Revealed: Australia’s true feelings about housing affordability

How Australians feel about home ownership and the cost of living has been laid bare in a new report – and it’s not all good news.

Compare The Market’s Home Buyer Barometer report, which surveyed 3000 Australians, highlights some of the costs involved in just getting by, and the pressures Australians are feeling in trying to meet them.

Of those surveyed, only 7 per cent felt the cost of living had improved in the past 12 months.

Almost four in five (78 per cent) said they felt optimistic about the future of the economy, while 79 per cent said they did not receive financial education at school.

The cost of just surviving these days is enough to give you a headache.

More than one in five (21 per cent) said groceries were their most worrisome bill, with the average weekly spend being 198.16 – the equivalent of more than $10,304 annually.

Of those with a home loan, 73 per cent have shopped around for a better deal in the past year, with 62 per cent of all respondents planning to pass on at least one property to their children as part of their inheritance plan.

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On average, the Bank of Mum and Dad contributed $40,000 to grow their children’s deposits.

Compare the Market property expert Andrew Winter said the Federal Government’s new 5 per cent deposit scheme might mean parents can finally catch a break.

“The Bank of Mum and Dad has done some hardcore lending in recent years, with the median amount gifted sitting around $40,000,” he said.

Andrew Winter. Picture: Supplied

“It’s also great news for aspiring buyers whose families do not have the means to chip in.”

But raising a deposit was just one hurdle, Mr Winter said.

“Our research shows Australians have been making huge sacrifices to get a foothold in the market, with 8 per cent of people saying they had even delayed having children in order to save for a deposit,” he said.

“Around one in five people had picked up a side hustle, and 5 per cent had taken on a second job to grow their savings faster.”

Of those surveyed, about 1500 said they had credit card debt, and the average weekly petrol spend was $56.47.

Credit card debt is a concern for many.

One in five have not switched their energy provider in more than 10 years, with the median quarterly energy bill $350.

Emma Lincoln, 29, and fiance Dan Colby, 32, have recently moved to Adelaide from Melbourne, and while the construction project manager says they are happy renting in Greenacres for now, they hope to buy within the next couple of years.

“Househunting is really challenging here because agents in Adelaide generally don’t list prices, whereas in Melbourne they do, so it’s a lot more challenging to know what a home’s worth and what it might cost,” she said.

Emma Lincoln in her rental home in Greenacres. Picture: Ben Clark

“That said, compared to a home the same distance from the city in Melbourne, homes are cheaper here, but there isn’t the variety in property type that you get in Melbourne.

“So home ownership is more attainable here, but it’s also harder to research here.

“We’re definitely looking forward to buying here – we’d like something of our own.”

– with Elizabeth Tilley

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