Third Of Australian Homes Cheaper To Buy Than Rent
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Third Of Australian Homes Cheaper To Buy Than Rent

Low interest rates and ascendant regional rent prices have seen mortgages look attractive.

By Kanebridge News
Thu, Jul 15, 2021 10:18amGrey Clock < 1 min

Outside Australia’s two most populous major capital cities – Sydney and Melbourne – the incentive to buy a home has never been higher with homes across the rest of the country generally cheaper to buy than rent.

Only 4.9% of homes in Sydney and 7.3% of homes in Melbourne were cheaper to buy than rent, according to a new report by Corelogic.

Elsewhere, between 43% to 96% of other Australian addresses are cheaper to service a mortgage when compared to renting, including Brisbane.

The report showed buying cost less than renting at 36.2% of properties across the country, up from 33.9% last year.

Further, the demand for new homes increased by 15.3% driven by owner-occupiers while rent went up where domestic migration was strong.

Proportion of homes cheaper to buy than rent

Capital Percentage cheaper to buy Regional homes Percentage cheaper to buy
Darwin 86.5% NT 96.4%
Perth 59.6% WA 79.4%
Brisbane 55.3% Qld 73.1%
Hobart 50.2% Tas 71.4%
Adelaide 47.4% SA 47.4%
ACT 43.6
Melbourne 7.3% Vic 43.6%
Sydney 4.9% NSW 48.2%
Combined 26.2% Combined 60.1%

^Source: Corelogic Property Pulse

“The combination of lower rent growth and very strong dwelling value growth has meant that even fewer properties across Sydney are cheaper to pay down a mortgage than rent, at just 4.9 per cent,” said Corelogic head of research Eliza Owen.

“This is down from 7.1 per cent when the analysis was done with the same assumptions in February 2020.”

Owen added results were also indicative of lower interest costs on mortgage debt since the onset of Covid-19.

“However, reduced interest costs have not led to cheaper mortgage serviceability relative to rents in every instance,” Owen said.



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Jennifer Lopez and Ben Affleck have officially put their massive Los Angeles mansion on the market for $68 million.

The lavish Beverly Hills property hit listing sites on Thursday, months after rumours began that the couple, who are reportedly estranged , were shopping the home around only a year after buying it for nearly $61 million.

The roughly 5-acre property—which is in a gated community and spans a massive 38,000 square feet—includes an indoor sports court with an adjacent gym and games room, according to the listing with Santiago Arana of the Agency. The firm declined to comment.

Lopez and Affleck paid $60.8 million for the compound in 2023.
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Built in 2000, the house has 12 bedrooms and a whopping 24 bathrooms. The resort-sized property has the amenities to match, including a V-shaped pool with views over the surrounding hills, a detached two-bedroom guardhouse and a 5,000-square-foot guest penthouse, according to the listing.

Listing images of the house show that Lopez and Affleck have spent the past year warming up what were fairly white-washed interiors when they purchased the home. There’s now a rich, green-painted dining room, hardwood floors and carpeted over cold, polished-stone flooring.

The couple, who got married in 2022 after reuniting some 20 years after they called off their engagement in the early 2000s, purchased the megamansion following a house hunt that went on for several months, The Wall Street Journal reported at the time.

Representatives for Lopez, 54, and Affleck, 51, did not immediately respond to requests for comment.

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