Australians now need more than a decade to save up enough money for a house deposit, with the time needed hitting a record high. Lack of housing supply, cost-of-living pressures and high interest rates have pushed the cost of owning a home higher.

New data from CoreLogic found that it would take 10.6 years to save up a 20 per cent deposit. That’s assuming a household can save 15 per cent of their income, which is a huge challenge given the current cost-of-living pressures and stretched rental affordability.

Sydney residents need the longest amount of time to save at 13.1 years, while Darwin locals need the shortest at 5.2 years. Melbourne residents need 9.3 years, Brisbane 11 years, Adelaide 12 years, Perth 9.9 years, Hobart 9.6 years and the ACT 8.1 years.

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CoreLogic research director Tim Lawless said each of the research house’s four different measures of housing affordability were either equal to or at record levels for unaffordability at the end of 2024.

“An imbalance between housing supply and demand, alongside cost-of-living pressures, high interest rates and low savings has pushed the cost of owning or renting a home higher, placing immense pressure on many Australians, particularly first-time homebuyers and renters,” he said.

Along with years to save for a deposit being at record highs, CoreLogic found the ratio of dwelling values to household incomes had hit a record high again in December at 8.0.

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“A ratio of 8 means a household on the median income would be spending eight times their annual gross income to purchase the median value dwelling,” Lawless said.

The percentage of income required to service a new mortgage has also hit a high.

In December, the median-income household buying the median value property with a 20 per cent deposit would need to dedicate 50.5 per cent of their gross annual income to make their mortgage repayments.

Lastly, rental affordability has never been as stretched, with households needing roughly a third of their income to pay rent.

Top 10 most unaffordable areas

CoreLogic also revealed the most and least affordable electors to buy a home in Australia.

The most unaffordable electorates to buy a home were mostly located in Sydney, with four of the top five areas.