A slower property market and flattening property prices are pointing to an ideal time for first time property buyers to think about a market entry.
Figures released from the Australian Bureau of Statistics (ABS) today show housing finance activity, that is the value of home loans written, slid in June for the tenth time in a year, to $20.710 billion.
The total number of loans written for owner-occupier borrowers (those buying a property to live in) was down by almost 30 per cent from the same month last year.
With less people purchasing, first time property buyers face less competition in the race to win the property they’re pursuing. And with less competition you’ll also be in a much better position to negotiate with sellers in terms of price.
The good news for price is that a softening in market activity is flowing through to property values.
According to the RP Data/Rismark Hedonic Index released earlier this month, home values across the nation’s capital cities remained flat throughout the three months to June, rising just 0.1 per cent after 17 consecutive monthly gains.