Craigieburn, Pakenham and Point Cook top the most youthful mortgage markets in Victoria: REIV
According to the 2011 Census, the average age of people holding a mortgage in Victoria was a young 32.
The Real Estate Institute of Victoria (REIV) has estimated that around 19% of all individual mortgage holders are aged under 30 years old.
The REIV set out to find where they were all buying across Victoria.
Given young buyers have not had the time to build considerable savings, not have access to a great deal of equity which means that they are very price sensitive.
It’s therefore unsurprising that the most popular suburbs for them tend to be the more affordable ones which also tend to be in the outer or regional suburbs, the REIV said.
In the metropolitan context, the most popular suburb for young buyers are:
These suburbs have median house prices ranging from $315,000 to $460,000, which typically translates to average mortgage repayments of around $2,000 to $3,000 per month.
In the regional context, the most popular towns are:
The median house prices in these areas range from $222,000 to $364,800, equating to average mortgage repayments of around $1,300 to $2,300 per month.
Their analysis confirmrf the long term trend of young buyers buying in the outer growth suburbs.
"It is reasonable to expect that as housing density increases in the inner city there will also be an increasing greater number of young buyers there.
"However at this point in time, the overall volumes are low compared to the outer suburbs," the REIV said.
This concentration of younger buyers in growing new suburbs has obvious impacts on the provision of services by governments as these families invariably have children and who will require childcare, schools and recreational facilities.
The REIV noted it was interesting to reflect that the majority of mortgage holders, 53%, are aged between 35 and 54 with the highest concentration being between 40 and 44.
Photo of Point Cook courtesy of Lorraine Phelan/flickr.
