The proportion of first-home buyers relying on help from their parents to enter the property market has more than doubled since the 1970s, helping keep steady the size of loans relative to the value of dwellings, Reserve Bank of Australia research shows.
In a provocative speech by Reserve Bank assistant governor Luci Ellis, the Reserve Bank also challenges much of the moral panic around the difficulties of young people accumulating large enough deposits.
She said a common assumption is that a 20 per cent deposit is required when they first buy. “This isn’t actually true…it doesn’t have to be as high as 20 per cent.”:
It comes as debate about housing affordability rages and the government works on proposals to curb capital …
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