Those who are on the hunt for Illawarra real estate will be happy to hear that affordability is on the rise in Australia.
The financial demands of purchasing property have been mitigated slightly by a variety of factors, as outlined by the Housing Industry of Australia (HIA).
HIA senior economist Shane Garrett highlights earnings growth, dismal price development and the Reserve Bank of Australia's decision to twice lower the official cash rate as contributing factors to the rise in affordability.
The HIA-CBA Affordability Index indicates that the December quarter of 2012 saw a 5.5 per cent jump, contributing to an even more significant year on year improvement of 18.4 per cent.
"This is the eighth consecutive quarter of increase in the index, bringing it close to levels not seen since the depths of the GFC during 2009," said Mr Shane Garrett.
"For regional areas, affordability is at levels last seen during the early 2000’s decade."
Houses for sale in Illawarra may be suddenly more appealing knowing that affordability is improving significantly.
At last measure, New South Wales holds an affordability index of 76.1 – 13.1 per cent higher than the same time period in 2011.
The announcement of more favourable buying conditions follows after a report earlier this month that building approvals in the state have also remained strong.
"While approvals for both detached houses and ‘other dwellings’ declined over January, both segments were still in a better position compared with a year ago," said HIA executive director, NSW, David Bare.
"In the three months to January 2013, detached house approvals were 8.6 per cent higher compared with a year earlier, while ‘other dwelling’ approvals were a very strong, 36.3 per cent higher."