Australian houses are among the world's least affordable

Property prices across all the major cities in the world are rising, and it’s getting less easy to afford a place to live.

In London, for example, the average is cost to buy a home in London hit £536,000, according to the Office for National Statistics.

But at the same time, wage growth is stagnating and comes in around £30,000 mark for Britain’s capital. This means the amount of debt the average buyer takes on is huge and the gap between house prices and incomes is widening.

But according to luxury estate agent Knight Frank’s latest Global House Price Index, the UK isn’t even in the top five countries for the worst house price affordability ratio — these countries are:

“Housing affordability, or the lack of it, is rising up policymakers’ agendas worldwide,” said Knight Frank’s international residential research analyst Kate Everrett-Allen.

“According to the latest data from the OECD, which measures house prices against incomes for 24 of its 34 members, Belgium and New Zealand are currently the world’s least affordable markets, whilst home ownership is most accessible in South Korea and Japan.”

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