Australia: House prices consistent in rising.
Getting into the housing market has always been a struggle says Reserve Bank governor Glenn Stevens. According to him, it’s a bit daunting now because the amount of the deposit that you need to accumulate is larger.
Anyone who tries to get into the property market even at a time of low interest rates, will first face the biggest challenge: a home deposit that requires more savings over a long period while the prices keep rising.
He says that in 2000, it took about 5 years to save up for 20% of a capital city house price and now it’s more like seven years.
Will Keall of non-bank lender Homeloans says a first home buyer needs to be realistic about where they can afford to buy and focus on what they can afford.