Genworth Financial today launched a ‘Graduate Package’ aimed at helping graduates to enter the property market sooner.
The initiative, catering to first home buyers (FHBs) offers easier access to lender’s mortgage insurance for high-density dwellings and reduced minimum time in employment requirements.
Genworth chief executive officer Ellie Comerford said the initiative comes in response to industry concerns over further contractions in the segment and the need for product innovation to bolster demand.
“We recognise all lending segments are facing a tough time as FHBs continue to be held back by affordability issues and consumers remain cautious,” Ms Comerford said.
“Our Graduate Package acknowledges many FHBs are tertiary qualified with high income growth potential but, due to the short time in their career, haven’t been able to save for a deposit.”
First home buyers rose to 16.4 per cent of total owner-occupied housing finance commitments in September 2011 from 15.4 per cent in August 2011.