HIA: Affordability improves to seven year high
19/05/09 10:11
By Larry Schlesinger | Monday, 18 May 2009
The March quarter improvement was on top of a 40% surge at the end of 2008.
Over the March 2009 quarter the average home loan repayment fell by 11% to $1,831 per month, significantly lower than the previous amount of $2,056. A further improvement in affordability is expected in the June quarter.
"The boosted grant which now provides a minimum of $21,000 for new homes across Australia along with the significant builder discounts on house and land packages, is increasing the number of first home buyers entering the new home market," said the HIA's Chris Lamont.
The March quarter improvement was on top of a 40% surge at the end of 2008.
Over the March 2009 quarter the average home loan repayment fell by 11% to $1,831 per month, significantly lower than the previous amount of $2,056. A further improvement in affordability is expected in the June quarter.
"The boosted grant which now provides a minimum of $21,000 for new homes across Australia along with the significant builder discounts on house and land packages, is increasing the number of first home buyers entering the new home market," said the HIA's Chris Lamont.
Housing affordability improved by 14.6% in the March quarter according to the HIA-CBA First Home Buyer Affordability Report. The largest improvements were recorded in Hobart, Adelaide, and Sydney.
According to the report, a combination of the boost to the First Home Owners Grant, record low interest rates and relatively stable house prices means housing is at its most affordable in seven years.
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According to the report, a combination of the boost to the First Home Owners Grant, record low interest rates and relatively stable house prices means housing is at its most affordable in seven years.
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