Rising house prices has put Melbourne’s level of unaffordability on par with Sydney.
A new report from the National Centre for Social and Economic Modelling found 56% of Melbourne’s first-home buyers pay more than 30% of their disposable income on housing costs – a dramatic increase compare with 36% a decade ago.
Median house prices in Melbourne have grown 138% in 10 years to $475,000. Meanwhile, disposable incomes for households have increased by only 58%.
“So there’s a massive disconnect between house prices and incomes,” said report author Ben Phillips.
The report found similar increases in mortgage stress in Brisbane, while Perth and Adelaide remain more affordable.
Do you have more than $120k in your super fund? You could use your super to buy property - Find out how
Top Suburbs :
Get help financing your investment
Do you need help finding the right loan for your investment?
When investing in property, it is important to make sure that you not only have the lowest available rate that you can get, but also have the correct loan features for your needs.
Just fill in a few details below and we'll then arrange for a local expert Aussie Mortgage Broker to contact you and work out what features or types of loans are right for your needs. We'll even help with the paperwork. Plus, our mortgage broking service is at no cost to you.
We value your privacy and treat all your information seriously - you can check out