Affordability takes a beating

Affordability takes a beating

10 June 2010 by Staff Reporter 0 comments

Housing affordability continues to decline across Australia, according to the latest Real Estate Institute of Australia Deposit Power Housing Affordability Report.

The report, released yesterday, showed housing affordability had declined across all states and territories with the proportion of income required to meet loan repayments increasing nationally from 30.7 per cent in the December quarter 2009, to 32.6 per cent in the March quarter 2010.

"It has now been 12 months since we have seen any improvement in housing affordability.

"In March 2009, the proportion of income required to meet loan repayments was 28.8 per cent. Nationally, the average Australian household is now spending an extra $143 per month on their mortgage, compared to the previous quarter," REIA president David Airey said.

The ACT remains the most affordable state or territory in which to own a home where the proportion of income required to meet loan repayments increased 0.2 percentage points to 17.9 per cent; 14.7 percentage points below the national average.

NSW is the least affordable state or territory in which to own a home, with the proportion of income required to meet loan repayments increasing 0.9 percentage points to 34.5 per cent.

Housing affordability continues to decline across Australia, according to the latest Real Estate Institute of Australia Deposit Power Housing Affordability Report.

The report, released yesterday, showed housing affordability had declined across all states and territories with the proportion of income required to meet loan repayments increasing nationally from 30.7 per cent in the December quarter 2009, to 32.6 per cent in the March quarter 2010.

"It has now been 12 months since we have seen any improvement in housing affordability.

"In March 2009, the proportion of income required to meet loan repayments was 28.8 per cent. Nationally, the average Australian household is now spending an extra $143 per month on their mortgage, compared to the previous quarter," REIA president David Airey said.

The ACT remains the most affordable state or territory in which to own a home where the proportion of income required to meet loan repayments increased 0.2 percentage points to 17.9 per cent; 14.7 percentage points below the national average.

NSW is the least affordable state or territory in which to own a home, with the proportion of income required to meet loan repayments increasing 0.9 percentage points to 34.5 per cent.

promoted content
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast
reb top 100 agents 2016

With a combined sales volume of $13 billion in 2016, the Top 100 Agents ranking represents the very best sales agents in Australia. Find out what sets them apart and learn their secrets to success.

featured podcast

featured podcast
At the top of his game: how this agent evolves to stay number one

Get up close and personal with the best real estate sales agents in Australia in Secrets of the Top 100 Agents. ...

View all podcasts

Are dodgy agents being punished enough?

Yes (8.6%)
No (55%)
Only in some states (2.3%)
Not all dodgy agents are being found out (34.1%)

Total votes: 220
The voting for this poll has ended on: April 15, 2017
upcoming events
REB Awards
Sydney The Event Centre 12 Sep
REB Awards
Sydney The Event Centre 12 Sep
Melbourne The Event Centre 14 Oct
Brisbane The Event Centre 18 Dec
View all events
Do you have an industry update?