Monday, 25 February 2013

Thematic Maps of House sale

(if viewing on email please click Blue Heading above to see pictures)

Where can you buy a house or unit under $400,000 across the capital cities and major regional markets?

 Tim LawlessTim heads up the RP Data research and analytics team, analysing real estate markets, demographics and economic trends across Australia

The issue of housing affordability always strikes a nerve here in Australia, and there is no doubt that homes across Australia’s largest capital cities are expensive by international standards.  There are plenty of studies around that aim to investigate how affordable or unaffordable Australian housing is, however I found the recent Reserve Bank of Australia article (pages 13 to 22 in the December quarter RBA Bulletin) on housing affordability to be one of the most informative studies (  The RBA point out some of the differences in methods for calculating housing affordability, particularly around the house price to income ratio and why results can be significantly and fundamentally different depending on what data and figures are being used.

The series of thematic maps below provide some geographic context
Areas shaded in the red have recorded at least 80% of house or unit sales at a price below $400,000 over the 2012 calendar year.

The concentric circles mark the 10km, 20km and 50km points from the capital city GPO.

The white space on the maps is typically areas where the number house or unit sales are either very low or non-existent.
The spatial trends are pretty clear and should come as no surprise.

The vast majority of affordable sales are generally located in the outer fringes, with very few suburbs showing a high proportion of house sales lower than $400,000 within 20km of the city.

This trend is particularly the case in the larger capitals, although there are a few exceptions.

The proportion of unit sales priced under the $400,000 mark show an improvement in proximity, demonstrating the more affordable price points that medium and high density housing options provide.

Click on each picture to blow up to see in more detail.