More Victorian first home buyers have entered into a loan commitment since the onset of the COVID-19 pandemic and less competition from afar could be the reason why.
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Data from the Australian Bureau of Statistics reveals that in June, there were 3167 new loan commitments from first home buyers, compared to 3082 in March and 3115 in April.
Bendigo and Adelaide Bank head of local banking Nick Carter said given the current market environment, the Victorian figures are very encouraging.
"Despite COVID-19 over the past quarter, Victorian first home buyers have not been competing to the same extent as they have in the past with investors and interstate and overseas buyers," Mr Carter said.
"There's more choice on offer in terms of housing stock for those buying their first home."
A shift in people exiting the city to purchase in regional centres has been noted by Bendigo and Adelaide Bank, who said lending in regional Victoria is 10 to 15 per cent ahead of metropolitan Melbourne, in terms of the share of people accessing the First Home Loan Deposit Scheme.
"People are realising that working from home and buying an hour or two out of Melbourne means that you can have a great lifestyle and less financial stress," Mr Carter said.
"That makes cities like Bendigo, Ballarat and Geelong very appealing."
The State Revenue Office has announced a three month extension for construction commencement in Victoria, from three months to six months, widening the eligibility criteria for the government's $25,000 HomeBuilder scheme.
