Cairns’ affordability hotspots: mortgages under $250/week
For sale: A two-bedroom unit at 22 Ward Street, Mooroobool is priced at $190,000.
New data shows Cairns has 14 affordability hotspots where mortgage repayments cost less than renting, saving close to $1000 a month in one suburb alone.
The exclusive list of affordability hotspots was commissioned by Aussie in conjunction with CoreLogic, based on a 30-year loan with a principal and interest variable rate of 3.65 per cent and a 2.35 per cent three-year fixed rate loan.
For sale: 30/324 Sheridan Street, Cairns North – a 2 bedroom, 1 bathroom, 1 car space apartment – is priced at $145,000.
The biggest saving for those choosing to buy rather than rent was for units in White Rock which delivered savings of $805 for those on variable rates and a whopping $938 in the pocket for those who choose to fix rates for three years.
Shockingly, the research also found that there were no suburbs in Cairns where the median home price and rental cost made it cheaper to buy a house, with all 14 suburbs highlighted for their units and apartments.
Under offer: 205/53 McCormack Street, Manunda – a 2 bedroom, 1 bathroom, 1 car space unit – was priced at $128,500.
Here is the full list of 14 suburbs ranked by the biggest saving expected on variable rates, and what the data said about their affordability in terms of renting versus buying.
1. White Rock
With a median unit price of $210,031 and monthly rent coming in at $1,670, White Rock romped in with the biggest saving when buying a unit versus renting. Monthly repayment at a variable rate was assessed as $865 ($216/wk) or $732 for a fixed loan ($183/wk) delivering a buying versus renting saving of $805 a month for those on variable and a crazy $938 for fixed loans.
For sale: 11/9-10 Cavanagh Street, Woree – a 2 bedroom, 1 bathroom, 1 car space unit – is priced in the low to mid $100,000’s.
2. Woree
The median unit price at Woree was $123,621 with monthly rent at $1,290. Variable rate repayments for a mortgage was $509 ($127/wk) or just $431 for fixed monthly cost ($108/wk). Those savings add up to $781 and $859 for those paying off a variable mortgage and fixed mortgage respectively versus renting.
For sale: 8/50 Alfred Street, Manunda – with 2 bedrooms, 1 bathroom, 1 car space unit – is priced at $120,000.
3. Manunda
The cost of renting is higher than buying if you pick up a unit in Manuda (median price $143,560), according to the data. Savings to be had for a variable loan were $715 a month and fixed $805. That’s because monthly rent sits at about $1,306 whereas variable repayments were seen as $591 a month ($148/wk) or $500 fixed ($125/wk).
4. Manoora
Units in Manoora were sitting on a median of $148,951 and with monthly rent at $1,312, it was $698 cheaper to make variable repayments ($613/month or $153/wk) and $792 cheaper to pay off a fixed-rate loan ($519 a month or $130/wk).
For sale: 25/261 Sheridan Street, Cairns North – 2 bedrooms, 1 bathroom, 1 car space unit – priced at $115,000.
5. Cairns North
Cairns North has a median unit price of $215,738 with monthly rent at $1,545. The calculations put monthly variable loan repayments at $888 ($222/wk) or $752 for fixed ($188/wk), meaning those who bought would be $657 and $793 better off respectively.
For sale: 10/3-5 Tenni Street, Redlynch – a 2 bedroom, 1 bathroom, 1 car space unit – is priced at offers over $209,000.
6. Redlynch
If you pick up a median priced unit ($225,524) in Redlynch, you’re looking at a monthly difference of $656 on a variable rate loan or $799 fixed for three years. That’s because monthly rent sits at $1,585 while variable repayments would be $929 a month ($232/wk) while fixed is at $786 a month ($197/wk).
For sale: 2/83 Wilks Street, Bungalow – a two bedroom, one bathroom, one car space unit – is looking for offers over $169,000.
7. Bungalow
With a median of $176,925 for units and Bungalow’s monthly rent sitting at $1,382, the data shows you $654 better off when making variable repayments ($728 a month or $182/wk) and $765 ahead if you’re on fixed rate ones ($617 a month or $154/wk).
For sale: 6/133 Martyn Street, Parramatta Park – with 2 bedrooms, 1 bathroom, 1 car space – is priced at $139,900.
8. Parramatta Park
The monthly difference between buying and renting in Parramatta Park is $615 if you’re making monthly repayments and $758 for fixed rate ones. That’s because weekly mortgage repayments come in cheaper than monthly rent which is $1,546. Off a median price of $226,102, variable repayments would be $931 a month ($233/wk) and fixed $788 a month or ($197/wk).
For sale: 23 Balaclava Road, Earlville – 2 bedrooms, 1 bathroom, 1 car space unit – is priced at $140,000.
The numbers for Earlville show that a median price of $177,725 with monthly rent at $1,341, variable rate repayments would be cheaper than rent at $732 a month ($183/wk) or $620 a month fixed ($155/wk). The difference is $609 less to make variable repayments and $721 in the pocket if it was fixed.
For sale: A two-bedroom unit at 2/342-344 McCoombe Street, Mooroobool, is $149,000.
10. Mooroobool
Mooroobool has a median price of $203,630 with rent at $1,446 a month. Variable repayments come in at $838 a month ($210/wk) while fixed is $710 a month ($177/wk) which is a difference of $608 and $736 respectively compared to paying rent.
11. Westcourt
If you took out a unit here (median price $184,331) instead of paying rent ($1,364 a month), you could be pocketing $605 a month (when making variable repayments) or $721 fixed. The data put variable repayments at $759 a month ($190/wk) or $643 fixed ($161/wk).
For sale: 5/29 Rutherford Street, Yorkeys Knob – 2 bed, 1 bathroom, 1 car space unit – priced at offers over $199,000.
12. Yorkeys Knob
Units in Yorkeys Knob sit at a median of $209,560 with rent at $1,457. A variable repayment would be $863 a month ($216/wk) while fixed ones would be $731 ($183/wk), generating a difference of $594 and $726 respectively versus rent.
13. Edge Hill
The numbers in Edge Hill show a difference of $575 less if you were making variable repayments and $703 less if making fixed repayments compared to paying the monthly rent of $1,409. Median price is $202,710 with variable repayments at $835 a month ($209/wk) or $707 fixed ($177/wk).
For sale: A two-bedroom unit at 11/195-197 Kamerunga Road, Freshwater, is priced at $206,000.
14. Freshwater
Mortgage repayments come in under $250 a week in Freshwater for units (median price $240,150). Monthly rent sits at $1,521, while variable repayments would be $989 a month ($247/wk) or $837 fixed ($209/wk). The difference comes in at $533 less than rent for variable repayments and $684 less for fixed rate repayments.
SOURCE https://www.realestate.com.au/news/cairns-affordability-hotspots-mortgages-under-250week/