Tag archive: Brisbane

Rental Affordability Continues to Decline, AHIG Report Finds

Renters in NSW, Victoria and Queensland continue to suffer from the increasing gap between their household incomes and the median rents, a new report has found.

The 2018 Affordable Housing Income Gap Report revealed that while property prices and median rents across Australia increased by 82 and 76 percent respectively between 2006 and 2016, household incomes grew by just 40 percent.

“Over the past two decades, housing affordability in Australia has deteriorated at an extraordinary rate,” the report said. “Recent research by the Everybody’s Home campaign shows it is now generally accepted as fait accompli that home ownership is beyond the reach of average income earners and a significant proportion of the population has all but given up on the “Australian Dream”.”

Melbourne is the worst capital city for renters, as median rents were up 75 percent while incomes grew by merely 43 percent. Brighton and Brighton East were the least affordable suburbs to rent in the city, requiring 42 percent of an average renter’s weekly income to pay the median rent. Melton was the most affordable with 21 percent.

In Sydney, Woollahra led as the least affordable suburb with 44 percent of income required to pay median rent. Regional NSW did not fare better. Byron’s median rent at $590 was worth 48 percent of income, while Port Macquarie real estate took 34 percent of income for the median rent of $390.

Queensland had the most modest growth in prices. The increase in rents of 61 percent over the decade was also partially offset by the steady income growth of 40.5 percent. Eatons Hill was the least affordable locality in the Greater Brisbane area, while the localities of postcode 4184 were the most affordable.

Find the report here.

Lachlan Fearnley Brisbane

Brisbane House Price Growth Slides to a 5-Year Low

Home prices in Brisbane have fallen, leading the annual growth to drop to a five-year low.

According to the latest Domain Group’s quarterly house price report released in late April, median house prices were down 0.4 per cent across the area, while unit prices dropped by 1.9 per cent.

Alex Jordan of McGrath Paddington told Domain that changes in Sydney might have influenced buyer activity in Brisbane. “I think the change to Sydney’s market is affecting our confidence,” Jordan said. “When Sydney is going up, we look at them as a leading indicator, so when they turn, confidence in our market also goes down.”

This is despite the fact that the city made the latest Knight Frank Global Residential Cities Index as one of the world’s cities with highest home price growth last month. Brisbane achieved the 100th rank with a growth of 2.1 per cent in the past 12 months, beating cities like Beijing and London.

However, local agents claimed that sales were robust for Brisbane real estate. “Overall, the data might show not much is happening but in certain areas, there will be a real momentum and demand driving things along,” said Lachlan Walker, advisory director at Place. “We’re also a very seasonal city when it comes to property — traditionally things are quieter in the March quarter and September quarter.”