Australians prefer property to shares

Significant reductions to the cash rate may have had an impact as more Australians plan to choose property over shares in 2009.

An online poll by Loan Market Group has found that approximately 42% of respondents said buying property was their financial priority for 2009. In contrast, just 6% said they planned to invest in the share market in the year ahead.

John Kolenda, Loan Market Group executive director, said the results showed lower interest rates and softening property prices were driving Australians to look for opportunities in the housing market. The increase in the first home owners grant would also have a significant impact on the market.