Housing Affordability A Struggle For Aussies
Buyers and renters alike have more pain ahead according to the REIA.
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The proportion of income required to make loan repayments increased 0.2% points to 37.3% over the March quarter, while the proportion required to meet median rent jumped 0.5% to 23.5% according to the Real Estate Institute of Australia.
REIA President Hayden Groves said housing affordability nationally has become increasingly unaffordable, pressure eased in some locations.
“Housing affordability improved in New South Wales and the Northern Territory, remained stable in the Australian Capital Territory but declined in all other states,” Mr Groves said.
“Rental affordability declined in all states and territories except the Northern Territory.
“Tasmania remains the most unaffordable state to rent with income to rent needed sitting at a huge 30.8 per cent.”
Despite this, the number of first home buyers has decreased to 29,093 a drop of 22.5% in the quarter and a fall of 33.9% over the past 12 months.
“First home buyers now make up 31.6 per cent of owner-occupier dwelling commitments, a decrease of 2.7 percentage points over the quarter and 8.7 percentage points over the year,” he said.
“The number of first home buyers fell over the March quarter in all states and territories.
“Declines ranged from 10.5 per cent in Western Australia to 40.2 per cent in the Northern Territory.”
According to Mr Groves, the average loan size for first home buyers increased by 0.9% over the quarter and 11.7% in the past year to $474,54.
The total number of loans for owner-occupied dwellings decreased in all states and territories over the March quarter, ranging from 8.2 per cent in Western Australia to 21.3 per cent in New South Wales.
With house prices rising so sharply, the average loan size rose to $603,395 in the March quarter, an increase of 2.1 per cent over the quarter and an increase of 19.2 per cent over the past 12 months, making it the largest annual increase since the current ABS series began in 2002.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
Scheduled auctions fall to winter levels as vendors hold back on going to market
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Grand final fever and the long weekend have dampened scheduled auction activity this weekend, CoreLogic reports.
The number of homes scheduled for auction this weekend is set to halve, with 1,324 properties listed, marking the quietest week since mid June. Melbourne will experience the quietest week since Easter, CoreLogic data shows, with 223 homes prepared to go under the hammer. In Sydney, 805 properties are expected to go to market, the lowest number in seven weeks.
With long weekends in Queensland and South Australia, numbers are also down in Brisbane (111) and Adelaide (86), less than half the properties available for auction the previous week. It’s a less dramatic drop in Canberra, where 83 homes are scheduled for auction, down -22.4 percent on the previous week.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
