Despite high interest rates and rising property prices, first-home buyers in Australia are entering the market at a rate above the ten-year average.

According to PropTrack senior economist Eleanor Creagh, Victoria is their top focus.

Creagh highlights that tighter rental conditions are encouraging those who can afford it to buy sooner.

Government schemes, grants, concessions, and expanded eligibility have also been key in helping first-home buyers get into the market.

Data from the Australian Bureau of Statistics shows that in August 2024, Victoria led with 3,089 first-home buyer loans, followed by New South Wales with 2,333 and Queensland with 2,076. Western Australia saw 1,294, South Australia 612, and Tasmania 175.

Creagh explains that Victoria’s relatively steady prices and broader choices are supporting this trend, especially as Melbourne’s price growth has been more subdued compared to cities like Brisbane, Adelaide, and Perth.