Australia.

Perhaps you’ve heard something about your state becoming an investor haven, but where? If you’re looking near the CBD or a trendy suburb then
this may be your cause for worry.

While property prices from March 2016-March 2017 have increased by 14.4% in Sydney, they have decreased by 5.9% in Darwin, and Adelaide has only seen a
5% increase.

Yes it’s true that the proportion of owner-occupier loans to First Home Buyers was at 13% in February, which is a small comparison to the proportion of
loans to investors sitting at 50%.

This does mean it is harder for those just starting out- but doesn’t mean it is impossible.

It is important to focus on what you can do, not what you can’t control.

If you’d like some help with selecting investments or budgeting, I can help you get there, so don’t hesitate to give me a call or send me an e-mail and
we can arrange a no-obligation meeting to discuss your financial goals.