Housing affordability is a big factor when it comes to finding property in Adelaide. The Real Estate Institute of Australia (REIA)/Adelaide Bank Housing Affordability report shows that, while homes are less affordable nationwide, home buyers in Adelaide have a variety of economical property options at their fingertips.
It's not all doom and gloom. South Australians paid 27.8 per cent of their income on mortgage repayments last quarter, but the median price for real estate in Adelaide is substantially lower than the hotspots of Sydney and Melbourne. According to CoreLogic RP Data, buyers in Adelaide pay a median price of $410,000. Prices have grown 3.4 per cent over the past year to February, which is much more sustainably than other centres.
The REIA report examines the Australian property market and determines how much of their income homeowners are using on mortgage repayments. The results for the December quarter show that, in line with swelling home values, mortgage repayments required a great proportion of households' annual salary. Nationally, affordability worsened by 1.1 percentage points to 31.5 per cent on yearly income, which the REIA said was the lowest level since the March quarter in 2013.
New South Wales was the least affordable of all the states and territories which reflects the astronomically high property values. Tasmania recorded the biggest fall in affordability over the last quarter with households paying 1.5 per cent more of their income on mortgage repayments than last quarter.
Adelaide's reasonable prices could put households in better stead to repay their home loan, while likely making it a lot easier for first time buyers to get together a deposit.
Financing your home ownership dreams is a sizeable part of the buying process. With houses in Adelaide comparatively affordable, it could be a good time to get in touch with the real estate professionals at Ray White to find a property that fits your situation.