If you are looking for a home loan in the Kwinana area, you may have a lot more homes to choose from soon. The numbers for March are out and they say new home approvals were at 2.8% in March for an all time high. 19,419 homes were under construction in March. The number hasn’t been that high since 1983.
Multi-unit homes were at an extremely high at 59.2%. The growth for detached homes is at 1.6%, which is a very nice number. The disparity between the levels of growth are attributed to a preference of many Australians for apartments, semi-detached homes and townhouses. The current market upswing has been characterised by moves to higher-density properties.
A few short years ago, many parts of Australia were perceived as having a “housing shortage.” The upswing in both detached homes and units is being attributed to low interest rates and a continuing rise in the population.
In many states, especially Western Australia, the First Home Owner Grant (FHOG) has been adjusted to reward those who build new houses instead of buying established homes. A new home gets a FHOG of $10,000.
What it Means to You
If you are a first home buyer, you may not have a better opportunity to enter the market than you will have in the coming months. The economy is in a “sweet spot” with low interest rates and prices that aren’t really rising a lot right now. Those who decide to purchase a home right now are going to pay a lot less than they will if the wait for another year.
The FHOG is formatted the way it is to stimulate the construction industry. It has been a smashing success in that regard.
Are you ready to see if you can purchase that first home? Call Smartline Rockingham today. We can take some basic information and then “run some numbers” through our network of lenders for you.
To learn more, call (08) 9527 1800 today.