1. Skip to navigation
  2. Skip to content
  3. Skip to sidebar

Property News

Australian housing affordability looking to ease despite Sydney, Perth markets

May 28, 2012

The dream of owning a place of your own looks set to become more easily realised across the country, according to a report from the Housing Industry Association (HIA).

In a joint report performed by the HIA and the Commonwealth Bank, the Housing Affordability Index has shown an improvement of 6.4 per cent in the first quarter of 2012.

While economic conditions in Sydney and Perth saw results drop slightly in those states, the rest of the country could be set to enjoy a residential property revival as factors came in line for those seeking to enter the marketplace for the first time.

Senior Economist at HIA Andrew Harvey explained that affordability was starting to improve across the nation - due at least in part to changes in mortgage conditions.

Mr Harvey asserted: "In the March quarter we observed a modest increase in earnings, a modest decline in lending rates and a softening in the median dwelling price, so all factors moved in a direction which improved housing affordability.

"Cuts to the RBA cash rate totalling 50 basis points in late 2011 should have provided a much larger boost to affordability in the quarter, but the impact was eroded as lenders widened the margin between mortgage rates and the cash rate."

Related Articles

Former industrial precincts to become residential hubs

The New South Wales government has announced plans to turn two former industrial areas in north ...
read more

Perth city budget raises fees but aims to revitalise city

The City of Perth budget for 2014/15 was passed on June 25, setting the stage for the ...
read more

Plans in motion for 'Brisbane's backyard'

Walkabout Creek will see a $2.5 million investment from the Queensland government, according ...
read more

Latest Articles

Increased construction figures across New South Wales highlight investment strength

Buyers looking for a great area to consider land investment and property construction in the near ...
read more

Regional Victorian home values increase significantly during last 12 months

Regional Victoria has seen house prices rise again during the last quarter, with new data ...
read more

RP Data: Quarterly rental data highlight slowing capital market

Owners of investment property could be interest to see the latest statistics from RP Data, with the ...
read more