When you’re a first homebuyer, it can seem like there’s a lot of conflicting information, especially when it comes down to buying now or not. Melburnian Hannah Canon has decided to wait…
Hannah is one of four sisters, and they all have the same goal: to buy a home before they hit 30. Each week we’ve been following their property journeys closely.
Hannah is the only one of her sisters who has no plans to purchase in the next two years or so, and has just started her own small business. She and her partner also have two small dogs, so their future property needs a little bit of outdoor space for her ‘fur babies’.
To wait or not to wait?
Choosing whether to dive into the market or continue to save is one of the toughest questions facing first homebuyers.
Hannah is at the early stages of her property journey. Picture: Eugene Hyland
While Hannah and her partner’s finances have reached the point where they can consider purchasing, they’ve chosen to hold off a little longer in the hope that the stars will align perfectly.
And now the proposed First Home Buyers Scheme which, if introduced as planned, may allow some buyers to secure a home with a 5% deposit could potentially bring their first home even closer.
Yet Hannah says they’re still in no rush.
“We are now in a position where we can confidently look at properties knowing that the financials are now a bit more in our favour,” she says.
“At the moment we are working hard to save and keeping an eye on market conditions and properties of interest. We’re not in an immediate rush but we’d like to enter the market in the next six to nine months.”
Discover more smart ways to save for a home deposit to get ahead.
Is the ball now in the buyer’s court?
The market may now be starting to favour first homebuyers like the Canon sisters. Picture: Eugene Hyland
While in previous years, waiting to purchase may have meant being priced out of the property market as house prices continued to boom, the recent slowdown has buyers like Hannah optimistic about what they might be able to achieve by holding fire.
“I would love a warehouse with renovation potential … but would be happy with a unit or townhouse,” she says.
“It must have a small backyard for the fur babies, within 20km of the city and with good public transport access.”
What to prioritise in the race to buy?
Hannah says that while some buyers are hell-bent on buying particular properties in particular suburbs, she’s prepared to be flexible if it means getting into the market sooner.
“We are flexible on size. As long as it’s got two bedrooms with a small backyard or courtyard we are happy,” she says.
“And we’re flexible with location, in that we’re not tied to one suburb. As long as its within 20km of the CBD we would be happy to give it a go.”
As long as it’s relatively close to the city and got two bedrooms, Hannah isn’t too fussed. Picture: realestate.com.au/buy
Hannah says saving hard for a deposit is a tough reality for most first homebuyers, but every little bit counts.
While it was important that she and her partner took a long-term approach and made a few lifestyle changes, she says that hasn’t meant depriving themselves of a few things that are important to them.
“There’s no sugar coating it — renting while trying to save a significant deposit has its challenges, especially while wanting some small luxuries,” she says.
“It’s a balancing act, and some months unexpected things can tip the balance but we try to stay focused without being too hard on ourselves.”
“We’re prepared to sacrifice holidays and travel and we’ve reduced our brunching. But we’re not prepared to sacrifice op shopping or date nights.”
Puzzled about your own journey towards home ownership? Learn how ANZ’s First Coach can help you.
This article was originally published on
20 Jun 2019 at 9:22am
but has been regularly updated to keep the information current.