Just 13 per cent of prospective first home buyers expect to purchase within the next 12 months, continuing the downward trend of prospective home buyers.
New data from Agile Market Intelligence’s Consumer Pulse survey has revealed that home ownership plans have decreased in the second quarter of 2026, with just 13 per cent of first home buyers planning to buy a house in the next year, down 1 percentage point on the previous quarter.
According to the survey, which polled 4,109 Australian consumers between 1 January and 30 June 2026 and compared home ownership plans across age groups and states between Q1 and Q2 2026, home ownership sentiment had declined more broadly.
When expanded out to all consumers, 42 per cent of Australians had no plans to purchase a home (up 2 percentage points from Q2).
Australians living in NSW and Western Australia were less likely to buy a home (44 per cent and 52 per cent said they had no intention of purchasing a home, respectively); the Consumer Pulse survey found a substantial drop from 39 per cent and 42 per cent in Q1.
Older Australians were also found to be reducing home ownership intent, with 77 per cent of Australians aged 55 years and above (a 4-percentage-point increase from Q1) having no intention to buy in the next year.
While four in five young Australians said they would like to buy a home, over half are deterred by high interest rates and property prices, or by a lack of financial readiness. For example, the percentage of consumers who wish to purchase a home, but are not financially ready (29 per cent) or are deterred by high interest rates and property prices (17 per cent), has remained the same between the two quarters.
However, those who remained steadfast in their desire were younger adults (aged 18-34), who were the most optimistic demographic regarding purchasing their first home (19 per cent home purchase intention), as well as those living in South Australia and Victoria.
In fact, the number of Australians in SA who wish to purchase a home increased from 57 per cent to 64 per cent between Q1 and Q2 2026, a 7-percentage-point increase. Furthermore, there was a slight uptick in the number of Australians in VIC who wish to purchase a home, rising from 67 per cent in Q1 to 68 per cent in Q2.
Noting the drop in home ownership intent, Agile Market Intelligence noted that interest rates had continued to rise, while tax changes in the federal budget may also have quelled property purchase activity.
Michael Johnson, director at Agile Market Intelligence, said: “The uncertainties earlier in the year deterred many Australians from risky endeavours, which includes purchasing a new home.
“Although over half still plan to purchase a home, factors such as financial readiness, interest rates, and property prices are still looming barriers to potential first-time homeowners.”
The figures echo an overall drop in mortgage demand in recent months, with Equifax’s data showing double‑digit declines in home‑loan activity and a concurrent pullback in unsecured credit in June.
According to Equifax’s figures, overall Australian mortgage demand in June was down 14 per cent year on year, with no state or age cohort recording positive growth.
Similarly, data from major aggregators have shown that home loan lodgements have been falling in recent months, as serviceability constraints bite amid higher interest rates.
[Related: Smaller states lead national pullback as lodgements plunge: LMG]
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