Strong competition and market conditions hinder new buyers, report finds
Around six in 10 Australians purchasing their first home are unable to secure the properties they want, despite having the necessary funds, a recent report from comparison site Finder has found.
The firm’s First Home Buyer Report 2025, which surveyed 1,006 first-time buyers across the country, revealed that 61% had missed out on a property they were seriously considering.
The primary reason cited was being outbid by another buyer, affecting 33% of respondents. In addition, 23% lost out because another buyer made an unconditional offer, agreeing to purchase without contingencies. Delays in obtaining loan pre-approval accounted for 11% of missed opportunities, while 7% were unsuccessful due to a competitor offering a shorter settlement period.
The Finder report also highlighted that 42% of first-home buyers who managed to secure finance had missed out on a property at least twice, while 20% experienced this on three or more occasions.
“Securing a first property can be a very frustrating and exhausting process that drags on for months on end, which is why it’s so disappointing when you’re pipped at the post,” said Sarah Megginson (pictured), personal finance expert at Finder. “When nearly two-thirds of buyers are missing out on properties they’re serious about, it’s a clear sign that the market is stacked against new entrants.
“With only a few houses to choose from at an affordable price, buyers are often competing for the same properties. As budgets get stretched, buyers resort to whatever it takes to secure their dream property.”
Finder said it is hosting a free online First Home Buyer Masterclass next week, aiming to help prospective buyers navigate the process. The session will cover strategies for building a deposit, securing loan approval, and preparing for home ownership.
Megginson emphasised the importance of preparation for first-time buyers. “That’s why we’re hosting this free masterclass – to help buyers understand the process, avoid common pitfalls, and improve their chances of success,” she said. “Our expert panel is going to share some of the steps you can take to have a competitive advantage over other buyers and hopefully, be in the category of first home buyers who get to sign a contract and secure their home.”
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