HOUSING AFFORDABILITY CONTINUES TO DECLINE IN CANBERRA

The ACT was the only jurisdiction to record a decline in housing affordability and rental affordability over the June quarter, according to the Real Estate Institute of Australia and Adelaide Bank’s Housing Affordability Report for the June quarter 2016, Shadow Minister for Housing Nicole Lawder said today.

“The proportion of income needed to meet home loan repayments increased by 0.1 percent to 19.4 percent in June while proportion of income required to meet the median rent increased by 0.4 percentage points to 17.8 percent,” Ms Lawder said.

“This data demonstrates that families on low to moderate household incomes continue to face an uphill battle on housing costs in Canberra.

“When you are on a below-average income, a decline in rental affordability makes it more difficult for first home buyers to save up for their initial deposit and of course the problem for first home buyers is not necessarily the ability to afford monthly repayments; it’s saving up for that lump sum.

“The Barr Government continues to squeeze families as rates triple and as basic fees and charges increase. Andrew Barr has clearly forgotten those struggling in Canberra,” Ms Lawder concluded.