According to the institute, outer or regional suburbs are the most popular suburbs for young buyers as they are more affordable. In the metropolitan context, the most popular suburb for young buyers was Craigieburn, followed by Pakenham, Point Cook, Berwick and Tarneit.
These suburbs have median house prices ranging from $315,000 to $460,000, which translates to average mortgage repayments of around $2,000 to $3,000 per month. In the regional context, the most popular towns were Traralgon, Mildura, Shepparton, Warrnambool and Grovedale.
The median house prices ranged from $222,000 to $364,800, which equated to average mortgage repayments of around $1,300 to $2,300 per month. The REIV predicts that as housing density increases in the inner city, there will be an increasing number of young buyers in the outer-growth areas. However, current volumes are low compared to the outer suburbs. “
As housing is at more affordable levels than it was a few years ago and the supply of new homes is at healthy levels, there are many opportunities for young people to get a start in the property market,” an REIV spokesperson told Real Estate Business. According to the REIV, around 19 per cent of all individual mortgage holders are aged under 30 - a slight increase from 18 per cent in 2006.