Housing affordability has improved slightly, while that of rent has declined throughout the country in March. According to a study from the Australian Real Estate Institute and Adelaide Bank, trends vary from state to state and from one territory to another.
The report on the affordability of Adelaide Bank / REIA dwellings in March indicated that the Northern Territory was the only area not to record an increase in the number of households in the area. affordability of housing. New South Wales, on the other hand, recorded the largest improvement with a 1.3% decrease in home loan repayments.
The affordability of rents has improved slightly in the larger states of New South Wales, Victoria and Queensland, as well as in Western Australia and the Northern Territory. However, a significant decline in rental affordability in South Australia and Tasmania offset this improvement, resulting in an overall decline in the affordability of rents nationwide.
View of the different states
NSW
Housing affordability in New South Wales has increased, as the proportion of income needed to cope with loan repayments has decreased by 1.3 percentage points to stand at 35.4% relative to in March. From one year to the next, the proportion of income needed to cope with monthly loan repayments decreased by 1.1 percentage points.
The affordability of rents has improved slightly in the state, the proportion of income needed to pay median rents decreasing to 28.2% – down 0.1 percentage point compared to March and 1.9 points compared to March 2018.
VIC
Housing affordability rose in Victoria as the proportion of income needed to cope with loan repayments decreased by 0.6 percentage points to 32.5% in the March quarter. . The proportion of income required to meet monthly loan repayments decreased by 1.6 percentage points from the same quarter of the previous year.
The affordability of rents also increased in the state, with the share of income needed to meet the median rent declining slightly to 23.1%, a decrease of 0.1 percentage point over the quarter and 0.7 percentage point from the March 2018 quarter.
QLD
Housing affordability in Queensland has improved, the proportion of income needed to cope with loan repayments rising to 27.5%, down 0.6% in the quarter but remaining stable by report in the same quarter of last year.
Rental affordability has also increased, with the proportion of income required to meet the median rent falling to 22%, a 0.1 percentage point decrease over the quarter and 1.1 point on a year.
SA
Housing affordability in South Australia increased, with the proportion of income needed to meet monthly loan repayments falling to 26.9%, down 0.6 percentage points in the quarter, and 0 , 3 percentage point compared to the same period of the previous year.
The affordability of rents decreased, the share of income needed to pay the average rent up to 22.8%, up 0.8 percentage points from the previous quarter, and 0.4 percentage points higher. percentage compared to the same quarter in 2018.
WA
The affordability of housing in Western Australia has improved, the proportion of income needed to cope with loan repayments rising to 22.6%, which represents a 0.5 percentage point decline on the quarter and 1 percentage point from the previous year.
The affordability of rents in the state also increased, the share of income needed to cover the median rent decreasing to 16.5%, down 0.1 percentage point on the quarter. However, the affordability of rents has fallen over the past year as the proportion of income needed to cover the median rent has increased by 0.2 percentage points.
TAS
Housing affordability in Tasmania has increased, the proportion of income needed to cope with loan repayments rising to 25.4%, marking a 0.9 percentage point decline over the quarter. Housing affordability declined by one year on the other, the proportion of income needed to cope with monthly loan repayments rising by 0.9 percentage point.
Rent affordability, on the other hand, declined as the proportion of income needed to reach median rents increased to 29.3%, an increase of 1.2 percentage points from the same quarter in 2018.
NT
Housing affordability in the Northern Territory has decreased, the proportion of income needed to cope with loan repayments rising to 20.2% – up 0.8 percentage points over the quarter and up from 0.4% compared to the quarter of March 2018.
Rent affordability increased, with the proportion of income needed to reach the median rent falling to 20.9%, down 0.4 percentage points in the quarter, and 1.6 percentage points lower. percentage compared to the previous year.
LAW
Housing affordability in the Australian Capital Territory has improved, with the proportion of income needed to cope with loan repayments declining by 0.3 percentage points to 20 , 3% during the quarter.
Rental affordability decreased as the share of income needed to cover median rent increased to 19%, an increase of 0.1 percentage point over the quarter and an increase of 0, 5 percentage point compared to the previous year.
