Lower interest rates don't seem to be enticing first home buyers, new figures have indicated.

RP Data's newest Property Pulse has pointed to ABS data showing a slight improvement in first home buyer activity for May. However, cuts to the standard variable rate have not drawn first home buyers into the market as they have in the past.

RP Data analyst Cameron Kusher said the average standard variable rate for May was 7.8%. While this is slightly above the 10-year average for rates, Kusher said the current level of first home buyer activity is significantly lower when compared to other recent periods when the average SVR was at the same level. He stated that activity is 30.1% lower than at comparable interest rate levels in 2008, and 26.4% than at comparable rate levels in 2006.

According to Kusher, this trend suggested the removal of the First Home Owner Grant Boost had a significant impact.

"Clearly the First Home Owners Grant Boost provided further stimulus to the market, and as mortgage rates started to rise and the Boost was wound back, we saw first home buyer numbers fall to a low in February 2011 to 14.9%," he commented.

Kusher pointed to a fall in first home buyer activity of 39.6% over the past 12 months, and said it was unlikely this activity would increase in the near future.