(Australian Associated Press)
Around half of Australians believe the dream of home ownership is just that, a dream.
A Nielsen survey for Domain.com.au has found 51 per cent of NSW residents and 52 per cent of Victorian residents feel owning their own home is no longer attainable.
The most disillusioned in the country are Northern Territory residents, with 62 per cent stating home ownership is out of their reach.
In Western Australia, 49 per cent believed home ownership is unattainable, followed by 47 per cent in Queensland, 46 per cent in South Australia and 44 per cent in the Australian Capital Territory.
However, more Tasmanians are living the dream, with only 38 per cent believing home ownership is out of their reach.
Domain senior economist Dr Andrew Wilson says first home buyers are finding it incredibly difficult to get a foot in the door with low interest rates fuelling significant house price rises.
“We have the lowest interest rates at the moment since the mid-sixties and particularly in Sydney, which has a chronic undersupply of properties and a strong local economy, we are seeing strong price growth,” he told AAP.
“In the Sydney market, first home buyers are looking at around an extra $400 a week they need to save just to keep up with prices growth for their deposit.
“It’s quite a sobering statistic and reflects why it’s very difficult for first home buyers to get into the market and of course it means there is a sense that it is becoming less attainable.”
He said Darwin house prices were the second highest of the state capitals, behind Sydney.
The Northern Territory has the highest percentage of renters in the country.
While NT incomes were among the country’s highest, local rents were among the highest in the country, making it difficult for first home buyers to save a deposit, Dr Wilson said.
The Domain Property Research Report, conducted by Nielsen, was an online survey of more than 4,600 Australians during July and August last year and released on Tuesday.
Percentage of renters per state:
*Northern Territory 43 per cent
*Queensland 37 per cent
*New South Wales 33 per cent
*Victoria 28 per cent
*Australian Capital Territory 33 per cent
*Western Australia 27 per cent
*South Australia 27 per cent
*Tasmania 20 per cent
(Domain Property Research Report)