- The Sydney housing market has got to the point where first home buyers need to save at least AU$100,000 to buy into a market like Sydney.
- In most cases, banks offer a joint loan, meaning both parties are paying back one loan as opposed to the bank splitting one loan for each part.
- While joint loans offer a solution for first home buyers, it’s fraught with risk because each party is totally liable for the entire loan.
For many young people in Melbourne and Sydney, getting a foot in the door of the property market is all but a pipe dream. Take Sydney, for example. In Sydney, the median house price has jumped by 55% in three years to AU$1.6 million.
The same is true for the wider Australian property market whose growth has been fuelled by low interest rates and burgeoning buyer demand.