00:00Good news or bad news, depending on whether you're buying or selling. Of course, this
00:06data is from January and shows that across all our capital cities, there's been a drop
00:11in value of about 0.2%, but in the regions, values have grown 0.4%. To rattle off a couple
00:18of numbers from capital cities, Sydney's down 0.4%, Melbourne down 0.6% and Canberra is
00:24down 0.5%, but all the other capital cities are up. Adelaide is up 0.7%, followed by
00:31Perth, Darwin and Brisbane, and Hobart prices have remained flat over January. Darwin's
00:38a bit of an interesting case too, in the three months to January, prices there have risen
00:421.7%, which is quite high for Darwin, and that's just behind Adelaide, which has seen
00:48a real surge in prices, up 1.8% for the three months to January. This is all quite good
00:53news for first home buyers, especially in Melbourne, where prices in the year to February
00:592025 have actually dropped 3.3%, and there's a lot on the market in Melbourne right now
01:05and in Hobart, so it's created a buyer's market for first home buyers.
01:09Rachel, what effect is the Bank of Mum and Dad having on the market?
01:14New data from Digital Finance Analytics, which runs this rolling survey of 52,000 Australians
01:20has shown just how much of an effect the Bank of Mum and Dad is having on the market.
01:26That survey showed that in 2024, for the whole year, 60% of respondents relied on their parents
01:34to get into the market for the first time. Of those people, 80% relied on mum and dad,
01:39but 12% actually relied on their grandparents, and this is quite a new trend that's coming
01:44through of first home buyers leaning on their grandparents to get a deposit, to get a home
01:49deposit, rather than just their parents. About five or ten years ago, those figures
01:54were at zero. There was really no one asking their grandparents for money. Last year, it
01:57was 12%, which just goes to show this generational shift in value and money in the people who
02:05are trying to get into the market and the access that they have to that cash.
02:10Martin North is from Digital Finance Analytics and had a bit to say about that.
02:15This is laying the seed for a long-term problem. The reason that most parents have money to
02:20hand down is because they are sitting in property that's gone up in value. In fact, it's the
02:25accelerated growth in property over a generation or two that has given them the wealth to enable
02:30them to pass it down to the next generation, which means that it's perpetuating a process.
02:36That process will continue for as long as home prices continue to drive significantly
02:41higher relative to the cost of living or to incomes. And secondly, it puts a bigger
02:46wedge between those who have and those who haven't.
02:49Those stats also showed that last year, the amount that first home buyers were borrowing
02:53from the family bank was $112,000, up from $108,000 the year before. But in Sydney, that
02:59figure was $212,000, which really goes to show just how much of an advantage first home
03:05buyers have when they can rely on their family.
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