First-home buyer demand among younger Australians is holding up strongly despite higher mortgage rates and expectations of another Reserve Bank cash rate rise, new Equifax figures show.
Equifax executive general manager Moses Samaha (pictured) said recent trends point to a “two-speed race” between generations in the housing market. First-home buyer enquiries continued to rise even after RBA lifted the cash rate to 3.85% in February.
“Young Australians are proving remarkably resilient. Even in a tightening rate environment, they are seemingly undeterred in their push to enter the market,” Samaha said.
In February, first-home buyer enquiries in the 18–25 age group were up 9.87% year-on-year, while those aged 26–35 recorded a 3% lift. Samaha said he believes “the government's First Home Buyer Deposit Scheme continues to be a driver of first-home buyer activity, almost insulating FHBs from the immediate chill of rate hikes.”
While younger buyers focus on getting into the market, older borrowers are increasingly focused on reshaping existing home loans. Equifax has observed the refinancing age profile shifting upwards, with Australians aged 55 and over showing the strongest growth in refinancing enquiries.
Refinancing now accounts for about 34% of total mortgage demand. Lenders are holding more clients through a 15.2% year-on-year rise in refinance upgrades with the same lender, even as large non-bank lenders record a 44% jump in external refinancing customers.
In February, refinancing enquiries from the 55+ cohort jumped 12% year-on-year, the highest of any age group, while borrowers aged 46–55 recorded an 8% increase.
“We’ve been watching this trend for a while, but it’s starting to really cement that Australian mortgages are stretching further into later life,” Samaha said.
He added that “the current rate environment appears to be triggering all Australians to take action – regardless of age. Mortgages are not just the young families' burden, pre-retirees and Gen X are actively carrying and refinancing debt deep into 2026.”
Get the hottest and freshest property and mortgage news delivered right into your inbox. Subscribe now to our FREE daily newsletter.
