A new threshold for stamp duty of $500,000 in Western Australia is doing little to attract first homebuyers into the property market, according to a leading WA real estate agency.
First National Real Estate, one of the largest property networks in the state, is seeing a continued reluctance by first homebuyers to enter the market despite the additional tax incentives.
Krys Tully, director of First National Real Estate WA, said the reluctance reflects ongoing affordability issues plus a lack of reasonably priced housing stock.
She said: "Our offices are reporting little real interest from first homebuyers and this reflects a shortage of stock in the more affordable $350,000-400,000 price range, which is a realistic threshold for most first homebuyers.
"We suspect that those that can afford a property closer to $500,000 are holding back and assessing their options, as there are certainly far more properties available around that price."
Tully believes the WA Government could do more to encourage first homebuyers, promoting schemes for buying with family or friends.
"For many single people it simply isn't feasible to save the required deposit and meet mortgage payments alone. Friends teaming up to buy is a new solution that's emerging, that can often help people get a big step ahead in terms of what and where they can afford to buy."
Whether you are looking to buy your first home, move home, refinance, or invest in property, a mortgage broker can help. Access loans from all the major lenders, get help with paperwork – plus there is no charge for this service. Get help from a local mortgage broker