Tenants are now becoming home-buyers
- Posted By Shiral Alexander
There is a shift happening where tenants are transitioning into homeownership. This may be an opportune moment for those who aspire to buy their first home.
Many renters are choosing to invest in a property rather than continue paying higher rental fees due to the current shortage of rental properties.
Additionally, first-time homebuyers can take advantage of the Stamp duty savings program by the Government.
According to PropTrack's findings, 20.9% of homes in Australia are presently more affordable to purchase than to rent, and the highest percentage of such dwellings is located in the Northern Territory, where 94.4% of properties fall under this category.
The information was collected end of December 2022 and encompasses both houses and units.
According to Paul Ryan, a senior economist at Proptrack, "In particular, unit prices are typically close to pre-pandemic levels, but are now seeing rapid rent increases. So, I think many of these could be close to being cheaper to buy than rent – if not now, then soon as rents are expected to keep rising strongly over 2023."