House prices in mining towns spiralling upwards
Article by Mozo
House hunters who live in towns that have been at the centre of Australia's mining boom are requiring huge home loans in order to secure a property.
Humble abodes in remote mining hotspots such as Pilbara are now worth the equivalent of a plush pad overlooking Sydney Harbour, the Courier reports.
Such is the huge amount of money to be made in the smaller districts, landlords have hiked rents considerably, leaving many inhabitants unable to meet the excessive monthly payments.
RP Data figures have shown that while properties in the upmarket Vaucluse region of Sydney command rents of around $2,300 a week, a similar amount is now required to get a home in a non-descript part of Western Australia.
Mayor of Southern Queensland Ray Brown told the news provider his area was particularly badly affected.
"Rents are going through the roof, people are being displaced from caravan parks and people are being evicted from their homes because rents have gone up 40 per cent," he commented.
Mortgage Choice recently reported a growing number of Aussies are getting pre-approvals before committing to a home loan.
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