Reblogged and adapted from the following post:
By Aidan Devine, Realestate.com.au
Tale of two cities:
suburbs where most and least residents own their home
SYDNEY’S south has become the city’s most accessible housing market.
A new study has revealed residents of the Sutherland Shire were the most likely to own their homes, with residents in the southwest close behind.
The majority of households in the Shire were reported to be paying off a mortgage or own their home outright. There were also 14 suburbs in the region where more than 90 per cent of households owned or were paying off their home.
These included the suburbs of Alfords Point, Woronora Heights and Kareela where 5-6 per cent of households rented their homes — the lowest proportion in Sydney.
In the southwest, only about 5-8 per cent of households in suburbs Glen Alpine and Camden Park rented their homes.
The high rates of home ownership were a sharp contrast to Sydney’s inner ring suburbs and Parramatta CBD. Locals in these areas were the least likely to own their home, with up to 80 per cent of residents living in rental homes, according to the analysis of ABS and CoreLogic data.
Yellow Brick Road wealth manager Jonathan Buckley said Shire households were the least likely to be renters due to a mix of higher incomes and cheaper property prices relative to Sydney’s inner ring. “Shire people are different beasts,” Mr Buckley said. “The area was once very blue collar but many of those tradies have recently come into big money so they’ve chipped away at their debt.”
He added that it was common for local parents to gift money to their children to help them get a foot on the property ladder. “The parents bought their homes when they cost bananas and the prices have shot up, so they will often give their children a bit of their equity to help them buy something,” he said
Highland Property agent Jonathan Eyles said many Shire buyers were cashed up home sellers from the eastern suburbs. “They’ll sell a small unit in somewhere like Coogee and get enough money to upgrade to a much larger house in the Shire,” he said. “The area is a natural fit for these buyers because it’s near the water and it’s accessible by public transport but the prices are better.”
Higher rates of homeownership in the southwest were the result of lower prices, Mr Buckley said. Typical house prices in the region were under $700,000 — well below the Sydney median of about $1 million.
SUBURBS WITH MOST HOMEOWNERS
Alfords Point 94.5%
Camden Park 94.3%
Woronora Heights 94%
Bonnet Bay 93.5%
*Includes mortgagees; Source: ABS, CoreLogic