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Some more interesting figures from the AFG report show that it's likely a large number of FHBs went for honeymoon rates: Check out February 2009 compared to a year earlier, a whopping 4x the number of buyers went with the intro rate. In a market where the majority of FHBs were borrowing...

Note the percentage of FHBs at the peak, 28%, now around 13% after the removal of the FHOG "boost" (though this data only accounts for 10% of overall figures, I believe that is representative enough of what will be seen in ABS stats). Also note the loan size drops in January (from December...

First-home buyers struggle as interest rates rise January 31, 2010 Not really surprising, I'm sure we'll see more articles like this over the year as the over leveraged FHBs realise they've bitten off more than they can chew.

There won't be any margin calls as there is no leverage in my portfolio. Actually willair, real estate prices started to drop in 2008, IMO that is why the government introduced the double FHOG to prop up the market. It worked, but will prices continue to stay propped up and rise without the...

Gold/Silver Stocks. I drew a LOC against the property (now own freehold as sold the house) and purchased heavily around August/September last year before Gold flew past $1000. Property was/is a great investment vehicle for a lot of reasons, I just don't think it's going to do well short to...

So you're going to dismiss the crowd getting it wrong for the last 8 years and only concentrate on one corresponding 9 month period...?

So in other words, let's change the measuring stick to prove housing is affordable? Well I would like to see the data over a long period and on the same chart as growth, a few years in a bull market is hardly a fair sample. In general a higher percentage of people expecting something is a good...

Maybe rents will increase to appease investors, maybe prices will drop, maybe both.

These are not assumptions Neophyte, while I'm sure there are FHBs that save up larger deposits, in early 2009 when the purchasing power was at it's greatest, OVER 55% of FHBs were borrowing at an LVR of 90% or greater (with over 30% specifically at 95%+). Refer Fujitsu/JP Morgan "Australian...

Quite interesting the effect that available LVR has on ability to borrow/purchase, this little graph may also help to put it in perspective: http://blogs.domain.com.au/lvrgraphic.jpg

I've seen some posts skeptical of a 2009 FHB bubble, so I put some figures to paper and came up with the below: Jane & Johnny Income $35k pa (each), $30k net ($2500 pm, $5k net combined pm) In all scenarios $7k will be subtracted from deposit for stamp duty/costs to borrow/pest & building...