Top 5 most affordable areas in Sydney

08 November 2018

Experts and Advice

According to CoreLogic’s latest Housing Affordability Report, our beloved Sydney has been recorded as the nation’s least affordable housing market (surprise, surprise). Home to over five million people, the past five years has seen median dwelling prices of Sydney increase by an astounding 51%.

To determine the top 5 most affordable areas in Sydney, we’ve compared the following report metrics:

  • The ratio of dwelling prices to annual household income
  • The number of years it takes to save a 20% deposit, based on saving 15% of household income
  • The proportion of household income required to service an 80% Loan to Value Ratio (LVR) mortgage.

Now, without further ado… here they are!

Camden

Camden recorded the best results for all housing affordability metrics, making it Sydney’s most affordable area to buy. Camden takes the cake with nine years as the time recorded to save a 20% deposit , meanwhile Sydney's Eastern Suburbs are more than double that, with a whopping nineteen years recorded.

Dwelling price to income ratio: 6.7

Years to save 20% deposit: 9.0

Percentage of household income required to service an 80% LVR mortgage: 36%

Parramatta

Located 23km west of Sydney's CBD, Parramatta came in second in the Housing Affordability Report. Find out more about the local area here.

Dwelling price to income ratio: 7.1

Years to save 20% deposit: 9.5

Percentage of household income required to service an 80% LVR mortgage: 38%

Penrith

A bit further west sits Penrith! Located on the banks of the Napean River, Penrith is home to just over 200,000 people.

Dwelling price to income ratio: 7.4

Years to save 20% deposit: 9.9

Percentage of household income required to service an 80% LVR mortgage: 39.4%

Wollondilly

Wollondilly Shire is located at the foothills of the Southern Highlands on the south western outskirts of Sydney.

Dwelling price to income ratio: 7.5

Years to save 20% deposit: 9.9

Percentage of household income required to service an 80% LVR mortgage: 39.8%

Blacktown – North

Not far behind Wollondilly is Blacktown, which is located 34 kilometres west of the Sydney central business district.

Dwelling price to income ratio: 7.5

Years to save 20% deposit: 10.0

Percentage of household income required to service an 80% LVR mortgage: 40%

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