The Adelaide Bank/REIA Housing Affordability Report shows that every state and territory saw housing affordability improve in the September Quarter of 2018 – except Queensland, where affordability remained stable.
NSW saw the greatest improvement, with the proportion of income required to meet loan repayments dropping 1.5 points to 36.6%.
Following this was Western Australia, with a decrease of 1.2 points to 22.7%, then the ACT‘s 0.9 percentage point drop to 20%.
Loan serviceability rates also dropped in Victoria and the Northern Territory by 0.5 of a percentage point each, to 33.8% and 21% respectively. South Australia and Tasmania both decreased by 0.3 of a percentage point, to 26.7% and 25.1%.
Meanwhile, Queensland remained at 28.1%.
Rental affordability was in a similar position, with nearly every state and territory recording declines in the proportion of income needed to meet median rents. The exceptions were Victoria and Tasmania.