Housing has become more affordable in Orange but rentals are getting harder.
Property group Corelogic's latest housing affordability report has shown the time it takes for people to save a 20 per cent deposit for a house in Orange has dropped from 7.3 years to seven years in the past 12 months.
That is shorter than most nearby regional cities except for Dubbo.
The figures are based on the assumption 15 per cent of household income is saved for a home deposit.
Corelogic says the trend is occurring across regional NSW.
"A slight reduction in housing values and incomes edging higher has seen housing affordability become slightly healthier across regional NSW over the past year," the report found.
It said the overall median housing values across regional NSW fell by 2.4 per cent while household incomes were up by 1.1 per cent.
Orange's seven-year saving period is the same as the regional NSW average.
- SAVING TIME
- How long people in the Central West have to save to get a deposit.
- Orange 7 years
- Bathurst 7.6 years
- Dubbo 5.9 years
- Lithgow/Mudgee 7.5 years
- Source: Corelogic
The report also found people are having to pay more for rental properties.
In Orange the percentage of household income required to pay rent had risen from 25.1 per cent in 2018 to 26.6 per cent this year which was still lower than nearby regional cities.
Stephen Townsend, principal of Townsend Real Estate, said the improvement in housing affordability was offset by banks tightening their lending following the banking royal commission.
"That might be coming down but loan applications are getting harder. Because of the royal commission the banks are getting gun shy," he said.
Mr Townsend said it was particularly affecting people trying to trade up from their existing home.
- RENTAL MARKET
- What percentage of income is needed to rent a home
- Orange 26.6 per cent
- Bathurst 26.7 per cent
- Dubbo 27.3 per cent
- Lithgow/Mudgee 32.3 per cent
- Source: Corelogic
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