Page 21 - Tropic Magazine Issue 27

TROPIC • REAL ESTATE

House hunting

PROPERTY LADDER
With record low interest rates
on offer, it may currently
be cheaper to buy than rent
in Cairns.

Thinking about jumping off the rental
merry-go-round and climbing the
property ladder instead? For house
hunters – particularly first home buyers particularly first home buyers. do, so you can go out into the market with
who can access a grant for new homes – “Just buy. It’s an ideal time right now, due confidence and find the house that you
the financial planets have aligned. There’s to a combination of things,” he said. want and that you can afford.”
been some strong sales activity according “Interest rates are relatively low, rent Botanica Property Group Director Robert
to the latest Herron Todd White Cairns prices are relatively high, and then you Wallace also told Tropic “there’s never been
Watch report, which found sale volumes have the government incentives too. a better time to buy a house in Cairns”.
for houses and units in Cairns have “Houses are still quite affordable in “Those wanting to buy their first home
“regained the levels that were in existence Cairns, and the main challenge is would be crazy not to take advantage of
prior to COVID-19”. This has been fuelled probably finding the right house and all of the government incentives at the
by a combination of factors and market getting in in time.” moment, like HomeBuilder and the First
forces including record low interest rates, Mr Phillips advises those who are Home Loan Deposit Scheme,” he said.
upward pressure on rents due to low thinking about taking the leap into “We’re taking calls daily from people
vacancy rates, and a treasure chest of homeownership to come into Cairns in Sydney, Melbourne and other cities
potential government grants on offer. Bank and have a chat. wanting to move to a regional area.
As a result, the region’s seeing faster sales “A number of people are just not certain “They’re also seeing that properties in the
periods and a small rise in prices. whether they’re able to do this, but it’s not Cairns market are selling very quickly,
Cairns Bank CEO Peter Phillips told Tropic as scary as it seems if you’ve got the right with lots of local people also wanting to
that “a number of planets have aligned” advisors,” he said. buy their first home here.”
to create an ideal market for buyers, “We can explain to you what you need to

Renting vs buying EDMONTON

Tropic compares the cost 3-bedroom home
of renting vs buying in two Listed for sale at $319,000
Cairns suburbs.
Rent
It’s clear the time is right to $365/week
buy a home or apartment – as Mortgage
the following figures based $285/week over 30-year loan term
on realestate.com.au median
house and apartment prices $321/week over 25-year loan term
show. Mortgage repayments are
calculated using Cairns Bank’s
fixed rate of 2.99% and based on
principal plus interest repayments CAIRNS NORTH
over both a 30-year and 25-year 1-bedroom unit
loan term. We’ve also incorporated Listed for sale at $142,500
some government fees and charges Rent
and a 10% deposit. Unless you’re
a first home buyer who’s eligible $290/week
for the Federal Government’s First Mortgage
Home Loan Deposit Scheme, you’ll $127/week over 30-year loan term
also need to factor in the cost of $143/week over 25-year loan term
mortgage insurance if your deposit
is under 20% of the purchase price.

21 • tropicnow.com.au