Housing affordability is one of the key issues being discussed in this election.
RP Data’s Cameron Kusher recently wrote about this topic from an angle that I had not considered.
More than 4 out of every 5 Australians that own their own home have at least 1 spare bedroom. Over 50% have 2 spare bedrooms.
Less than 2% of people in owner-occupied dwellings need more bedrooms.
The point was made that the vast majority of new dwellings in the “Inner-City” are either 1 or 2 bedrooms.
Conversely, the vast majority of new dwellings on the city outskirts are 4 or 5 bedroom properties. This has, over time, resulted in families moving further away from large, inner city, employment centres.
Cameron goes on to observe that “Because of the high cost of land and significant charges on new development, unfortunately, most of these new properties are not being delivered to the market at particularly affordable price points”.
Cameron’s article is titled “Housing wants vs Housing needs”, which summarises his position well. “As housing affordability worsens, people need to more carefully consider the difference between the housing that they need and the housing that they want and ultimately the difference in cost between the two.”
If you are looking to buy a property, we can now offer you a report that shows you the median price per bedroom in your chosen suburb. Shoot us an email if you would like this information.