CONFIDENCE has swelled among first-home buyers and their dream of breaking into the property market has received a giant boost, new figures show.
First-home savers accounts have experienced their biggest injection of cash since their inception four years ago, with prospective buyers stashing record amounts, latest figures from the Australian Prudential Regulation Authority show.
FHSA balances saw their biggest growth since they were introduced in 2008, climbing by about 20 per cent in the June quarter from $298.3 million to $359.5 million.
More than $61 million was stashed away in the accounts in the final quarter of the 2011-12 financial year. There are now more than 38,300 accounts with an average balance of $9386.
FHSAs accounts were introduced under the Rudd government, allowing first-time property hopefuls to save and receive bonuses for putting aside cash to go towards their first property purchase.
Fifteen financial institutions offer first-home saver accounts, including Teachers’ Mutual Bank, which has seen huge growth in FHSAs.
Chief executive Steve James said the accounts were a great way for first-home buyers to make their dream of buying their first property come true.
“The number of young people coming in and opening up accounts has grown by 40 per cent, it’s a great way to save,” he said.
“I think now in a lower interest rate environment, first-home buyers are looking around and these are a great way for them to save.”
Brisbane couple Bryant and Monique Lamb are among those using an account to save for a deposit for their new home.
“For us it’s like our ultimate Australian dream to have our own home so this is basically giving us the headstart that we really needed,” Ms Lamb said.
“It’s tough to get a break and get ahead, so this grant is a great opportunity.”