It now takes an average four years and two months to save a deposit for an entry level house, which is four months faster than a year ago, according to new data from the Domain First-Home Buyer Report.
“Brisbane bucks the trend really in terms of what we’re seeing across our other cities, and while it doesn’t have the quickest time to save, it’s seen more favourable conditions over the past year,” said Domain senior research analyst Nicola Powell.
“It was the only city to see a decline in time for houses while for units it remained stable.”
So what has helped Brissie’s first home buyers get their deposits together sooner?
Tax cuts and compounding interest on savings have helped speed up the savings but the pandemic has also offered first timers a leg up in some cases.
“I think over the past 12 months, we’ve all saved more, and for first-home buyers, it has supercharged their savings pot … the pandemic has also really unlocked an element of affordability,” Dr Powell said.
“For those first-home buyers who can work from home, they are able to now seek different locations to reside, which opens the door to affordability.”
Check out the average time to save a deposit around Australia.
Time to save a deposit for an entry-level house:
· Sydney, $770,000, 7 years and 1 month
· Melbourne, $631,000, 6 years and 1 month
· Brisbane, $429,000, 4 years and 2 months
· Adelaide, $405,000, 4 years and 1 month
· Perth, $395,000, 3 years and 7 months
· Hobart, $455,000, 4 years and 11 months
· Darwin, $440,000, 3 years and 8 months
· Canberra, $691,000, 6 years and 9 months
Time to save a deposit for an entry-level unit:
· Sydney, $590,000, 5 years and 5 months
· Melbourne, $440,000, 4 years and 3 months
· Brisbane, $340,000, 3 years and 4 months
· Adelaide, $278,000, 2 years and 10 months
· Perth, $275,000, 2 years and 6 months
· Hobart, $390,000, 4 years and 3 months
· Darwin, $248,000, 2 years
· Canberra, $397,000, 3 years and 5 months
Ready to buy your first home? View our current listings for sale. Need a little help to get started? Contact us for a chat.