FIRST HOME BUYERS HIT HARDEST BY WORSENING AFFORDABILITY

December 8th,2021

Housing affordability declined over the September quarter of 2021, with the proportion of income required to meet loan repayments increasing to 36.2% nationally, the latest Real Estate Institute of Australia (REIA) Housing Affordability Report has found. REIA President, Adrian Kelly said housing affordability shows a worsening situation, particularly for first home buyers. "While housing affordability declined across many states over the September quarter, it has improved in Western Australia and the Australian Capital Territory. The Northern Territory remained stable and is still the most affordable state or territory to meet home loan repayments. The number of first home buyers decreased to 37,782, a fall of 12.6% during the quarter and just a 1.0% more over the past 12 months. First home buyers now make up 35.0% of owner occupier dwelling commitments.