The Australian Capital Territory is the most affordable of the country's states or territories in which to own a home, a report has shown.
Published by the Real Estate Institute of Australia (REIA), the Deposit Power Housing Affordability Report shows that the proportion of income required to meet loan repayments is 18 per cent.
New South Wales, however, is the least affordable state or territory in which to own a home, where the proportion of income required to meet loan repayments is three per cent.
David Airey, president at the REIA, said that these statistics are clear evidence that action is required on the affordability of Australian property.
"There should be no further increases in interest rates as well as action from the new government on the supply side factors and an increase in the First Home Owners Grant with indexing to median house prices," he added.
Earlier this month, smartcompany.com.au reported claims by McGrath Estate Agents' managing director John McGrath that the price of Australian property in Sydney could increase by ten per cent over the next 12 months.
Posted by Steve Douglas
