Priced out of major cities, many young Aussies chasing a first home are turning to alternative regions and ‘hotspots’ where government incentives may stretch further.
Equifax Quarterly Consumer Credit Insights revealed secured and unsecured credit demand soared in the Septermber quarter of 2025, with mortgage applications rising by 10.3 per cent in comparison to the same time last year.
This was the strongest growth seen year-on-year since 2021.
First Home Buyer figures also climbed with the largest volume of inquiries seen since the start of 2022.
Source: Equifax Australia
Defined by the number of first-home buyer applications and median loan amounts, Equifax revealed the top five ‘First Home Buyer Demand Hotspots’ in NSW.
These were Parramatta (median unit price $704,000), Blacktown ($728,000), Castle Hill ($779,000), Hurstville ($719,000) and Marrickville ($720,000).
The First Home Buyer Demand Hotspots track areas of surging applications and median loan amounts, whereas a second affordable entry spotlight was cast on the intersection of intent versus affordability, revealing ‘Opportunity Zones’ for First Home Buyers.
These were the most affordable suburbs among First Home Buyers by average loan amount and within a 60km radius of their closest capital city.
In NSW, the top five suburbs were Leumeah (median unit price $543,000), Forestville ($601,000), Emu Plains ($617,000) Como ($619,000) and Stanhope Gardens ($619,000).
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At Home 2023: March 4 issue, Medium Rare/Australian Seniors partnership, buying off the plan. Picture: iStock
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Along with First Home Buyer activity spiking in certain regions nationally, the 2025
iCIRT Consumer Research revealed a significant uptick in property-buying intent, with 67 per cent of Millennials and Gen Z Aussies planning to buy, build or renovate in the next five years.
“The Equifax FHB Demand Hotspots show strong interest in established property corridors in
Sydney, Southeast Queensland, and Melbourne,” said Equifax chief solution officer Kevin James.
“While we have seen an increase in property-buying intention, specifically in the Gen Z and Millennial demographic, housing affordability was cited as a primary concern in the 2025 iCIRT Consumer Research.
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Kevin James
“It’s important to remember that while First Home Buyers have access to incentives such as the Government’s five per cent Deposit Scheme, it is not enough to close the gap for many.
“With rising house prices demanding higher LVRs, the barriers to entry persist – regardless of the applicant’s deposit size or credit quality”.
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