Readers discuss: How to make it easier for first home buyers
SHOULD there be more incentives for first homebuyers?
This was the question posed on The Northern Star's Facebook page along with a news article in which the president of the Real Estate Institute of NSW, John Cunningham, said there were no "meaningful incentives" for first homebuyers.
Mr Cunningham said the State Government's decision to add a 4% stamp duty surcharge on residential property bought by foreign purchasers, plus 0.75% land tax surcharge for foreign owners, would create a $1 billion windfall.
But he said none of the benefits would be passed on to those struggling the most - first homebuyers.
Over on our Facebook page, a discussion ensued.
Ashlee Darragh said: "We are trying to save for our first home. I wish they would bring back the first home owner grant (not just for brand new homes) or the stamp duty exemption because those costs on top of deposit are what the killer is. The cost of living these days and rents skyrocketing it's certainly makes it hard."
Ködy Holmes said: "Bring back the incentive for all homes. Not just brand new homes. The cycle should be first home buyers buying older homes and older families building new. Renovate and better yourself. Instead of having it all from the word go. The world today think going without is below the living standard..."
Daniel Clemmett said: "First home buyers should be stamp duty exempt."
Bill Roberts said: "The Government (Tax Payers) could become a co-owners in a property with the option to buy out the Government when there is enough equity in the property or the purchaser can remortgage. This would be better than handing out dead money with no return, this way the tax payers would benefit as they would make money from interest and build the countries wealth and savings. This would allow first home owners to purchase the property without a deposit and funds for costs. The Government could also legislate that if the purchaser defaults causing foreclosure then the Government receives their money before any bank or lending institution and obviously the purchaser. This is a simplified scenario but I believe it would work and allow everyone to own a home, either new or old. The other benefits would be increased housing activity and increased employment."
Emma Betterridge said: "Sacrificing is a part of home ownership. If you can't afford to buy in the town that you work/rent, you buy something out of town that you can afford. You go without an ensuite, or a 3rd bedroom, or a big yard if you can't afford it."
Michael Behan said: "As a former banker, it amazed me to see the number of first home buyers who wanted double car garage, 4 bedrooms, pool, spa, a "mcmansion" on salaries that would not cover a basic 3 bedroom house!
Seems it is not owning your first house, but one better than the neighbours or family!
You buy what you can afford, them when everything is settled and you earn more, maybe think of buying bigger, however renovating would be cheaper (as I advised many to do)."