Although Perth now surpasses the Sydney and Melbourne property markets in price growth, Western Australia remains the most affordable state in the country.
Earlier this month, the Real Estate Institute of Australia released its March Quarter Housing Affordability Report, which determines affordability based on the proportion of median weekly family income needed to repay loans in each state or territory.
He found that once again WA was the most affordable state in the country, with the proportion of family income needed to service a loan rising to 26.6%. Only the Northern Territory was more affordable at 24.8%.
For comparison, the figures for the rest of the country were as follows: Australian Capital Territory at 27.8%, South Australia at 33%, Queensland and Tasmania at 34%, Victoria at 38% and New South Wales at 46.5%. – nearly half of a family’s median weekly income.
When you compare WA to the rest of Australia, it’s clear that we have the highest proportion of first-time home buyers in our homeownership market than any state or territory in the country.
The report found that in the March quarter, first-time home buyers made up 38.5% of the state’s homeownership market.
This is compared to 35% in Victoria, 32.1% in ACT, 29.4% in Queensland, 28.8% in Tasmania, 27.7% in NSW, 26.4% in SA and 24.1 % in the NT.
WA also had the lowest average loan amount for first-time buyers at $381,360.
In the rest of the country, the average loan taken out by first-time buyers was $384,292 in SA, $388,403 in Tasmania, $413,836 in NT, $424,499 in Queensland, $498,585 in Victoria, $527,551 $ in the ACT and $585,538 in NSW.
Real estate market conditions across WA are strong, but it’s nice to see that the dream of home ownership remains achievable for most people.
While the interest rate hikes are likely to moderately affect WA homeowners and buyers over the coming months, the state’s affordable housing environment means the impact of the rate hikes will be much greater. manageable for WA families than our east coast counterparts.