First Home Buyers Need A Decade For Deposit

Just over one in 10 (11%) of first home buyers now need to save for more than 10 years before breaking into the housing market.

A poll of 1028 first home buyers by comparison website Finder.com indicated that would-be buyers are taking longer to reach the 20% deposit threshold as the average deposit reaches six figures amid booming property prices.

One in four need between five and 10 years, nearly two in five (38%) need between two and five years, while only 7% manager to save the deposit within a year.

According to Finder, the required deposit for an average loan had risen by 16 per cent nationally in just two years, reversing any deposit affordability gains and taking the national average deposit price to $106,743.

First home buyers in NSW require $128,469 and $113,092 in Victoria. The average deposit in Tasmania has climbed to $81,438, to $85,710 in South Australia, to $95,784 in Queensland and to $92,784 in Western Australia.

“While low interest rates mean the cost of paying your mortgage each month has come down, rising property prices are lengthening the amount of time required to save for a deposit,” Finder spokeswoman Sarah Meggison said.

Further, more than half of first home buyers (53%) indicated they are spending more than 30 per cent of their income on their mortgage repayments, a sign of mortgage stress.

Listing of the Day

Location: Downtown Brooklyn, New York

Price: $16.75 million

Boasting 360-degree panoramic views across New York City, this new 92nd-floor penthouse is the highest residence in Brooklyn.

The full-floor apartment stands atop the new Brooklyn Tower, which encompasses 143 condos and 398 rentals in the heart of downtown Brooklyn, said Katie Sachsenmaier, senior sales director, Corcoran Sunshine Marketing Group.

The condos begin on the 53rd floor, and the penthouses begin on the 88th floor. This one, Penthouse 92, is the only full-floor penthouse.

“The building is coming into its own now,” she said. “It feels very busy when you step into the lobby.”

Developed by Silverstein Properties, the building at 85 Fleet Street rises from the historic Dime Savings Bank building, according to a news release.

It was designed by SHoP Architects with interiors curated by Gachot Studios, and it is the borough’s only super tall skyscraper.

Penthouse 92 features custom interiors by Brooklyn-based Susan Clark of design firm Radnor, Sachsenmaier said. “Her selections have made it really beautiful. It feels very warm and inviting.”

Architectural details include 12-foot ceilings, European white oak floors in a custom honey stain, mahogany millwork, bronze detailing and floor-to-ceiling windows.

The eat-in kitchen features Absolute Black stone countertops, an island with seating, oil-rubbed bronze Waterworks fixtures and integrated Miele appliances, according to the listing.

The primary en suite bathroom showcases large-format Honed Breccia Capraia marble. There is also a separate laundry room as well as a wet bar and a butler’s pantry.

The views are spectacular, Sachsenmaier said. “If you’re standing in the living room, you take in the Statue of Liberty and all the way up through Midtown. On a clear day, you can see the planes take off at LaGuardia (Airport).”

Penthouse 92 features custom interiors by Brooklyn-based Susan Clark of Radnor.
Photo: Sean Hemmerle

Moving around the apartment, you see south over the harbor and then north and east over the whole city, she said.

From the front door, “you’re immediately greeted with the expansive living room and the view,” she said. “It’s really the first thing you see.”

The primary suite features a dressing room, multiple walk-in closets, two bathrooms (one with a cedar sauna) and southwest-facing windows, Sachsenmaier said. “You get those really beautiful harbour views.

The amenities will be ready by the end of summer, she said. A Life Time club will occupy the entire sixth and seventh floors, and an outdoor pool deck wraps around the dome of the bank building.

Stats

The 5,891-square-foot home has four bedrooms, five full bathrooms and one partial bathroom.

Amenities   

Residents will have access to over 100,000 square feet of exclusive indoor and outdoor leisure spaces.

Fitness company Life Time will manage an array of amenities that include a 75-foot indoor lap pool, outdoor pools, a poolside lounge and atrium, a billiards room, a library lounge, a conference room, a theatre with a wet bar, a children’s playground and playroom and limited off-site parking.

The Sky Park offers an open-air loggia with a basketball court, foosball, a playground and a dog run.

An outdoor pool deck wraps around the dome of the Dime Savings Bank building.
Photo: Gabriel Saunders

Neighbourhood Notes   

Downtown Brooklyn is at the centre of a number of neighbourhoods, including Fort Greene, Cobble Hill, Boerum Hill and Brooklyn Heights. The tower has access to 13 subway lines, 11 commuter trains, the city’s ferry network and 22 Citi Bike stations.

“You can walk to Fort Greene Park in less than 10 minutes,” and Dekalb Market Hall, which has a Trader Joe’s, a Target and a food hall, is “right next door,” Sachsenmaier said.

Agent: Katie Sachsenmaier, senior sales director, Corcoran Sunshine Marketing Group

First Home Buyers Need A Decade For Deposit

With housing prices on the rise, so too are the deposit demands.

The new Brooklyn Tower, a mix of luxury condos and rentals, rises from the historic Dime Savings Bank building.