A local estate agent says rapidly rising interest rates are preventing young buyers from entering the housing market.
Fair Commission Property Sales director Stephanie Gordon said the current market had dealt a blow to many young buyers aged 18 to 30.
“The rising interest rates are preventing these young Australians from buying a home and are more or less forcing them to buy a unit to get onto the market,” she said.
“The average home in the Redlands is now around $700,000 which is just ridiculous for young buyers.”
Ms Gordon said it was not looking positive for the younger generation unless they were wanting to buy into units or townhouses.
“Townhouses, units or apartments are still available, and you can still get these types of properties for around the $500,000 mark or a bit less,” she said.
“It is just getting harder and harder for our poor young Australians to get into the property market.”
Ms Gordon said it was more difficult for young buyers to step onto the property ladder in the Redlands compared to areas like Logan.
“It is a lot easier to buy into Logan, as everywhere in the Redlands has gone up,” she said.
“There are no areas left in the Redlands that are possible to buy into at an affordable price.”
She said there was no particular area in Redlands that would be a good entry point for young buyers.
“It has got to a stage where everywhere in the Redlands are all at very similar prices,” Ms Gordon said.
“Capalaba and Alexandra Hills used to be the lower price areas to buy into, but now they are very much equal to other areas.”
Ms Gordan said young buyers should be looking for main road properties.
“Looking at properties on main roads like Vienna Road or Finucane Road, will more likely match a pre-COVID property price,” she said.
“Although they are the type of properties that no one really wants as much, they are the types of properties available to get you onto the property ladder.”
Ms Gordan said properties with three bedrooms and one bathroom on a 600sqm block were the most common property type young buyers were interested in.
“Unfortunately, young buyers are generally going for more than they can afford now and either downsizers or investors will outbid them,” she said.
Ms Gordan said many young buyers were unaware they could sign up to portals such as Realestate.com.au and Domain to receive instant alerts when properties come on the market.
“Buyers are able to login to these portals and select the specifics of what they want to purchase and receive instant alerts as soon as a property which matches the description comes on the market,” she said.
“These alerts come from every real estate agent which makes it much easier than having to call up one real estate agent at a time.”