2 days ago
Revealed: Pay packet needed to buy a home in Darwin
Territory homebuyers need to earn almost $47,000 more a year to buy a typical Darwin house than they did five years ago, however that figure is less than half of what Sydneysiders need to bring home to lock down a house.
Analysis by Canstar determined increases in property prices and interest rates meant a household needed to now earn $106,480 a year to afford an average-priced house in Darwin, compared to $59,520 in 2020.
In the past five years, the median house price in Darwin increased from $445,000 to $570,000, while the average interest rate on a home loan went from 2.93 per cent in 2020 to 5.75 per cent in 2025.
In the unit Darwin market, the average cost of a property was $300,000 in 2020 compared to $365,000 in 2025.
Darwin unit buyers now need to earn $68,185 for a typical unit, while pre-pandemic that figure was $40,126.
Darwin property agent Kerri-Ann Laurence, of Laurence Real Estate, said considering everything from eggs to electricity had gone up in the past half-decade, it was no surprise property prices had, too.
'Everything cost more than it did in 2020,' she said.
'But compared to other capital cities, Darwin is still terrific buying.
'If you're looking to move in, you'll avoid high rents by buying (a Darwin home), and if you're looking for investment, you're getting among the highest yields in the country.'
Ms Laurence said Darwin property priced below $500,000 was currently attracting strong interest.
'I've got a unit for sale at the moment for $349,000 and there has been massive demand for that,' she said.
'Market conditions are better now than they've been in the past 10 years.'
At a suburb level in the NT, Nightcliff saw the greatest jump in income needed to service the home loan on a typical house, up $95,673 in the past five years to $178,400, based on a median price of $955,000.
Next was Stuart Park, where a household needed to earn $82,799 more a year to afford an average house, followed by Girraween, where the annual income needed jump $77,334.
The Canstar analysis, based on median home prices, loan amounts and monthly loan repayments, found the Darwin house market required the lowest annual income of any capital city.
Sydney had the highest income requirement at $272,737, followed by Brisbane ($171,862), Melbourne ($159,719), Adelaide ($154,489), Perth ($148,604), Hobart ($131,698) and Darwin ($106,480).
When it came to units, Sydney was once again at the top with a household needing to earn $149,071 a year to buy a standard property.
Brisbane was second ($120,490), then Melbourne ($112,084), Adelaide ($106,480), Hobart ($100,782), Perth ($99,007) and Darwin ($68,185).
The latest PropTrack Home Price Index revealed the median dwelling price in Darwin increased 3.78 per cent year-on-year in March to sit at a fresh peak of $519,000.
REA Group senior economist, Eleanor Creagh said this was the greatest annual price growth the Darwin market had experienced since mid-2022.
'Darwin had previously underperformed compared to other capital with subdued growth and even decline,' she said.
'The recent upswing reflects a bit of a catch up after a period of softer growth.'
Canstar director of research Sally Tindall said the 'astonishing' spike in income required to enter the market across most Australian capitals risked 'shutting people out'.
'It creates this divide between those already in the market and those who are struggling to land a foot on the property ladder,' she said.
'Fundamentally, the issue facing first-home buyers across the country is that prices are too high and their wages can't keep up.'
Ms Tindall said insufficient housing supply and the equity available to upgraders were key factors behind rising prices.
'It's not an even playing field,' she said.
'Very few people have had the kind of pay rises needed to keep pace with the market.
'For most people, the only way they've kept up is because they already own property.'
CHANGE IN INCOME NEEDED TO BUY A DARWIN HOME
Suburb Property Type 2020 Median Value Income Needed 2025 Median Value Income Needed Difference In Income
Nightcliff House $618,500 $82,727 $955,000 $178,400 $95,673
Stuart Park House $610,000 $81,590 $880,000 $164,389 $82,799
Girraween House $595,000 $79,583 $840,000 $156,917 $77,334
Virginia House $505,000 $67,546 $750,000 $140,105 $72,559
Rapid Creek House $577,500 $77,243 $770,000 $143,841 $66,598
Parap House $720,000 $96,303 $865,000 $161,587 $65,284
Lyons House $635,000 $84,934 $768,000 $143,467 $58,533
Humpty Doo House $475,000 $63,533 $645,000 $120,490 $56,957
Durack House $390,000 $52,164 $575,000 $107,414 $55,250
Johnston House $552,000 $73,832 $675,000 $126,094 $52,262
Suburb Property Type 2020 Median Value Income Needed 2025 Median Value Income Needed Difference In Income
Bayview Unit $340,000 $45,476 $627,500 $117,221 $71,745
Parap Unit $222,500 $29,760 $440,000 $82,195 $52,435
Coconut Grove Unit $228,250 $30,530 $370,000 $69,119 $38,589
Fannie Bay Unit $365,000 $48,820 $460,000 $85,931 $37,111
Stuart Park Unit $332,500 $44,473 $435,000 $81,261 $36,788
Millner Unit $195,000 $26,082 $322,000 $60,152 $34,070
Rosebery Unit $260,000 $34,776 $366,000 $68,371 $33,595
Bakewell Unit $215,000 $28,757 $298,500 $55,762 $27,005
Nightcliff Unit $272,500 $36,448 $333,000 $62,207 $25,759
Leanyer Unit $275,000 $36,783 $325,000 $60,712 $23,929
