Why it’s hard to save for a deposit | JR Prosperity Partners


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Why it’s hard to save for a deposit

Every day Australian’s now need to save for at least a year to scrape together a decent deposit for a home in any of the capital cities. 

In some areas, deposits are up to 3 times the annual income!

It’s no secret that housing values have soared in the last 12 months alone, above where even experts expected, forcing them to re-evaluate their position on growth expectations. 

And this has pushed potential buyers further and further out of the market, having to rely on government incentives and the bank of Mum and Dad to help get into just a starter home. 

In Sydney alone, with a median house price of$1,499,126, the 20% deposit needed would be $299,825. How achievable is that for the majority of Australian’s? 

Not very right? 

It’s more than triple the average income in Sydney. 

And experts are taking notice, saying that the road to property ownership has become harder and harder to travel, especially in the last 2 years during the pandemic, where we’ve seen housing values consistently rise, supply at an all-time low, and FOMO is rampant with buyers snapping up anything and everything for whatever price they can in order to ride the property value wave. 

Many buyers are going to Mum and Dad or asking the banks for more money whilst interest rates are low, but in the future, could homeownership be something for only the privileged? 

Some experts believe it’s a possibility. 

So what can you do today to ensure you can buy as soon as possible without breaking the bank of your back? 

Well at JR Prosperity, we help everyday Australian’s just like you, enter the NSW property market with brand new homes from just $650,000, so if you want to know how then get in contact on 1300 522 562 or email team@jrprosperity.com.au    

When considering an investment property with positive cash flow, it is important to make sure it is suitable for your specific financial goals and objectives. Remember to do your due diligence and if you need advice; JR Prosperity Partners can help you decide if this is the best strategy for you.