Article published 01 November 2021
Why Perth is perfect for your first home
1 Record low rates
Buying your first home is such an exciting milestone, and luckily there has never been a better time to buy your first home in Perth! With record low rates, housing affordability still strong in Perth and with government incentives galore, there’s lots to take advantage of right now as a first home buyer.
2 Cheaper to buy than rent1
In October 2021, the Perth median house price is $524,5892 and while this has been increasing, it is still lower than the majority of the other capital cities across Australia. In fact, because of the record low home loan rates we’re experiencing - it’s now actually cheaper to buy than rent in 112 suburbs across Perth!3
3 Strong housing growth
However, Perth property experts are predicting 15% house price growth over the next 12 months,4 so if you’re looking to buy it could be wise to get in quick before prices continue to rise.
If you’re eager to buy your first home, it really pays to be prepared with your finances right now. Homes are selling quicker than ever before, with a median of just 18 days on market, compared to 50 days at the same time last year.5 Competition in the Perth property market is seriously heating up!
So it’s important to chat with a mortgage broker about your options and getting home loan pre-approval so you can be confident when putting in offers and help fast-track your home loan application.
First Home Buyers Grant and what it means for you
When you’re buying your first home, you may be eligible for the First Home Owners Grant (or FHOG). In WA, it is a cash grant of $10,000 for first home buyers who are buying or building a new home. Unfortunately though, it is no longer available for those looking to buy an established property.
When buying in the Perth metropolitan area, in order to be eligible for the First Home Owners Grant, the property you’re buying can be worth up to $750,000. This is well above the median house price in Perth, so it’s a great incentive to help you buy your first home.
A great benefit of the FHOG is the funds can actually be considered as a deposit for your new home to help you buy your first home sooner!