First home buyers give up the dream

• Interest rates set to continue rising
• Some home buyers giving up on dream
• Others say they can cope with higher rates

ONE-fifth of Australians will give up on the dream of buying their first home in the next two years if home loan interest rates hit between 8 and 9 per cent, according to a survey from home loans broker Mortgage Choice.

By yesterday afternoon all four major banks had increased their standard variable home loan rates by 0.25 per cent, taking average mortgage rates to about 7 per cent, The Australianreports.

For more on this article go to news.com