REINT CEO Aswin De Silva said the data indicates a negative trend at end of 2022 in comparison to the previous year.
“ It is a double whammy with increased cost of living and higher borrowing rates making it difficult for consumers to meet obligations”
CEO commented that the proportion of family income devoted to meeting average loan repayments increased to 32.2% by end 2022, a 7.4 percentage points increase from 2021. However, these numbers are much lower with family income to meet home loans nationally been higher at 44.7% significantly increasing form 2021.
“The average loan component has also increased to $442,000 from $430,000.”
“The most impacted are the first home buyers. This group which consists of 32% of total owner occupiers are doing it extremely tough as their average loan size too has increased to $415,000 from $389,000 the year before”
“With reduced ability to borrow, number of loans to first home buyers in 2022 decreased by 26.7%””
Mr. De Silva said that the proportion of income needing to meet median rental obligations only changed marginally. This is a relief as compared to other indicators in NT housing.
“But its higher at 25.6% as compared to 22.9% nationally.”
“All these leads to the need of fast-tracking housing investments to keep consumers within the Territory and engage them in development activity.”
