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Australian couples buying their first home are taking up to eight years to save for a deposit as rising property prices and low wage growth make saving a struggle.
The time taken for young couples to gather a house deposit has increased by 11 months on last year as living costs increase and interest rates stay low, the Domain First Home Buyer Report found.
Those saving for a unit deposit were taking an extra three months.
First home buying couples looking for houses in Sydney faced the longest wait.
They were taking eight years and one month to meet the study criteria of a 20 per cent deposit on an entry-level home.
This was 18 months longer than the time taken in the previous year’s report.
The same increase applied to those in Canberra. ACT couples were taking seven years and one month to enter the housing market.
The wait was next longest in Melbourne, six years and six months. Hobart was five years and 10 months. Buying in Brisbane, Adelaide and Darwin took about four years, while Perth took about three years.
The report methodology was based on Bureau of Statistics data for properties and incomes of people aged 25 to 34.
The report also assumes two incomes, and each person saving 20 per cent of their post-tax income each month.
– AAP
