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.
| Equity | Dollar value | |
|---|---|---|
| 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 |
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