Melbourne was the only city in Australia to see housing affordability levels improve in the three months to June, thanks to the Victorian First Home Owner's Grant.
The latest HIA-CBA First Home Buyer Affordability Report shows Melbourne's first home buyer affordability increased by 0.7 per cent in the June quarter, up by 49.1 per cent on the same time last year.
Affordability in regional Victoria fell by 2.7 per cent as house prices rose, but the index was 27.4 per cent higher than in mid-2008.
National housing affordability conditions dropped by more than 5 per cent in the June 2009 quarter due to increases in prices paid for established houses. Despite this, affordability is still well ahead of what it was at the same time last year.
