IT might not be WA’s richest council area when it comes to property prices, but City of Subiaco homeowners are trumping the state in home equity levels.
A report released last week by Aussie Home Loans and CoreLogic RP Data reveals Perth homeowners on average have 39 per cent equity in their properties, or $178,794 a house.
But homeowners in City of Subiaco were ahead of the pack, with the average property owner enjoying 55.7 per cent equity in their home, or $509,411 – the highest of any council region in WA.
Equity is difference between what your home is worth and how much you owe on it.
A homeowner with a property worth $500,000 who owes $200,000 would have $300,000 in equity. It is often used by lenders to assess what other loans a borrower can access.
Melville, Augusta-Margaret River, Cambridge and Victoria Park had the next highest equity levels.
Dardanup, in WA’s South-West, was the worst-performing region, with the average homeowner having just 25.3 per cent equity, or $93,941.
In the metropolitan area, Rockingham mortgage payers had the worst average of 30.3 per cent equity, or $116,205.
But WA has the sixth lowest equity levels in the country. NSW homeowners had the highest, with $242,642 on average, or 48.4 per cent.
Aussie Home Loans founder John Symond said Australian homeowners on average were 22 months ahead on monthly mortgage repayments.
|1. Subiaco||55.7 per cent||$509,411|
|2. Melville||54.4 per cent||$370,100|
|3. Augusta-Margaret River||53.8 per cent||$325,579|
|4. Cambridge||52 per cent||$344,409|
|5. Victoria Park||47.8 per cent||$239,672|