Busy time ahead for first home buyers
REAL estate agents expect to be run off their feet, following the State Government's announcement of a raft of new incentives for first home buyers.
The biggest incentive is the abolition of stamp duty for all homes up to $650,000 and a gradual reduction for homes up to $800,000. There is also a $10,000 grant for builders of new homes up to $750,000 and purchasers of new homes up to $600,000, plus the removal of insurance duty on lenders mortgage insurance (LMI).
McGrath Estate Agents Coffs and Sawtell Principal Martin Wells has welcomed the incentives, and is expecting a busy time ahead.
"I think it'll actually assist our local buyers more than the big city buyers," he said.
"But our problem is on the supply side; it doesn't alleviate the problem of a short supply of properties available to buy at the moment."
The number of property listings has remained very tight during most of 2017, which has seen prices rise and the time properties spend on the market greatly reduce.
"Average days on market can be as low as a week in the first home buyer price bracket," Mr Wells said.
Mr Wells said most local first time buyers are spending between $400,000 and $500,000, with many ideally looking for a four-bedroom home with two living areas and a yard.
State Government figures show buyers in this bracket will save as much as $18,768 for buyers of existing properties and $28,768 for new home buyers.
"The incentives are putting people in a better position to get secured in their own home and off the rental wagon," Mr Wells said.
"With supply so low, it's also a great time to sell."
The incentives come into effect from July 1.