Housing Affordability Analysis for the Heeler Family in Perth
Evaluating property market accessibility for a dual-income household in Western Australia.
1Economic Profile of the Heelers
The Heeler family consists of Bandit, an archaeologist, and Chilli, who works in airport security. Their combined annual income is estimated at $165,000 for 2024. Using a standard affordability threshold of 30 percent of take-home pay, the family can manage a maximum purchase price of $760,000 or a weekly rental of $952.
2Market Access in 2024
Analysis of 302 Perth suburbs shows the Heelers could afford to purchase a three-bedroom home in 149 locations during 2024. Rental options are significantly broader, with 276 suburbs falling within their budget. While these properties lack the specific architectural style of their Queenslander home, they provide viable housing alternatives for the family.
3Projected Affordability for 2026
By 2026, the family's purchasing power is projected to increase to $800,000, with a rental capacity of $1,154 per week. Despite this income growth, rapid market escalation means they would be priced out of 99 previously affordable suburbs. Only 50 suburbs would remain accessible for purchase, highlighting the impact of rising housing costs.
4Geographic Constraints and Location
Considering the location of Perth’s airports, the Heelers would likely prioritize suburbs south of the river. Of the 50 suburbs affordable in 2026, only 30 are located in the southern region. This geographic limitation further restricts their housing choices, making the search for a suitable family home increasingly difficult in the current market.
5Impact of Dependents on Borrowing
The analysis assumes a standard income-to-debt ratio, but the reality for the Heelers is likely more constrained. Having two dependents, Bluey and Bingo, significantly impacts borrowing capacity. This financial burden often forces families to abandon home ownership goals entirely, pushing them into the long-term rental market instead of purchasing property.
6Broader Housing Market Realities
The fictional scenario of the Heeler family reflects a widespread trend for real households in Western Australia. Many families are being priced out of the majority of Perth suburbs, leading to a shift toward long-term renting. This transition highlights the growing difficulty for middle-income earners to secure property ownership in major urban centers.
7Policy Landscape in Western Australia
Governments are actively addressing housing affordability through various legislative measures. Western Australia has already implemented bans on rent bidding and established limits on rent increases. These policies aim to provide immediate relief to tenants, although the rapid escalation of prices continues to challenge the effectiveness of these interventions for many families.
8Future Legislative Reform Outlook
New South Wales and Victoria have introduced reforms restricting landlords from ending tenancies without specified grounds, enhancing tenant security. Western Australia has announced similar legislative intentions, though these remain pending. Implementing such reforms is crucial for providing certainty to families who are increasingly forced into the rental market by rising property prices.