Factors That Can Influence Properties' Sales

Buying a home is a major investment decision, especially for young professionals and couples making their first purchase. Unlike older individuals who may have bigger salaries, more assets to leverage, or simply those who have gone through the home buying process before, younger individuals may have none of these factors working in their favour. This is the reason why the price of the property is a major deciding factor. However, from the data on houses sold, there are other crucial factors which reflect the investment decision of first-time homeowners.

It can be gleaned from data available like number of houses sold as well as home financing plans that some flourishing cities are among the more popular locations for first-time home buyers. At first glance, this may seem counter to the notion that first-time home buyers would opt for properties that are far more affordable. Certainly, the cost of the property is a very crucial factor. However, some analysts pinpoint the recent surge of job opportunities as a major factor first-time home buyers consider when choosing where to buy a house. In fact, two states from a certain country are known for having the largest number of interstate migrants.

But aside from this, there are other factors that have come into play. One of these significant factors is the First Home Owners Boost which was launched in October of 2008. Essentially, this measure was implemented in response to the global financial crisis which extended its impact to the housing sector. At first, the measure was to be implemented until the end of September 2009; those who wanted to build a new home or purchase one were granted $14,000 while those who were purchasing an established home for the first time were granted $7,000. The measure ended in January 2010 but was extended through the First Home Owner grant, wherein those who were purchasing either a new or established home were given $7,000.

Essentially, this measure lowered the barrier which first-time home buyers must hurdle in order to have their first home. Notable, too, is the effect of the stamp duty concession which resulted in the lower costs of owning a new home.

With the combination of these factors, the property market was certainly propped up, despite the fact that a lot of first time buyers, most especially those who are younger, wait considerably longer periods of time prior to making a purchase.

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