First Home Buyers make way for investors

Tuesday, 29 September 2009

Investor activity is ramping up, with Aussie Home Loans recording a 32 per cent increase in the number of investor enquiries via their website. Aussie founder and executive chairman Mr John Symond said as of Thursday the $14,000 grant for established homes is reduced to $10,500, and from $21,000 down to $14,000 for new homes. “Investors have been patiently waiting on the sidelines to see what happens after the First Home Owner’s Grant is reduced,” Mr Symond said. “There has been a price bubble created in some areas as first home buyers have paid over the odds for their properties. For investors in that same price range, it has been prudent to sit back and wait for the grant to be reduced.” Mr Symond said a number of factors had come into play making it a good time to enter the property investment market. “Increased consumer confidence, high rental yields and a continued shortage of housing is pointing to a “perfect storm” of conditions for property investors,” he said.