With rents climbing steeply in many parts of the country, 2022 might be the ideal time for younger Australians to enter the market.

The average rent paid by a tenant living in a capital city was 7.4% higher in the December quarter of 2021 than the same quarter of 2020, according to Domain.

Home loan activity is at historically high levels, according to the latest data from the Australian Bureau of Statistics.

Australians committed to $31.4 billion of home loans in November, which was 6.3% higher than the previous month and 33.2% higher than the previous year.

In the September quarter, mortgage brokers originated a record 66.9% of all new residential home loans, according to research group Comparator.

This compares to market share of 60.1% the year before.

Why is broker market share growing so strongly?

Over the year to October, the size of the average Australian home loan increased 16.4%, according to the latest data from the Australian Bureau of Statistics.

An extra 4,651 first home buyers will be able to access federal government assistance during the 2021-22 financial year.

The government had originally pledged to support 20,000 first home buyers this year – 10,000 under the First Home Loan Deposit Scheme and 10,000 under the New Home Guarantee.