This boost in confidence has been felt right across the country, with data from the Australian Bureau of Statistics (ABS) revealing loan commitments of owner-occupier first home buyers rose by 1.9 per cent in November.

This increase marks the first rise in new loan commitments since January 2021.

Local brokers and real estate agents said they weren't surprised by the figures, with Tamworth proving to be an attractive location for first home owners.

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Aussie franchisee and mortgage broker Matthew Davies said he'd always seen a "steady stream" of both young and old first buyers in the local area.

"Government incentives have helped, but there are a lot of first home owners doing it without government assistance," Mr Davies said.

First home owner-occupant loans were higher than the national average in NSW, with an increase of 2.2 per cent in November.

LJ Hooker real estate agent Sam Spokes said this had been felt locally, with the first home buyer market being one of the main areas of growth in Tamworth, which he attributed to less people travelling.

"They're able to save a deposit probably quicker than previously," he said.

Mr Spokes said Tamworth stood out to both local and metropolitan first home owners, with three bedroom and one bathroom houses going for under $350,000.

"There's not many other places with the facilities that Tamworth has got to offer," he said.

"There's not many other places if you go towards the coast where if you're a single person you can afford to get into the real estate market."

ABS data has also revealed that around the country the value of new loan commitments rose 6.3 per cent in November following three months of falls.

Both Mr Davies and Mr Spokes said the Tamworth market remained relatively unscathed from the COVID-19 pandemic.

"If anything people have gone through lockdown and realised that they're ready to move out of home, or they're sick of paying rent," Mr Spokes said.

Locally, Mr Davies said the majority of people seeking home loans were those looking to upsize.

"A lot of people have either sold existing property or now have a good amount of equity in their existing property due to the rise in our current market that they are using to purchase something bigger," he said.

While the real estate market is set to cool down in Tamworth after a record breaking two years, Mr Spokes predicted 2022 would still see a competitive market with a mix of first home buyers, investors and existing property owners.

"In Tamworth interest rates are still incredibly low," he said.

"There's still a very high demand for homes, a lot of open homes are still getting 10 groups through on a Saturday.

"That enquiry is still really strong."

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