The typical household has enjoyed a significant reduction in mortgage repayments, data from the most recent Census has revealed.
Between the 2011 Census and the 2016 Census, the median monthly mortgage repayment fell 2.5 per cent, from $1,755 to $1,800.
That was despite inflation increasing 9.8 per cent during that five-year period.
However, interest rates also fell sharply during that time, with the official cash rate decreasing from 4.75 per cent to 1.50 per cent.
Property supply not keeping up with demand
The Census also gave an insight into why property prices have risen across much of Australia in recent years.
Population increased 8.8 per cent between the two Censuses, but the number of occupied private dwellings increased only 6.8 per cent – indicating how supply has failed to keep up with demand.
During that five-year period, the average property price in the eight capital cities jumped about 40 per cent – although this doesn’t account for activity in the rest of Australia, which contains about 33 per cent of the population.
Between 2011 and 2016, life became harder for renters, with the median weekly rent climbing 17.5 per cent to $335.
|Occupied private dwellings||7.76 million||8.29 million||6.8%|
|Weekly household rent (median)||$285||$335||17.5%|
|Monthly household mortgage repayments (median)||$1,800||$1,755||-2.5%|
|Bedrooms per household (median)||3.1||3.1||None|
|People per household (average)||2.6||2.6||None|
Homes and households look the same
In what might come as a surprise to some people, the Census showed that homes aren’t getting bigger and households aren’t getting smaller.
There was no change in the number of residents (2.6) or bedrooms (3.1) per household.
There was also practically no change in the share of one-person households, family households and group households.
Australia got a raise
The Census also confirmed that wages rose faster than inflation between 2011 and 2016.
For individuals, the median annual salary rose from $30,004 to $34,424, while for families it rose from $77,012 to $90,168,
|Individual weekly income (median)||$577||$662||14.7%|
|Family weekly income (median)||$1,481||$1,734||17.1%|
|Household weekly income (median)||$1,234||$1,438||16.5%|