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Experts believe funding first home purchases with super is “irresponsible”

First home buyers

First home buyers

Using super for property investment may soon be a reality.

A panel of economists and market experts insist first home buyers in Australia should not be able to access their superannuation to finance their property purchases, labelling this practice as "irresponsible".

As part of's ongoing RBA cash rate survey, the majority (80%) of panellists frowned upon the notion of first home buyers drawing from their superannuation to fund property purchases.

There has been much hype surrounding the possibility first home buyers could be allowed to access their super to obtain a deposit. The policy may be included in the highly anticipated upcoming federal budget.

A similarly high proportion (61%) of those surveyed believe some new owner occupiers and investors may have overborrowed in the current low-interest market, particularly in Sydney and Melbourne.

The overwhelming majority of panelists (97%) were also confident the cash rate will hold at 1.5% for April 2017, while most (86%) think the next move will be a rise.

Here's what some of the panel's leading experts and economists had to say:

"Although domestic economy is still weak and the Australian dollar is tracking too high, the overheating residential property market precludes a cut to rates. A rate cut would help put downward pressure on the Australian dollar."BIS Oxford Economics senior economist Richard Robinson

"Underlying inflation risks staying below target for longer and the Australian dollar is too high, but growth is okay. National income is rising and the Sydney and Melbourne property markets are too hot. So best to stay on hold."AMP Capital chief economist Shane Oliver

"Inflation pressures are starting to build, but the domestic demand remains constrained by high underemployment. The central bank is keeping a close watch on the hot housing property and further easing is unlikely while household debt continues to grow strongly."Moody's Analytics economist Emily Dabbs

Find out if you're eligible to receive a first home buyers grant using our informative state-by-state guide.

Buying your first property can be an overwhelming. Use these 8 tips to buy your first home the right way.

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