Investors make a comeback amid strong market conditions
Investor demand in the Australian property market took a hit in 2020, while an unprecedented level of government stimuli drove a surge in first-home buyer activity. For the first time in more than a decade, the volume of lending to first-home buyers exceeded that to investors.
Initiatives such as HomeBuilder and the First Home Loan Deposit Scheme fuelled this demand, and over the six months between August 2020 and January 2021, first-home buyers accounted for more new loan commitments than investors.
But since February this year, this trend has flipped and investor activity is well and truly in recovery mode.