Some New South Wales real estate agents say not enough is being done to support first home buyers buying established homes rather than new properties.
Real Estate Institute of New South Wales Young Agents Chapter Chair Eddy Piddington said restricting incentives to new builds hasn’t worked.
“First home buyers can’t afford to or don’t want to purchase new properties, and as a result many young people now don’t want to buy at all,” he said.
According to a recent report from BankWest only 16,577 first time buyers purchase homes in the NSW over the year, down from 29,590. – a drop of 44%.
“It is also taking first home buyers in NSW an average of 4.7 years to save a 20 per cent deposit of $100,900, the longest of any state in the country,” said Mr Piddington.
“Incentives for first home buyers purchasing existing properties must be reintroduced or NSW must face the reality that they will relocate out of the state where it is more affordable.”
The NSW Government removed assistance for existing properties in October 2012. In June 2013, the $15,000 First Home Owners Grant on new homes was extended to 1 January 2016.