How Much Does it Cost to Move from Metropolitan Areas to Regional Areas?
If you’re thinking of moving to a more affordable locale, you may be wondering how much it will cost to move to regional areas. This article will help you understand the factors that go into deciding to leave a high-cost metropolitan area. Hopefully, this will help you make a decision that is right for you.
Migration out of high-cost metro areas
The migration out of high-cost metro areas to regional and lower-cost areas is increasing. In recent years, the number of people moving from large metro areas to low-cost regional and lower-cost areas has increased dramatically. These migration flows are particularly high in Melbourne, Sydney and Brisbane. And the influx of people in these regions isn’t limited to young professionals; those with families and school-aged children have also increased significantly.
In addition to the general trend, a new data brief shows that migration has increased in six metro areas in recent months compared to the same period in the previous two years. These migrations may not be as large as the ones observed earlier in the last decade, but they may be significant enough to help regional areas expand their workforces.
Moving from a metropolitan area to a regional one has many advantages, but it also has its drawbacks. People who live in the suburbs spend more money on public transportation and on car ownership. Suburbanites spend the most on transportation overall, and they may have to spend more on their vehicles if they live in a rural area. In addition, country dwellers may be further from their workplace, doctor’s office, and children’s school.
In recent years, there has been a shift away from large metropolitan areas. The data from the ABS reveals a net migration trend away from the major metro areas. The trend was first seen during the previous expansion, but has accelerated since the last few years. The data indicates a shift away from big cities into more regional locales.
People have been drawn to these areas for a number of reasons, including a change in lifestyle, job opportunities and more affordable housing. Rising housing costs can put many people off and are especially detrimental to younger people, those with low incomes, and families looking to buy their first home. Housing costs continue to grow at a faster rate than wages and due to inflation, costs have become even wider in recent years.
Costs of Moving to Regional
Deciding to make a move long distance is not an easy decision however there are hundreds if not thousands all across Australia who make this journey each and every year. The costs of making a move long distance whether it be interstate or somewhere regional within your exisiting state can really depend on a number of factors. The distance to be traveled, the amount of furniture required to be moved, whether you require full service direct door to door or you don’t mind a backload trucking company that shares truck space with others and the urgency of the move also is important. A simple one bedroom house move to regional can cost upwards of $2000 whilst a 4 bedrrom house full of furniture can cost anything between $5000 to $15,000. Moving costs can differ from company to company, so it is a good idea to get a few different quotes from Melbourne removalists or Sydney, Brisbane moving companies where ever you are based to ensure moving to regional is affordable and is what you want to do.
Why First Home Buyers Should Look at Buying in Regional Areas
In a tight housing market, first-time home buyers don’t have many options when it comes to purchasing their first home. They just have to keep a flexible mindset and be flexible. Remember, there will always be trade-offs. But the good news is that there are many affordable regional areas to choose from. Listed below are some reasons why first-time buyers should consider buying in regional areas. You’ll find the best options for your unique situation!
For those buying their first home, obtaining a mortgage with a conventional down payment is a challenge. Luckily, many programs exist to help those with limited funds. Regional Home Guarantee (RHG), for example, is a program that will allow eligible applicants to build or buy newly-built homes in regional Australia with only a five per cent deposit. Prior to this, Victoria home buyers were offer $20,000 regional First Home Owners Grant if purchasing in regional whereas that was halved if the home was not in regional areas or if the contract was entered from 1st July 2021.
If you’re considering buying a home, the closing costs for a first-time buyer in a regional area can be an unexpected surprise. Whether your lender covers these costs or not depends on the type of loan you apply for. Before you gather your funds, discuss them with your loan officer. The lender may cover the closing costs in part or in full, but this isn’t ideal.
The closing costs you’ll have to pay for your new home can range anywhere from 3% to 5% of the overall loan amount. That means that you could be spending thousands of dollars on closing costs if you’re purchasing a $400,000 house. While these costs can add up, they are typically covered through lender credits. This means that you will have lower upfront costs and a more affordable monthly mortgage.
Manufactured housing options
If you want to live in a more affordable home, consider buying a manufactured home. These homes are built in factories and built to HUD standards. They are professionally transported and set on permanent foundations. A manufactured home can be set on a permanent foundation for additional stability and safety. First-time home buyers should explore regional areas where they can find affordable manufactured homes. Some cities and towns even have zoning restrictions that limit the types of manufactured housing.
When looking at manufactured housing in regional areas, make sure to choose a manufacturer with a solid reputation. These homes are often priced lower than those site-built homes, considered a viable option for first-time buyers.
Perfect to enter the market for first-time home buyers
While the national housing market is becoming increasingly competitive, the mortgage industry is still eager to make the process as easy as possible for consumers. First-time home buyers can take advantage of government programs that can help cover the costs of the down payment and closing costs. Purchasing in regional areas is a perfect opportunity to enter the property market, there are plenty of choices when it comes to health and education. Traffic jams are virtually a thing of the past and there is a sense of community with a real focus on support on local farmers and small business.
Making a change and choosing a lifestyle set in regional areas can not only help put your foot in the door in the property market, it can give you a different perspective in life and slow everything down. Leaving the fast-paced lifestyle in the suburbs and hectic cities can help you appreciate what is important, so why not give regional a go…it may change your life!