SC Brokers Network’s Post

Investors, first-home buyers eager to secure properties as prices continue to rise - Following 14 months of consecutive home price growth and the recent pause on interest rates, investor and first-home buyer activity is rising and is showing a marked increase from the previous year. New lending data from the Australian Bureau of Statistics show that the value of new loan commitments for housing has risen by 13.3% to $26.4 billion during the year to February 2024. This was driven by strong annual growth in loans to first-home buyers and investors. They respectively increased by 20.7% and 21.5% over the year. Investor lending now accounts for 36% of all new lending which is the largest share since January 2017, while home buyer lending constitutes close to 19% of all new lending. This share is below the pandemic peak but well above the 10-year average of 16.4%. But what does this all mean? This reflects the fact that demand from these buyers is strong and is likely to rise despite the borrowing conditions being more difficult than what was seen during the pandemic and this could be due to a number of factors. While interest rates are now higher compared to previous years, they have stabilised recently and the market predicts that we may be at peak with decreases to come. This has removed some uncertainty in the market, and lifted the confidence in those who are looking to buy. - - - #property #finance #newyfinance #newcastlensw

𝐈𝐧𝐯𝐞𝐬𝐭𝐨𝐫 𝐚𝐧𝐝 𝐅𝐢𝐫𝐬𝐭-𝐇𝐨𝐦𝐞 𝐁𝐮𝐲𝐞𝐫 𝐀𝐜𝐭𝐢𝐯𝐢𝐭𝐲 𝐒𝐮𝐫𝐠𝐞𝐬 𝐀𝐦𝐢𝐝𝐬𝐭 𝐑𝐢𝐬𝐢𝐧𝐠 𝐏𝐫𝐨𝐩𝐞𝐫𝐭𝐲 𝐏𝐫𝐢𝐜𝐞𝐬 As home prices continue their upward trajectory for the 14th consecutive month and interest rates remain stable, investor and first-home buyer interest in the property market is on the rise, signaling a notable increase from previous years. According to the latest lending data from the Australian Bureau of Statistics, the value of new loan commitments for housing surged by 13.3% to reach $26.4 billion in the year leading up to February 2024. This growth was primarily driven by a robust annual increase in loans to both first-home buyers (20.7%) and investors (21.5%). Investor lending now comprises 36% of all new lending, marking its highest share since January 2017. Similarly, home buyer lending constitutes nearly 19% of all new lending, surpassing the 10-year average of 16.4% but remaining below the pandemic peak. In addition to their increased share of new lending, investors and first-home buyers are also demonstrating heightened interest, as evidenced by an 11% increase in enquiries from investors and a 7% increase from first-home buyers between the 2023 December quarter and the 2024 March quarter. Despite the challenges posed by tighter borrowing conditions compared to the pandemic era, the sustained demand from these buyer segments suggests underlying strength in the market. Factors such as stabilizing interest rates and a perception of reaching a peak in the market, with potential decreases on the horizon, have contributed to increased confidence among prospective buyers, driving their eagerness to secure properties in the current landscape. 𝑆𝑜𝑢𝑟𝑐𝑒: 𝑅𝑒𝑎𝑙𝑒𝑠𝑡𝑎𝑡𝑒.𝑐𝑜𝑚.𝑎𝑢 #australianmarket #australianproperty #investmentproperties #realestateeducation #economy

𝐈𝐧𝐯𝐞𝐬𝐭𝐨𝐫 𝐚𝐧𝐝 𝐅𝐢𝐫𝐬𝐭-𝐇𝐨𝐦𝐞 𝐁𝐮𝐲𝐞𝐫 𝐀𝐜𝐭𝐢𝐯𝐢𝐭𝐲 𝐒𝐮𝐫𝐠𝐞𝐬 𝐀𝐦𝐢𝐝𝐬𝐭 𝐑𝐢𝐬𝐢𝐧𝐠 𝐏𝐫𝐨𝐩𝐞𝐫𝐭𝐲 𝐏𝐫𝐢𝐜𝐞𝐬 As home prices continue their upward trajectory for the 14th consecutive month and interest rates remain stable, investor and first-home buyer interest in the property market is on the rise, signaling a notable increase from previous years. According to the latest lending data from the Australian Bureau of Statistics, the value of new loan commitments for housing surged by 13.3% to reach $26.4 billion in the year leading up to February 2024. This growth was primarily driven by a robust annual increase in loans to both first-home buyers (20.7%) and investors (21.5%). Investor lending now comprises 36% of all new lending, marking its highest share since January 2017. Similarly, home buyer lending constitutes nearly 19% of all new lending, surpassing the 10-year average of 16.4% but remaining below the pandemic peak. In addition to their increased share of new lending, investors and first-home buyers are also demonstrating heightened interest, as evidenced by an 11% increase in enquiries from investors and a 7% increase from first-home buyers between the 2023 December quarter and the 2024 March quarter. Despite the challenges posed by tighter borrowing conditions compared to the pandemic era, the sustained demand from these buyer segments suggests underlying strength in the market. Factors such as stabilizing interest rates and a perception of reaching a peak in the market, with potential decreases on the horizon, have contributed to increased confidence among prospective buyers, driving their eagerness to secure properties in the current landscape. 𝑆𝑜𝑢𝑟𝑐𝑒: 𝑅𝑒𝑎𝑙𝑒𝑠𝑡𝑎𝑡𝑒.𝑐𝑜𝑚.𝑎𝑢 #australianmarket #australianproperty #investmentproperties #realestateeducation #economy

With each month, buyers eagerly await the latest update from the Reserve Bank of Australia regarding the cash rate, as it informs their borrowing capacity and maximum budget when looking for a property. Holding steady at 4.35% since November 2023, nothing has changed, leaving buyers constrained by the reduced borrowing capacity from higher interest rates. Even though the cash rate hasn’t fallen, it leaves buyers optimistic about the prospect of a reduction in the future as the RBA isn’t bouncing between different rates, however, an uptick in buyer demand won’t likely happen until borrowing capacity improves. Since May 2022, the borrowing capacity of buyers has been slashed by around 30%, and paired with a tough serviceability assessment, many buyers are waiting on the sidelines for interest rates to drop. On the other hand, investors are operating with a sense of urgency as they assume buyers will flood the market once rates start coming down. Investor demand for home loans increased by 35.4% over 12 months to July compared to a 21.4% increase for owner-occupier loans, setting investors up for large potential gains when demand recovers. A drop in interest rates could see property in Sydney surge to fresh highs across the market, which is why cashed-up savvy buyers should look to take advantage of the opportunity. At Rose & Jones, we are experts at helping buyers negotiate the very best deal, leaving more room for gains when the tide eventually turns and interest rates fall.

Loan Gallery Finance would like to share some insights into what's developing in the mortgage landscape. The year has commenced with several encouraging indicators. Consumer confidence is rising, suggesting stronger borrower sentiment in the coming months. We are witnessing real wage growth beginning to materialise, which should help alleviate some of the pressures households have faced over the past year. The most recent inflation data, released by the ABS last Wednesday, shows a continued downward trend toward the RBA’s target band of 2 to 3 per cent, thereby providing stability to the economic outlook. While the RBA has signalled potential rate cuts for 2025, they are taking a cautious approach, carefully weighing global economic factors, including the possible impact of proposed United States tariffs on China, given its importance to Australia's trade position. This could influence Australia's domestic inflation management strategies. These conditions suggest a more active year ahead. Combining improved consumer confidence and real wage growth may bring more buyers back to the market. Throughout it all, Loan Gallery supports you amid these changing housing market conditions. If you want to purchase, build, or refinance, contact 03 9495 5000 or hello@loangallery.com.au to discuss your needs. #homeloan #mortgage #refinance

📈 Will home prices keep rising over the next year? 📈⁣ ⁣ The past 12 months have seen national home values increase by 8.3%, according to CoreLogic.⁣ ⁣ But a new report suggests we might not be done with the gains just yet. 😮⁣ ⁣ Domain is predicting national house prices to rise 3-6% this financial year.⁣ ⁣ The biggest gains are forecast for Perth (8-10%), Adelaide (7-9%) and Sydney and Brisbane (6-8%)**.⁣ ⁣ Remember though: these are predictions, not facts. 🔮⁣ ⁣ That’s why the ‘right' time to buy is when you feel ready.⁣ ⁣ Talk to us to understand your borrowing power, and we'll help match you with a home loan that’s right for your needs. 👇⁣ ⁣ To find out more, DM us or contact Belfast Wealth Management on: ☎️ – 03 5568 2940 💻 – fp@belfastwealth.com.au #mortgagebroking #homeloan #portfairy #warrnambool #hamilton #koroit #westerndistrict * Belfast Lending Pty Ltd (Credit Representative Number 502388) & Amy Harman (Credit Representative Number 503318) are Authorised Credit Representatives of outsource Financial Pty Ltd, Australian Credit Licence Number 384324. Your complete financial situation will need to be assessed before acceptance of any proposal or product. All applications will be subject to lenders terms & conditions. At Belfast Wealth (ABN 64 619 571 505), we are committed to protecting your privacy. We use the information you provide to advise about and assist with your finance needs.

Absolut Updates: Four Interest rate cuts expected in the Next 12 Months. - Australian Financial Markets now predict four interest rate cuts within the next 12 months, the first such forecast since RBA rate hikes began in May 2022. - ASX's RBA Target Rate Tracker anticipates the first 25 basis point cut in February, followed by three more cuts by August. - This suggests the RBA could reduce rates at four out of its eight scheduled meetings next year. - The current RBA could reduce rates at four out of its eight scheduled meetings next year - The current RBA Official Cash rate is 4.35% with the average owner-occupier variable discounted rate at 7.07%. - Rate cuts would provide significant savings for home owners on their mortgage repayments - The RBA target rate tracker uses 30-day interest rate futures to assess the probability of changes to the overnight cash rate - Several lenders cut fixed and variable home loan rates for both owner-occupiers and investors in early September, indicating banks expect lower variable rates soon. Finder Analysis shows that four rate cuts could save the average Australian home owner $5,076 annually on mortgage repayments. Please note that this information is for educational and informational purposes only and should not be considered as financial advice. Always consult with a professional financial advisor before making any investment decisions. #mortagebrokermelbourne #mortgagebrokersydney #AbsolutFinancial #mortgageBrokers #FinanceBroker #BusinessPurchase #HomeLoans #InvestmentLoans #PropertyInvestment #CommercialLoans #FirstHomeBuyer #Refinance #australiamortagebroker #DevelopmentLoans #AssetFinance #PersonalLoans #Australia #TeamWork #ClientFirst #PartnershipSuccess #Melbourne #MelbourneFinance

𝗧𝗵𝗶𝗻𝗸𝗶𝗻𝗴 𝗮𝗯𝗼𝘂𝘁 𝗯𝘂𝘆𝗶𝗻𝗴 𝗮 𝗵𝗼𝗺𝗲 𝗶𝗻 𝟮𝟬𝟮𝟱? The property market is evolving, bringing both opportunities and challenges for buyers. Whether you’re saving for your first home, upgrading, or investing, staying informed about the latest trends can help you make confident and informed decisions. Here are five key trends to keep an eye on in 2025: 𝟭. 𝗜𝗻𝘁𝗲𝗿𝗲𝘀𝘁 𝗿𝗮𝘁𝗲𝘀: 𝗔 𝗰𝘂𝘁 𝗺𝗮𝘆 𝗯𝗲 𝗰𝗼𝗺𝗶𝗻𝗴 After holding steady throughout 2024, interest rates are poised for potential cuts, with some economists predicting reductions as early as February or May, depending on inflation and economic conditions. Lower borrowing costs could make home loans more affordable, encouraging increased activity in the property market. However, rising demand could eventually push prices higher later in the year. Keeping an eye on Reserve Bank of Australia decisions will be crucial for buyers looking to secure favourable loan terms before the market responds to this increased activity. Check back tomorrow for my next tip.

𝗨𝗽𝗱𝗮𝘁𝗲: The Bank of England kept interest rates at 5.25% in May. With inflation targeting 2%, confidence is returning, and a small rate cut is expected after the general election. ��� 𝗛𝗼𝘂𝘀𝗲 𝗣𝗿𝗶𝗰𝗲𝘀 - Average Price: £280,660 in February, down -0.2% year-on-year, up 0.4% monthly (ONS). - Local Trends: 64% of UK homes see falling prices annually, down from 82% in October 2023 (Zoopla). -Asking Prices: Rose by 1.1% in April to £372,324, annual growth at +1.7%, highest in 12 months (Rightmove) 🔄 𝗧𝗿𝗮𝗻𝘀𝗮𝗰𝘁𝗶𝗼𝗻𝘀 -Sales: 84,200 in March, highest since September 2023, down -6.5% year-on-year (HMRC). -Agreed Sales: Up 13% year-on-year, with a 20% increase in the largest homes (Rightmove). 📊 𝗗𝗲𝗺𝗮𝗻𝗱 -Mortgage Approvals: 61,325 in March, highest since September 2022, up 1.4% monthly (Bank of England). -Buyer Enquiries: Positive for the third month (+8%, RICS). -New Sellers: Up by 12% year-on-year (Rightmove). 𝗜𝗻 𝗦𝘂𝗺𝗺𝗮𝗿𝘆 Lenders are easing approval criteria, leading to enhanced competition and improved rates and products. This creates an opportune moment for relocation, with a steady market ahead. While the market favours buyers, the relative nature of home moves allows for offsetting value loss on the current property with gains on the new purchase. Despite assumptions, asking prices remain stable, with location playing a crucial role, and adjustments often necessary for successful sales. #HousingMarket #PropertyPrices #Rotherham

Thinking of buying a home in 2025? Here are some of the major trends likely to shape the market, according to CoreLogic’s research director, Tim Lawless: 1. Cash rate cuts: The Reserve Bank of Australia is expected to begin its rate-cutting cycle in 2025. This will likely improve consumer sentiment and increase borrowing capacity for buyers. 2. Macroprudential policies: Along with interest rate cuts, we may see the Australian Prudential Regulation Authority adjust the mortgage serviceability buffer to a lower level. 3. Overseas migration: Net overseas migration is expected to slow even further, after declining in 2024. “Less migration is likely to flow through to a further easing in rental demand, and, over the medium term, reduced demand for home purchasing,” said Mr Lawless. 4. Affordability: Housing is expected to become more affordable as incomes are projected to outpace growth in housing values. #propertymarket #Sydneyproperty #homeloans If you’re looking to buy a home in 2025, 3LANE Finance can help you secure a home loan. We specialise in helping professionals – from accountants and lawyers to engineers and architects – with property, commercial and vehicle loans. For more information, contact us at enquiries@3lane.com.au and 0402 110 025.