The recent decline in property price growth has aroused interest by first home buyers in entering the Australian property market. It is crucial for serious mortgage providers to capture this market. This report analyses data and builds a picture of the mortgage market and specifically, the role of first home buyers in this space. The report analyses innovative techniques used around the world.

• This report analyses data from several different sources to build the first time buyers market in the context of the mortgage market in Australia
• This report analyses the success of products already in the market for first time buyers in; it also includes products about to be launched.
• The report concludes with forecasts of lending commitments to FTB to 2010. This data is presented on a national and state/territory basis.


Highlights



In terms of volumes, there was a peak of AUS$24.4 billion in 2005, up from AUS$18.2 billion and AUS$17.1 billion in 2004 and 2003 respectively. Hence, the increased level of FTB lending has been a major contributor to the recent growth in the owner-occupied mortgage market.





Shared appreciation mortgages significantly improve the affordability for property buyers. These loans allow people to borrow more and choose properties that were previously out of reach. However, shared appreciation mortgages had a negative impact in overseas markets and lenders will have to work hard to deflect negative international experiences.



Reasons to Purchase


• Detailed analysis on housing lending commitments in Australia from several sources
• Detailed analysis of the products available to first time buyers including products that are to be launched in 2006
• Provides forecasted lending commitments for Australia and also each state/territory up to 2010