First Homebuyers 'Dominate' Enquiries
First homebuyers are dominating mortgage enquiries, a broker has claimed.
Loan Market has claimed that first homebuyer enquiries have hit their highest level in nearly two years. The company's COO, Dean Rushton, said first time buyers accounted for 51% of total Loan Market enquiries in October.
Enquiries from first time buyers were strong across all states and territories, with first homebuyers in Tasmania representing 71% of enquiries.
"After a few years of hibernation, first home buyers are back and are now the dominant section of the market for enquiry. A more favourable interest rate climate, helped by the latest RBA rate cut, is one reason first home buyers have re-emerged," Rushton said.
Rushton stated that first homebuyers were also being propelled into the market by softer house prices, and the impending loss of stamp duty concessions in New South Wales.
Loan Market's claims echo figures released last week by AFG. The aggregator saw a 40% spike in first homebuyer activity for the month, with first time buyers accounting for 16.4% of all loans processed by the company.