Digital Finance Analytics (DFA) Blog
"Intelligent Insight"
Join us tonight at 8pm Sydney for a live discussion about property trends, and household stress. You can ask a question live, and we will have the post code engine online so we can look at specific post codes and also our stress mapping across the country.
Given the 50 basis point rate hike today, this is an important show.
A deep dive into rental stress across Australia, as more households wrestle with costs of living and rising rents. There is simply not enough focus on the 2 million households struggling with meeting rental payments, as real incomes are eroded by higher inflation. Go to the Walk The World Universe at https://walktheworld.com.au/
This is a first take on the latest results from our models, which shows a further rise in mortgage and rental stress (defined in cash flow terms) across Australia. We examine the high-level results by state, segment and post code, and also present the latest stress heat maps, which highlight the growth of pressure in the newly developed zones across the country, as well as in some regional communities. Stress has risen thanks to rising costs of living, increasing mortgage and rents, while real incomes continue to fall.
We also include some suggestions as to how to manage stress. Call the National Debt Helpline on 1800 007 007 for free and confidential advice from professional financial counsellors. But be careful of those offering advice for a fee, it is big business, and many who are struggling are being conned.
Go to the Walk The World Universe at https://walktheworld.com.au/
The proportion of Australians who own their home outright has halved over two decades for most age groups while the proportion of people with mortgages in retirement years has tripled.
Data from the Australian Bureau of Statistics shows that outright home ownership has more than halved for 25 to 54-year-olds between 2001 and 2021. At the same time, the number of mortgage holders and renters across all age groups has ballooned.
The number of Australians who own their homes outright has plummeted over the last 20 years.
The proportion of Australians who completely own their property has fallen by 11 percentage points according to the latest census data.
According to the recent Census data, which counted 25,422,788 Australians the proportion of Australians who own a home outright dropped from 41.6 per cent in 1996 to 31 per cent in 2021.
The same data also noted that, over the last 25 years, the number of Australians who owned a home with a mortgage also doubled, rising by 96.8 per cent.
Go to the Walk The World Universe at https://walktheworld.com.au/
A further presentation of our stress data, using percentage of households via our mapping tools. This is based on data to end June 2022.
Go to the Walk The World Universe at https://walktheworld.com.au/
We review the latest analysis from our surveys – as discussed in a number of TV and radio interviews over the past couple of days.
Go to the Walk The World Universe at https://walktheworld.com.au/
Today’s post is brought to you by Ribbon Property Consultants.
If you are buying your home in Sydney’s contentious market, you do not need to stand alone. This is the time you need to have Edwin from Ribbon Property Consultants standing along side you.
Buying property, is both challenging and adversarial. The vendor has a professional on their side.
Emotions run high – price discovery and price transparency are hard to find – then there is the wasted time and financial investment you make.
Edwin understands your needs. So why not engage a licensed professional to stand alongside you. With RPC you know you have: experience, knowledge, and master negotiators, looking after your best interest.
Shoot Ribbon an email on info@ribbonproperty.com.au & use promo code: DFA-WTW/MARTIN to receive your 10% DISCOUNT OFFER.
God is supposed to be all knowing and mere humans are required to religious houses of worship in order to obtain wisdom. In today’s episode, Adams is committing blasphemy by exposing that Australia’s living God – the RBA Governor Phillip Lowe – has little idea as to what he is doing.
In the past 2 weeks, Adams has gone to the monetary house of worship, the RBA and asked them a range of detailed questions as to determine what extent do they understand the impact of their monetary policy decisions on Australian households – especially in a situation that we have the largest hyper debt bubble in Australian history.
Unfortunately, in their most recent email, the RBA has expressed dissatisfaction at the number of questions I am posing! They obviously don’t like scrutiny.
What Adams has picked up from the email correspondence is that the RBA does not have a good real-time gage over disaggregated household cash position and thus, in the view of Adams, they are largely flying blind as to the real position of households and what the impact of monetary policy will be.
This is critical to know if you are basing your financial decisions on the statements of the RBA.
Go to the Walk The World Universe at https://walktheworld.com.au/
The latest results from our household surveys and modelling underscores the rising financial pressure on households, thanks to higher costs of living, rent and mortgage repayments. As a result we are passing new records, and this before the RBA hikes again.
So today we walk though the results, map the high stressed areas and look at some specific post code examples.
Go to the Walk The World Universe at https://walktheworld.com.au/
The ABS released their latest Housing Occupancy and Costs series for the financial year 2019-20. Now, this is important research of course but the potential of the findings to be useful are blunted by that fact that much has changed since June 2020, which of course was in the early phase of COIVD. With that caveat, there are some important findings.
First, in terms of basic home ownership, In the past two decades, from 1999–00 to 2019–20, the percentage of Australian households that own their own home: With or without a mortgage decreased from 71% to 66%. Without a mortgage decreased from 39% to 30%. With a mortgage increased from 32% to 37%.
In other words, more people are more in debt, no surprise for those following our shows. There are also some important state differences.
In the rental sector, Between 1999–00 and 2019–20, the percentage of Australian households that rent their home from: All landlord types increased from 27% to 31%. A private landlord increased from 20% to 26%. A state or territory housing authority decreased from 6% to 3%. Again there are significant state variations.
Today’s post is brought to you by Ribbon Property Consultants.
If you are buying your home in Sydney’s contentious market, you do not need to stand alone. This is the time you need to have Edwin from Ribbon Property Consultants standing along side you.
Buying property, is both challenging and adversarial. The vendor has a professional on their side.
Emotions run high – price discovery and price transparency are hard to find – then there is the wasted time and financial investment you make.
Edwin understands your needs. So why not engage a licensed professional to stand alongside you. With RPC you know you have: experience, knowledge, and master negotiators, looking after your best interest.
Shoot Ribbon an email on info@ribbonproperty.com.au & use promo code: DFA-WTW/MARTIN to receive your 10% DISCOUNT OFFER.
The latest report on Housing Affordability from ANZ and Corelogic underscores the pressures on Households, and mirrors findings from our own Stress Surveys.
On every metric, affordability has crashed, but then what do you expect from 20+ years of bad policy, ultra low rates and Government incentives? And, no, the answer to all this is not just of offer more incentives to drag people into the market at these high multiples!
Today’s post is brought to you by Ribbon Property Consultants.
If you are buying your home in Sydney’s contentious market, you do not need to stand alone. This is the time you need to have Edwin from Ribbon Property Consultants standing along side you.
Buying property, is both challenging and adversarial. The vendor has a professional on their side.
Emotions run high – price discovery and price transparency are hard to find – then there is the wasted time and financial investment you make.
Edwin understands your needs. So why not engage a licensed professional to stand alongside you. With RPC you know you have: experience, knowledge, and master negotiators, looking after your best interest.
Shoot Ribbon an email on info@ribbonproperty.com.au & use promo code: DFA-WTW/MARTIN to receive your 10% DISCOUNT OFFER.