If you are looking for a home loan in the Rockingham area, you may be excited by this report. According to the Moody’s Investor Service Structure Finance Report 2015, mortgage repayments for Perth homeowners are the most affordable they have been since 2004.

In the Perth metro area, the average homeowners spend 21% of family income on housing repayments. This is down from 23.9% at the same time last year. According to Moody’s Investment Services, this is the lowest ratio in 12 years. Even with a median home price around $540,000, the ratio of mortgage repayments to wages in Perth is 8% less than the national average of 29.3%.

For comparison, homeowners in Sydney spend 39.2% of their monthly incomes on mortgage repayments.

The CoreLogic RP Data Home Value Index indicates that the median price in Perth has dropped 4.4%, making Perth the fifth cheapest capital city in which to buy a home. According to Hayden Groves, President of the Real Estate Institute of Western Australia (REIWA), they conducted their own study and came to a similar conclusion: Perth housing is the most affordable it has been in ten years.

According to Mr Groves, for the three months to November 2015, 42% of sellers adjusted their selling prices. Mr Groves also noted that first home buyers are still active, even though being forced to buy new homes if they want a First Home Owner Grant (FHOG), especially in the $350,000-$500,000 range.

Find the Right Home Loan at Smartline Rockingham

We agree with this analysis. While the flat home market for 2015 and the projected first few months of 2016 don’t look good on paper, they are great for someone who wants to buy a home right now. You get an unbeatable combination of affordability in 12 years and record low interest rates.

Take action while the market is still in this “sweet spot.” Call Smartline Rockingham today: (08) 9527 1800.