Arabic version: الخبراء يقللون من مخاوف الملكية السلبية لمشتري المنازل لأول مرة

Warnings from Liberal MPs about negative equity are causing concern among first-home buyers, but experts suggest there is little to fear. According to The Guardian, the anxiety stems from a perception that falling property prices could leave buyers with mortgages exceeding their home values.

Economists highlight that the decline in housing prices is primarily occurring in the more expensive segments of Sydney and Melbourne. This trend is less likely to impact first-time buyers, who typically purchase homes in the lower price ranges. The recent concerns were amplified by predictions from CBA economists, who forecasted a potential 6% to 7% drop in property values in 2026.

Experts like Gerard Burg from Cotality emphasize that while some recent purchasers may face negative equity, the risk is significant only if they need to sell their homes. He noted that many first-time buyers are likely to have entered the market at lower price points, which have shown resilience in the current downturn.

Angus Moore, a senior economist at REA Group, agrees that the price drops are concentrated in high-end suburbs, not the typical areas where first-time buyers look. He points out that current economic conditions, including low unemployment rates, suggest that the risk of mortgage defaults is low, providing some reassurance for buyers navigating the market during this period.