PHOTO: First Home Buyers

Over the past year, there has been a surge in first home buyer activity, accounting for one of the only sources of growth in housing-related activity, the latest CoreLogic report has found.

There are a number of reasons that first home buyers have become more active in the housing market over the past year, the latest CoreLogic Property Pulse has found.

It said that dwelling values have been falling which has improved affordability and lessened the deposit hurdle, other segments of the market have been less active and attractive incentives have been offered to first home buyers in certain states.

But it said that the latest data on housing finance from the Australian Bureau of Statistics for December 2018 shows that the trend might be reversing.

Head of research at CoreLogic Tim Lawless said that in December 2018, there were 8,476 finance commitments by owner-occupier first home buyers, which was the fewest monthly commitments since June 2017.