Property priority over other life goals
Nearly half of Australians were sacrificing life goals in order to be able to purchase property, industry-fund owned bank, ME Bank reveals..
A survey of 2,036 Australians found 49 per cent had delayed life goals to buy a home, while 30 per cent of respondents delayed or scaled down their holidays, which was also the most common sacrifice.
Many were also delaying marriage and children, with 14 per cent of respondents delaying or deciding to have fewer children, 12 per cent delaying or scaling down their honeymoon, and 10 per cent delaying or downsizing their wedding.
The survey also showed generation Y (18-34) were sacrificing more, with two thirds of millenials (69 per cent) delaying life goals for a mortgage, compared to 46 per cent for generation X and 41 per cent for Baby Boomers.
ME Bank head of home loans, Patrick Nolan, said this illustrated that it was tougher for millenials to attain their first home than previous generations.
"Everyone who buys a house makes sacrifices in order to meet that commitment, but it's getting more difficult − not surprising when house prices have more than doubled since 2000, out-stripping rises in real incomes," he said.
However, only six per cent of all respondents delayed starting their own business due to their mortgage, while only seven per cent with children decided to send them to a less expensive school.
AUTHOR
Malavika Santhebennur
Recommended for you
ASIC has cancelled a Sydney AFSL for failing to pay a $64,000 AFCA determination related to inappropriate advice, which then had to be paid by the CSLR.
A former Brisbane financial adviser has been charged with 26 counts of dishonest conduct regarding a failure to disclose he would receive substantial commission payments for investments.
Inefficient data processes and systems mean advisers are spending over half of their time on product implementation and administration at the expense of clients, according to research.
With the regulator announcing its enforcement focus for 2025 last week, law firm Hall & Wilcox examines the areas which have dropped down the list in priority for the regulator.
