First home buyers are considering homes across state borders as the rapidly surging Australian property market forces them to get creative, new research has found.
One in five first home buyers are now considering buying in a different state or region, or around 2,362 people a month, Finder’s First Home Buyers Report revealed.
It found New South Wales first home buyers were more open to buying interstate than buyers in Queensland and Victoria, and that many buyers are widening their searches to take advantage of the current ultra-low interest rates and to escape rocketing house prices in their home area.
NSW buyers were the most likely to look in the ACT or Queensland, while 28 per cent of first home buyers are looking in regional areas.
Across both Queensland and Victoria, buyers considering moving are most likely to look at the ACT or NSW.
However, Finder home loans expert Sarah Megginson said buyers should always remember to do their research before buying, and avoid jumping in due to a fear of missing out.
“You’re better off spending a few more months getting your finances into shape and waiting until you can comfortably afford your mortgage repayments, regardless of what other people might be doing,” she said.
“Focus on your own timeline. Think about things you can do to cut costs and speed up your deposit savings. If you’re still keen to buy sooner rather than later, purchasing interstate could be for you.”