Global financial firm Macquarie expects expats to leave Britain and return home after Brexit, hence bringing about higher demand for Australian homes.
The anticipated impact of Brexit on Australia is mostly negative, like falling stock prices, weakening of the Australian dollar, and lower credit ratings. However, it can also boost population growth faster, make locals think twice about moving abroad, and eventually, bring more support to the housing market. There is now “potential for a less negative house price outlook,” said Macquarie economic analyst James McIntyre.
Aside from overall uncertainty in the United Kingdom due to its decision to leave the European Union, analysts also point to the 10 per cent dip in the sterling’s value as another reason why working in Britain became less attractive to around 100,000 Australian expats in the UK. And even with the lower value of the pound, expats returning to Australia can still afford to buy property.
Unfortunately, that is not the case for first home buyers who want to enter the property market. A survey of more than 1,000 Aussies shows that 72 per cent of the respondents fear not being able to afford a property in their dream location.
Other first home buyer concerns include paying too much for a property, ongoing maintenance costs, saving for a deposit, property values going down after they buy, personal sacrifices involved in buying a home, qualifying for a home loan, buying in the wrong location, meeting ongoing repayments, committing to staying on the same property, and buying the wrong property type.
Collections: Mortgage News
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