Housing affordability a continuing struggle for Aussies
More than a third of Australians renting or living with family cannot afford even a 10% deposit toward a property.
New research by CoreLogic has found Australians have a dim view of housing affordability. The researcher’s Housing Affordability Perceptions report, released ahead of tonight’s Federal Budget, found 35% of respondents who were renting or living with family could afford less than a 10% deposit, while it would take 1.5 years’ worth of median household income to afford a 20% deposit.
The survey found many young Australians are remaining in the family home, with more than 20% of those still living at home saying they didn’t expect to move out until after the age of 30. The survey also found 62% of respondents who currently live with their parents said they couldn’t afford to move out of home.
In spite of the challenges, home ownership remains a priority for Australians. More than 90% of respondents in NSW and Queensland said buying a home was very important. However, 74% of respondents said they were either very concerned or quite concerned about being able to afford a home, and 58% said they expected home ownership to become even more challenging next year.
For current home owners, mortgage payments are a struggle. More than 50% of respondents said they would struggle if interest rates rose 2%, while almost one in ten (8%) were already facing difficulty.
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