Home Australia How Australians can still buy a property in Sydney, Melbourne and Brisbane for $600k: Here’s what you’ll get in each city

How Australians can still buy a property in Sydney, Melbourne and Brisbane for $600k: Here’s what you’ll get in each city

by Elijah
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In Sydney, $600,000 buys an apartment in Riverwood, in the southwest of the city.

A person with an average income and a 20 per cent mortgage deposit can still buy a house in a major Australian capital for $600,000.

In Sydney, that kind of money buys an apartment near a train station, but in Brisbane and Melbourne, it’s still possible to buy a house in an outer suburb near the water or a unit right in the city.

Someone buying a $600,000 home would need a 20 percent deposit on the $120,000 mortgage loan to be able to borrow $480,000 and avoid the lender’s costly mortgage insurance.

A rise in house prices, despite a series of Reserve Bank interest rate increases, means living at least 40 kilometers from the city center to have a backyard.

That would mean an hour’s drive to the city center, as record immigration increases demand for a place to live.

Since banks can’t lend more than five times a person’s pre-tax income, this is what a full-time worker with an average salary of $95,581 can buy.

Sydney

Australia’s most expensive city, Sydney has a very unaffordable median house price of $1.395 million.

Apartments are also expensive, with a median price of $828,525, which is more expensive than a typical house in Adelaide, Perth, Hobart or Darwin.

But in Riverwood, 25 kilometers southwest of Sydney city centre, it is possible to buy an apartment for $600,000.

The median unit price here is also $607,495, CoreLogic data showed, and that kind of money buys something with two bedrooms.

Being on the south side of the M5 motorway, it’s also a little more luxurious than nearby Punchbowl and Wiley Park.

In Sydney, $600,000 buys an apartment in Riverwood, in the southwest of the city.

The median unit price here is also $607,495, CoreLogic data showed, and that kind of money buys something with two bedrooms.

The median unit price here is also $607,495, CoreLogic data showed, and that kind of money buys something with two bedrooms.

Unit values ​​at Riverwood increased 6 percent in the year to January 2024.

In comparison, the median house price in metropolitan Sydney rose 12.8 per cent, while apartment values ​​rose 7.7 per cent.

Sydney is almost out of reach for someone looking to buy a home for $600,000, unless you find a home that needs major repair and renovation.

Shalvey, near Mount Druitt in the city’s west, has a median price of $692,644, following an annual increase of 15.2 per cent.

brisbane

In Brisbane, the median house price rose 15 per cent to $888,628.

That means someone with a budget of $600,000 has to consider an outer suburb north or south of the city center and buy something slightly below the suburb’s midpoint.

Houses in Moreton Bay, north of Brisbane, are still selling for $600,000, including the one in Deception Bay (pictured).

Houses in Moreton Bay, north of Brisbane, are still selling for $600,000, including the one in Deception Bay (pictured).

Deception Bay, 46km north of the city, has a median house price of $647,981, following a 12.7 per cent increase over the last year.

Deception Bay, 46km north of the city, has a median house price of $647,981, following a 12.7 per cent increase over the last year.

Deception Bay, 46 kilometers north of the city, has a median house price of $647,981, after an increase of 12.7 per cent over the past year.

Bellara, a Bribie Island suburb a little further north of Moreton Bay, has a median house price of $640,273, overlooking the Pumicestone Channel.

House prices here have risen a more moderate 5.3 per cent over the past year.

The surf beach is a short drive away on the east side of the island.

For those who want to be a little closer to the city, Darra, 18km southwest of Brisbane, has a median house price of $687,219, following an increase of 15.7 per cent over the last year.

Downtown units have a median price of $633,304, following an annual increase of 16.3 percent.

Melbourne

Melbourne’s median house price of $942,750 is out of reach for a single-income earner on the median salary, despite the price rising less than 4.3 per cent over the year.

But Frankston North, 30 miles southeast of the city, has a median house price of $596,163, after an annual increase of just 3.3 percent over the past year.

Frankston North, 30 miles southeast of the city, has a median house price of $596,163, following an annual increase of just 3.3 percent over the past year.

Frankston North, 30 miles southeast of the city, has a median house price of $596,163, following an annual increase of just 3.3 percent over the past year.

It’s significantly cheaper than neighboring Frankston, at $736,385, which is right on Port Phillip Bay.

For those who want to live closer to the city, Broadmeadows, 22km north of Melbourne, has a median price of $571,110, after a 0.3 per cent drop over the last year.

Melbourne also offers apartments close to the city and the water at an affordable price, and St Kilda West has a median price of $608,792, prices that remain stable throughout the year.

It is only 8 km by tram from the city.

Could interest rates rise again?

In February, the Reserve Bank left the interest rate unchanged at a 12-year high of 4.35 per cent.

Last year, inflation moderated to a two-year low of 4.1 per cent, but the consumer price index was still well above the RBA’s target of 2 to 3 per cent.

But the minutes of that Feb. 5-6 board meeting explained why Gov. Michele Bullock had to shelve the possibility of another rate hike.

“In light of these conclusions, members agreed that it was important that the board’s public statement make clear that inflation had moderated but was still high, and that further increases in interest rates could not yet be ruled out or ruled out. interest,” the report said. minutes he said.

“Members also agreed on the importance of highlighting the uncertainty surrounding the economic outlook and the need for monetary policy to be driven by evolving relevant data, the outlook for the economy and evolving risks.”

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