, border closures and working from home have all helped Aussies save for home deposits, which is expected to drive home prices up even further.
Credit rating agency Fitch said low interest rates in Australia have also started , potentially pricing out first home buyers.
“Government programs, such as support for FTB in Australia, have also incentivised purchases,” the said.
Lending to first home buyers in Australia made up around a quarter of overall lending in March 2021, according to the Australian Bureau of Statistics. That’s around 10 per cent higher than four years ago.
Previously Fitch anticipated Australia home prices would rise around 12 per cent in 2021, but they now anticipate they will rise up to 16 per cent.
Another reason for the rise in home prices is lockdowns because hybrid work situations mean there is .
“Hybrid working looks likely to become the norm for at least the next year, as does the desire for more space and the acceptance of longer commutes,” Fitch said.
Aussie home prices booming
in the month of June, recent CoreLogic data revealed, bringing annual growth in the 2020 financial year to an eye-watering 13.5 per cent.
Dwelling values in every single capital city grew over the blockbuster year, with Darwin marking the most meteoric growth at 21 per cent, followed by the nation’s capital of Canberra at 18.1 per cent.
ABS data shows that Aussies borrowed $75 billion in the first four months of 2020, compared to a record $48 billion in the first four months of 2020.
According to a Finder survey, the vast majority of economists agree that for the average Aussie, with experts blaming wage growth and .
Interest rates are rising, rents are going up and the cost of living is the highest it’s been since the 1990’s. So, if you don’t already have a budget in place it might be time to put one together. Making a budget can be tedious, or even overwhelming but it can really help you feel more on top of your finances and hopefully save some money too.
Premier Investment shares have soared to a four-month high after the Smiggle, Just Jeans and Peter Alexander brand owner announced an almost five per cent rise in full-year profit and a share buyback of up to $50 million.2m in statutory net profit after tax in the 12 months to July 30, up 4.
US stock indexes have slipped as worries of a global economic downturn from aggressive central bank rate hikes and risks of potential contagion from a turmoil in UK markets turned investors risk averse.Out of the 11 S&P; sector indexes, six of them dropped more than 2.
Wall Street has ended sharply higher following its recent sell-off, helped by falling Treasury yields, while Apple dropped on concerns about demand for iPhones.The strong gains came after the S&P; 500 on Tuesday closed at its lowest since late 2020, dragging US stocks further into bear market territory.
An emergency fund is a great way to cover those unexpected costs that crop up because life can be unexpected. You might lose your job, your car might need repairs or you might get hit with a big dental or medical bill. But despite the best of intentions 1 in 5 Australians say they don’t have any emergency savings to fall back on at all. So how do you build an emergency fund - and how much should you aim to save? In a perfect world experts say that you should have 6 months salary stashed away, but if this just isn’t realistic for you - then set something that is - after all something is better than nothing.
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