Dream deposit a nightmare
FOR Tjirra Francis, the dream of owning her own home seems to be slipping further and further away – and she’s not alone.
According to recently released data, housing affordability has worsened during the past year with first-home buyers needing to save 10 per cent more for a deposit.
Australian couples now need to raise an $85,800 deposit for a median-priced house, compared with $78,100 a year earlier, the Bankwest analysis showed.
That number is something Ms Francis, a 21-year-old nursing student at Southern Cross University, finds incomprehensible.
“If I need to save $80,000 for a deposit, I won’t be able to buy a house for the next 10 years,” she said.
“Its hard because I had to move from home as soon as I finished my HSC for work and uni – I have to rent and pay my uni bills so saving isn’t easy. I’m basically paying someone else’s mortgage.”
The Bankwest data revealed it was now taking 4.5 years to save for a 20 per cent house deposit, up from 3.7 years in the previous annual report. Saving for a median-priced unit was marginally less daunting, with first-home buyers needing to find $76,900 for a deposit – a four-year task.
“Once I finish uni and am working fulltime I will be able to focus more on saving, but at the moment it’s nearly impossible.”
Bankwest Retail chief executive Vittoria Scott said a growing army of first-home buyers were being locked out as established property owners benefited.