Western Australia is now the most affordable State in the country and this makes it more enticing for buyers and investors since the region has abundant growth prospects in the near future. Western Australia is the most affordable State at present with only the ACT and Northern Territory being exceptions. There are major improvements for the market that are forecasted for 2019 and tenants and buyers are now reaping the rewards of higher affordability in WA along with low interest rates and decent housing supply at hand.
The income proportion for repaying home mortgages came down by 1.2% for the last quarter with average loan sizes coming down to $339, 943 which indicates de-growth of 4.6%. However, the income proportion for repaying loans in New South Wales, for instance, stands at a whopping 36.6% in comparison with average loan sizes of around $449, 589. There is a cooling effect being witnessed in the Sydney real estate market which should draw more investors in the future but home ownership is still costlier for several citizens on the eastern coastline as per experts.
This is possible in Western Australia and the huge number of first-time homebuyers in the region are a testament to this fact. Rental affordability is also the highest in Western Australia and the proportion of income for meeting median rentals has come down to 16.1% as compared to 23.4% and 28.5% in Victoria and Sydney respectively.
There have been considerable improvements for the rental market in Perth this year and this should continue well into the New Year although rental markets are still affordable for tenants and this makes the region more tempting for investors looking to cash in on growing rental demand. West Australian citizens sitting on the fence should buy or rent property at the earliest since prices are expected to increase in the near future as per experts.
