Australia’s Real Estate Back in Demand: Why the Number of Older Homebuyers Has Doubled
MCCARTHY HOMES 344 Bilsen Road, Geebung QLD 4034 (07) 3326 6600
Looking for the right house and land package is often the most stressful and emotionally taxing on a person’s to-do list. But, many Australians believe it is never too late to own a house. There are times when it still makes sense to make the purchase. But, buying a property takes time, especially with today’s cost of living pressures and lifestyle choices. A recent study reveals that two out of every five first-time homebuyers are now aged over 36. The proportion of older buyers has doubled, amounting to 40.5 per cent in just a span of two years. On the other hand, only 18.3 per cent of today’s first-time homebuyers are under the age of 25. With the growing trend, many researchers have tried looking into the reasons behind it.
Money for Down Payment Home purchase brings several financial factors. Industry experts explain that finding the savings for a down payment remains a major barrier when it comes to buying a home. They discover that most first time home buyers are waiting until they are financially stable to manage their mortgage. For older home buyers, it is necessary to look at the financial situation. After age 30 or 35, tackling that first home purchase can be much easier compared to those who are just starting out in their career. They say it is actually better to take the plunge when older, as a person has more money in investments and savings.
Meeting Demands Several researchers claim that many 20-somethings are struggling to meet cost of living demands, so they put home ownership off their to-do list. The current generation of 36 to 40-year-olds face different prospects. The study shows the demographics of people buying properties now is way too different to what it was five and ten years ago. Most young Australians do not encounter a problem when applying for mortgage; it is more about covering the costs in the long run. Settling down in one place is part of the retirement plans of many Australians. The home ownership dream is more achievable as people get older.
Resources: http://www.news.com.au/finance/real-estate/ramsdatacore-two-out-of-fivefirst-home-buyers-in-australia-aged-over-36/story-fndban6l-1227116207895 http://www.mccarthyhomes.com.au/ http://home.howstuffworks.com/real-estate/first-time-home-buying/areyou-ever-too-old-to-buy-your-first-home.htm