First Choice Home Loans

Canberra scraps stamp duty for first home buyers

From 1 July 2026, first home buyers in the ACT will pay zero stamp duty, regardless of property price or income. The reform, confirmed in the 2026-27 ACT Budget, makes Canberra the first Australian jurisdiction to remove the tax entirely for first-time purchasers.
The financial impact is significant. On a $1 million property, stamp duty currently adds around $32,300 to upfront costs. On a $595,000 unit or townhouse, that figure is approximately $16,800. From July, both amounts drop to zero for eligible buyers.
The relief also extends beyond traditional first home buyers. Pensioners, eligible NDIS participants and people who have not owned property in the past five years are all included, broadening access considerably.

Migration outpacing new housing supply three to one.

Record demand is keeping pressure on housing supply and making it harder for home buyers to enter the market.
ABS data shows that in the 12 months to March 2026, net permanent and long-term overseas arrivals reached 489,300, while net new housing supply added just 174,500 dwellings.
The gap is compounded by a construction sector that is building less than it did a decade ago. Net new housing supply in the 12 months to March 2026 was 14.6 per cent lower than the same period in 2016, while net migrant arrivals over the same ten years increased by nearly 97 per cent.
According to IPA, residential vacancy rates sit at just 1.2 per cent, the average Australian home price exceeded $1 million for the first time in late 2024, and the median age of first home buyers has risen from 24.5 in 2000 to 34.5 in 2022.

Australians are searching for mortgage help in record numbers.

Google Trends data shows searches for "mortgage broker" in Australia have reached an all-time high, surpassing even the peak recorded during the COVID lockdowns of 2020.
Searches for "mortgage stress" hit their highest point in May, while queries for "mortgage help" have exceeded levels seen during the 2008-09 Global Financial Crisis.
The surge comes with some homeowners feeling the financial pressure. Three rate hikes since the start of 2026 have reversed all of last year’s rate relief, pushing the cash rate back to 4.35 per cent. According to Canstar, those increases have added $272 per month to repayments on a $600,000 loan with 25 years remaining.
Roy Morgan research from March found 26.8 per cent of mortgage holders, around 1.45 million Australians, are now at risk of mortgage stress. That figure could climb further if rates rise again at upcoming RBA meetings.
If you're feeling stressed from your mortgage, a mortgage broker can review your current loan and help you compare your options across a range of lenders.

4 things to have ready before applying for a business loan before EOFY

With 30 June approaching, many businesses are looking to secure finance before the end of the financial year. Getting your documents in order before you apply can speed up the process and improve your chances of approval.
Up-to-date financial statements - Most lenders will want to see your last two years of tax returns and financials. Make sure these are lodged and readily available.
Recent business bank statements - Lenders will assess your cash flow and trading history, typically over the last three to six months. Clean, consistent statements make a strong case.
A clear purpose for the funds - Knowing exactly what the loan is for, equipment, working capital, stock, helps lenders assess the right product and structure for your needs.
Your ATO account in good standing - Outstanding tax debts or overdue BAS lodgements can complicate or delay an application. Addressing these before you apply puts you in a stronger position.
A finance broker can help you compare your options across a range of business lending products and guide you through the application process before the EOFY deadline.

Why the EOFY is a great time to finance business equipment

The end of the financial year is one of the busiest periods for equipment finance. Here’s why, and what to keep in mind before you act.
The instant asset write-off - Eligible small businesses can claim an immediate deduction for assets under $20,000 installed before 30 June. This threshold is scheduled to drop to $1,000 from 1 July.
Preserve working capital - Financing equipment rather than paying outright keeps cash available for day-to-day operations heading into the new financial year.
Supplier EOFY deals - Many suppliers offer discounted pricing or bundled extras at this time of year. Just don’t let a promotion rush a decision that needs longer consideration.
Hit the ground running in July - Having equipment installed and operational before 30 June means it’s ready to contribute from day one of the new financial year.
Don’t leave it too late - Lender volumes surge in June. Applications submitted in the final weeks risk not settling before the deadline.
A finance broker can help you compare your options and help you meet the 30 June deadline.

Brisbane emerges as a global luxury property hotspot

Brisbane is quickly establishing itself as one of the world's most dynamic luxury property markets, driven by Olympic infrastructure investment, severe stock shortages and record levels of wealth creation.

According to Knight Frank's Wealth Report, Australia is fourth globally for billionaire growth, projected to rise 77 per cent by 2031, and fifth for ultra-high-net-worth individual growth at nearly 60 per cent. Globally, 89 new ultra-high-net-worth individuals are created each day, supporting sustained demand for luxury assets.

The luxury residential sector is experiencing uneven performance across Australia's major cities. Melbourne has recorded a 4 per cent increase in buying power over five years, while Sydney has declined 5 per cent. Brisbane is down 5 per cent, Perth down 11 per cent, and the Gold Coast down 14 per cent, though the Gold Coast continues to offer the strongest relative value.

Globally, luxury residential prices rose 3.2 per cent in 2025, outperforming mainstream housing markets for a second consecutive year. Within Australia, Perth led luxury price growth at 4.1 per cent, followed by the Gold Coast at 2.8 per cent and Brisbane at 2.1 per cent, while Sydney and Melbourne recorded slight declines.

Brisbane has been identified as a key luxury growth location, supported by Olympic-related infrastructure investment and ongoing urban redevelopment. Planning conditions have enabled fast-tracked development, with top-end apartment prices rising from around $9 million to over $15 million within a 12-month period.

Investor activity has shifted toward Brisbane, overtaking Victoria amid higher taxation settings, while owner-occupier lending has reached record levels.

At the top end of the market, demand is being driven by both migration and demographic changes.

Looking ahead, Brisbane, the Gold Coast and Perth are expected to be the strongest performing luxury markets in 2027, with 2 per cent growth forecast in luxury residential prices. The Knight Frank report found that in Brisbane, $1 million now buys 5 per cent less than it did five years ago, while the Gold Coast has seen the biggest reduction in buying power at 14 per cent but still offers the greatest value for money.

5 ways to strengthen your home loan application

Lenders assess far more than just your income. Taking a few steps before you apply can make a real difference to your chances of approval.

Check your credit report – Look for errors, defaults or missed payments before a lender does.

Reduce unused credit card limits – Lenders assess cards at their full limit, not just the balance you carry.

Show consistent savings – Regular deposits into a savings account signal good financial habits.

Pay down existing debts – Car loans, personal loans and buy now, pay later balances all reduce your borrowing capacity.

Avoid new credit applications – Multiple enquiries on your credit file in a short period can raise concerns for lenders.

A mortgage broker can review your financial position and help you compare your options before you apply.

Home value growth slows but remains positive

Australia’s housing market continues to grow, with national home values rising 0.3% in April according to Cotality. While Sydney and Melbourne saw modest monthly dips of 0.6%, most markets are still trending upward.

Perth remains a standout performer, with values up 2.1% in April alone, adding more than $21,000 to the median dwelling value. Brisbane, Adelaide and Darwin also continued to grow, each recording monthly gains above 1%, reflecting the strength of demand across the mid-sized capitals.

Regional markets are also particularly strong, rising 4.2% over the first four months of the year, more than double the 1.8% recorded across the combined capitals. Bunbury in WA led the smaller markets with growth of 9.8% year-to-date, while no regional market saw a decline over the period.

RBA UPDATE | Effective May 6, 2026

For its May meeting, the Reserve Bank of Australia (RBA) has raised the official cash rate by 0.25 per cent to 4.35 per cent, marking the third consecutive rate rise of 2026. The decision was narrowly split, with eight Board members voting to increase rates and one member voting to hold, highlighting growing concern about the balance between inflation and household pressure. This is the first time the cash rate has sat at 4.35 per cent since the period between November 2023 and February 2025.

According to the RBA, inflation remains uncomfortably high, with global risks – particularly the ongoing conflict in the Middle East – adding to energy costs and broader price pressures. At a household level, the decision has raised renewed concerns about affordability. Interim Finance Brokers Association of Australia CEO, Peter White warned, “I’m not an economist but it’s not rocket science that this affects lower income earners more than anyone else.”

Meanwhile, in the property market, Brisbane is quickly establishing itself as one of the world's most dynamic luxury property markets, driven by Olympic infrastructure investment, severe stock shortages and record levels of wealth creation. Looking ahead, Brisbane, the Gold Coast and Perth are tipped to be the top performing luxury markets in 2027, with 2% growth forecast in prestige residential prices, according to the recent Knight Frank's Wealth Report.

If you're unsure how this change impacts your mortgage or borrowing capacity, a no obligation review with a mortgage broker is worth considering.

The RBA’s next meeting is scheduled for Tuesday, June 16.

Rightsizers driving boom in prestige apartment market

Australians are increasingly moving from traditional family homes into luxury apartments, driving a boom in the prestige apartment market.

McGrath Research data reveals that the number of prestige apartments sold in 2025 has tripled over the past decade, signalling a sustained shift in buyer preferences toward high-end apartment living.

McGrath CEO John McGrath said the prestige apartment segment has been the strongest performer in recent years.

"Prestige apartments have been the strongest market segment in the last few years as high-net-worth individuals choose luxury, security and lifestyle in apartments over houses," Mr McGrath said.

"Demand has increased dramatically as luxury apartments have gone to a whole new level in design, finishes and amenities."

Queensland has emerged as the leader in this market shift, accounting for 43 per cent of East Coast prestige apartment sales in 2025. NSW followed with 41 per cent, while Victoria captured 16 per cent of the market.

Mr McGrath said Southeast Queensland has become particularly attractive for luxury apartment buyers.

"Southeast Queensland has become the favoured location for many looking for luxury apartment living as pristine beaches and rivers become perfect backdrops for beautiful buildings," he said. "The strongest demand has been for prime locations with easy access to major cities as most buyers in these apartments are still living very active and vibrant lives."

Price growth has been substantial across all major markets. Over the past five years, new prestige apartments have significantly outperformed established units, rising 88 per cent on the Gold Coast, 60 per cent in Brisbane, 34 per cent in Sydney, and 32 per cent in Melbourne.

Analysts attribute this growth to larger floor plans, premium amenities, superior materials, and a historically low supply of new luxury apartments relative to Australia's growing wealthy population.

Michelle Ciesielski, McGrath's National Head of Research, said the industry identified the rightsizing trend early and adapted accordingly.

"After identifying the emerging rightsizing trend in Australia back in 2020, there has been more than double the delivery of apartments with three or more bedrooms, and the average apartment built was one-third larger," Ms Ciesielski said.

By 2028, 40 per cent of apartments in prime regions of Melbourne and Brisbane will likely feature more than three bedrooms, with 34 per cent on the Gold Coast and 31 per cent in Sydney.

Car parking has become a significant value driver. Sydney commands a 62 per cent price premium for three-bedroom apartments with more than four car spaces compared to just one, while Brisbane shows a 47 per cent premium, Gold Coast 46 per cent, and Melbourne 41 per cent.

More than two-thirds of buildings across Sydney, Melbourne, and Brisbane CBDs now feature pools and gyms as standard inclusions.

"Many rightsizers are seasoned global travellers, shaping their expectations for amenities in their new home based on luxury hotel experiences. Australia has a long way to go and developers might consider get this balance right given the more competitive marketplace," Ms Ciesielski said.

Despite strong demand, the cost of delivering premium apartments remains elevated due to rising material prices and a shortage of skilled labour.

"High-net-worth demand for luxury downsizing remains strong, although purchase price and ongoing costs will likely be a decisive factor when giving up the space of a family home," Ms Ciesielski said.

"Our study found that prestige apartments generally incur lower upkeep costs compared to similar quality standalone houses, when sinking funds are appropriately managed."