There are many reasons to to get into the property market now - here are 5 good ones I think you should consider
Loosening of the Credit Contracts and Consumer Finance Amendment (CCCFA) Act, has made it easier for people to land that home loan. Also, banks are finding it tough with fewer sales making them potential more flexible with their policies.
- Interest rates are peaking (have peaked?) - there have been an incredible number of increases in mortgage interest rates since Oct 2021 - never in our history have they increased so rapidly. BUT they are getting to their peak, if not already, and with commentators not expecting more increases, a period of stability and, in time, a reduction of rates it happy days. BUT, but don't expect rates in the 2's, 3's or even 4's of the pandemic craziness. They are more likely going to settle in the 5's somewhere...assuming there are no more shocks like war, pandemic etc :)
Buyers market…more choice: Another reason to consider getting into the property market now is that it's currently a buyer's market, which means that there's more homes for sale than people wanting to buy a home. This gives buyers more choice and negotiating power, as sellers may be more willing to accept lower offers.
Property value declines are slowing - property values have reduced considerably in the past year or so. When they 'reach the bottom' is anyone's guess but the rate of decline is definitely slowing which indicates there is soon to be a period of price stability and then back into growth again.
Security of owning your own home: Owning your own home provides a sense of security and stability that renting cannot match. You have control over your living space and can make it your own, without worrying about a landlord's restrictions. Additionally, owning a property can provide a financial cushion in case of emergencies or unexpected expenses.
If you are in the property game for the long term there will always be ups and downs with both interest rates and property values. The most important thing to consider is the suitability of the property for you and your family. As I see it, it's only upside for first home buyers wanting to get into a home now, i.e. interest rates will be reducing soon and property values will start to increase soon. So, if you are looking for an expert mortgage adviser reach out below of click here - we'd love to help with your home ownership journey.