The ‘fear of missing out’ is driving the first-home buyer’s property market, according to ME Bank Quarterly Property Sentiment Report.
Around 51% of first-home buyers say they intend to buy in 2020. This compares to only 39% of investors who plan to buy this year.
“The recent property price recovery has likely nudged first-home buyers to get in while they can – as though it’s ‘now or never’ – and has created a sense of FOMO,” ME’s general manager Andrew Bartolo said.
“Low-interest rates and commentary in the market for the support of first-home buyers may have also contributed to an increase in home-buying intentions.”
Investors were less optimistic, but Steve Jovcevski, a property expert at nance comparison site Mozo, expects investor activity to rise in 2020.
“APRA dropped the serviceability ratio just a few months ago, so it does take time to ow through the market and for investors’ confidence to return,” he says.