Low deposit mortgages help fuel first home buyer activity

First home buyers (FHBs) are maintaining a near-record market share at 27%, driven significantly by low-deposit mortgages. According to CoreLogic, FHBs utilize 75-80% of banks' low-deposit lending allowance, with two in five purchasing with less than a 20% deposit.

This activity is supported by more available listings, which give buyers greater choice and weaken price pressures. While falling mortgage rates will help, a housing boom is unlikely due to the current recession and job losses.