Aussies 'are more confident about securing home loans'

The property market in Australia has been somewhat subdued recently, with house prices down and many people unwilling to commit to a home loan due to the uncertain economic climate.

Last year, the Reserve Bank of Australia (RBA) did its best to stimulate house buying in the country by sanctioning two successive interest rate cuts in November and December, although it is yet to make further reductions in 2012.

It seems the move has had the desired effect, as the new Genworth Homebuyer Confidence Index has indicated that a greater number of Aussies feel now is the perfect time to buy a property.

Around 39 per cent said they had renewed hope for the market and confidence levels are at their highest since March 2011.

Bosses at the firm stated that a decrease in mortgage stress cases and the fact Aussies are more comfortable handling debt have been behind the improvement.

"The Australian dream of home ownership is not fading as increasing affordability improves borrower sentiment," commented president and chief executive officer at Genworth Ellie Comerford.

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