Should first time buyers purchase now?

Our Friday poll found that the majority of respondents are looking to purchase in the $300,000 to $400,000 bracket, further suggesting that they may be pushing up against first home buyers.

With 26.9% of readers pointing to the $300,000 to $400,000 bracket, and 62.7% looking to purchase under $500,000 in total, it looks like investors will be driving the affordable bracket.

With investors pouring into the market, and talks of prices rising substantially in some capitals, it’s no wonder that first time buyers are starting to feel the heat.

Of course, there are two waves of thought here. One goes along the lines of ‘get in now before everything jumps in value and prices you out’, while another perspective is ‘wait until there isn’t any competition in the market’.

Similarly, if you’re sitting on a 5% deposit, then the temptation to hold off of entering can be strong.

In fact, investors have recently been blamed for first home buyer woes, and SQM Research announced that first time buyers are already getting priced out of the market.

All this comes at a time when markets are heating up.

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