The great Australian home ownership dream is still alive, especially if you are a professional earning more than $70,000 a year, according to new research from KPMG.
The great Australian home ownership dream is still alive, especially if you are a professional earning more than $70,000 a year, according KPMG's new report 'The Australian Home Loan Market - Winning the fight for customers'.
KPMG surveyed more than 600 professionals earning between $70,000 and $250,000 per annum, a category defined as ‘mass affluent’.
Respondants were asked about their views of the mortgage market and their future intentions, and the result was clear: this section of the market is still showing strong demand for home loans despite rapidly rising residential property prices.
Since 2006 the median house price in Australian capital cities (where 67 per cent of the population live) has more than doubled from $286,000 to almost $700,000. The median price for units and apartments has grown by 40 per cent in the last ten years.
Over the same period, Australian wages have grown at a much more modest compound annual rate of 3 per cent.
Yet, the KPMG survey shows the dream of home ownership persists.
A total of 63 per cent of the ‘mass affluents’ surveyed said they expect to take out a home loan within the next two years.
Other findings from the survey:
Read KPMG's report 'The Australian Home Loan Market - Winning the fight for customers'.
Read more about the great Australian dream of home ownership:
Young Aussies fear being locked out of property market forever