Purchasing a home in a number of towns in New South Wales has become a smarter and cheaper choice compared to renting.
According to a report from The Daily Telegraph, dwellers who bought their own homes will be able to save $45 a week in parts of the Hunter Region and $143 a week in the city of Broken Hill.
Homes are also considerably cheaper in Wellington, Tamworth, and Wagga Wagga. Rents in Wellington usually go around $240 per week, significantly higher than a weekly mortgage payment of $143 for a $149,000 house.
The report said there are more than 40 other areas around the state where weekly mortgage payments are up to 80% cheaper than weekly rents. These areas include Murwillumbah, East Kempsey, Taree, and Tweed Heads West.
The unaffordability of Sydney has pushed house hunters to consider exploring cheaper real estate markets. In fact, this trend has already been reflected in the population growth seen in certain areas. For instance, Wagga Wagga's population growth over the past two years grew nearly a two-fold from 2013. Meanwhile, Tamworth has risen to become the state's third largest inland city according to the NSW Department of Planning.
Burke & Smyth real estate agent Gavin Knee said Sydneysiders have influenced the local sales of homes in such areas.
“A large number of the people who bought Tamworth homes last year were either Sydney-based investors or Sydney families deciding to make the move,” he said.