Home affordability shattering ownership dreams

Rising house prices in the booming property market have forced home buyers to rent, further delaying their dreams of home ownership. A recent survey from RealestateVIEW.com.au of 1,200 respondents have found that more than half cannot afford a deposit and nearly a third believing they cannot afford paying for mortgage.

Around 25% of respondents have stayed away from the property market as it has become unaffordable and 22% have found renting as a cheaper option than purchasing property. Home buyers have further been pushed away from the market as recent home prices in Sydney and Melbourne have increased by 15% and 11% respectively.

Concessions are available for first home buyers, yet this is not enough to convince people to buy. For as long as house prices continue to rise, the market is favorable to the growing number of investors rather than home buyers.

Read more about this on the Ninemsn website.