Housing affordability has been a hot topic of late, and a topic that no doubt has had many young families worrying if, or when, they’ll ever be able to afford their own home. First-home buyers in Australia’s major capitals are faced with higher housing prices than any generation before them. Property prices and home loan sizes are growing at a rapid pace as Generation Y and Z struggle to make it onto the home ownership ladder. As prices soar, many first homebuyers are flocking to the bank of Mum and Dad, to bridge the mismatch between what the bank is prepared to provide by way of mortgage, and what it actually costs to get into the market.
While many think the outlook bleak, its not all doom and gloom for first homeowners, with the recent launch of the Zero Deposit First Home Loan campaign. Teaming up with developers and builders nation wide, the campaign allows buyers to purchase a modern, new home and land package without the up front deposit. Buyers must simply be eligible for the $15,000 First Home Owner grant.
Perfect for recent graduates and young adults who cant afford the 10% deposit but can afford the periodic mortgage, demand for the Zero Deposit First Home Loan has skyrocketed. The popularity of the Zero Deposit campaign clearly signifies that buyers are eager to get onto the property ladder, but tough lending conditions are stifling activity.