Almost three quarters of millennials want more housing market regulations in order to slow property prices, according to new data from boutique mortgage brokerage homeloanexperts.com.au.
The company’s Borrower Sentiment Index for June found 40 per cent millennials believed support should come in the form of first home buyer (FHB) schemes, while 30 per cent thought housing market regulations should target property investors.
Comparatively, 53 per cent of gen x felt more regulation was needed, with 37 per cent of those supporting restrictions on property investment and 26 per cent believing support for FHBs was the right method.
The data shows younger Australians are feeling the pinch as property prices continue to rise across the country, with 42 per cent of millennials saying they were priced out of the region they wanted to buy in and forced to search for property elsewhere.
Homeloanexperts.com.au chief executive Alan Hemmings said the data showed why many millennials are looking beyond the traditional home buying criteria when it comes time for them to enter the market.
“After the considerable growth in property prices over the last few months we’re seeing evidence of millennials turning back to the drawing board in order to purchase property,” he said.
“Whether this involves them delaying their purchase, turning to family members to act as guarantor or even considering other options like reinvesting, millennials are being forced to consider other methods in their property journey.
“What we are seeing, as more workplaces embrace flexible working conditions, is more millennials considering suburbs on the outskirts of cities, the ‘goldilocks suburbs’ where they can still commute from one day week, but which offers much better affordability than city hubs.”
Baby boomers faired best in the search, with 60 per cent able to buy the property they wanted without any amendments to their budget or search parameters.
But despite these restrictions, 33 per cent said they still felt it was the right time to buy property, while 74 per cent said the asset was overvalued.