Some people who signed house-and-land packages last year are now struggling to get the finance they need to settle their purchase.
Worse, if he has to hand back the land, he will lose his deposit, and have to cover any potential loss if the developer resells the block for less than $480,000.“I’m really worried I’ll lose everything if I can’t pay for the land,” Khattab said. “I’ll lose money and will have nothing. She said there were as many calls from people hoping to get out of contracts, as there were from people looking to enter them.
Off-the-plan apartments were facing similar issues, Reardon said, as buyers, particularly first home buyers, struggled to get finance. Reardon noted about 200,000 new homes were typically built nationally each year, making up about 0.02 per cent of total housing stock.