But despite this, the couple cannot afford a family home anywhere near his Sydney workplace or prospective schools as property prices increase at a faster pace than the family can save for a deposit. While the Reserve Bank held rates steady at its last meeting, borrowing costs have been falling this year, and there are expectations of more interest rate cuts to come, adding momentum to property prices. “It makes sense that if there’s more investors, that increases the total supply of rental properties,” says Flaherty. At the moment, about half of all rental properties in this country are negatively geared; that was never the intent,” he says. Photograph: James Gourley/The GuardianFirst home owners have been largely locked out of the market this year, according to Equifax analysis of mortgage demand, due to high property prices.