Aussie dream in reach

Best suburbs for deposits

FIRST-HOME buyers might feel jaded by the huge price rises across the Queensland property market, but new data shows they are still in the game in more than 900 suburbs across the state.

REA Group crunched the numbers to reveal where firsthome buyers could buy under the federal Home Guarantee Scheme price caps, finding 905 suburbs across Queensland where median house prices fell below those caps of $700,000 (southeast) and $550,000 (rest of Queensland).

Under the national scheme, first-home buyers can purchase a home with a deposit of just 5 per cent, with the government guaranteeing the other 15 per cent, removing the need for expensive Lenders Mortgage Insurance (LMI).

Beyond the state’s southeast corner, first-home buyers get even more bang for their buck, with 665 suburbs boasting median house prices below the $550,000 cap. It comes as The Bright Starters Report, a collaboration between Canstar and Hotspotting, revealed where first-home buyers could save a deposit the fastest.

The inaugural report found 107 suburbs across the nation that were within reach of firsthomebuyer budgets and also offered relatively good growth prospects.

It considered median house prices and average salaries in each region, and then calculated how long it would take a single or couple to save a 10 per cent or 20 per cent deposit plus costs.

Hotspotting property expert Terry Ryder said the key for first-time buyers was to target the lower end of the market, partner up and borrow 90 per cent.

“It’s not just about affordability for first-home buyers,” he said.

“They also want desirability and the knowledge that their home will grow in value over time.”