 Housing costs get the biggest chunk in the weekly budget
While loan or rent payments dominate today's lifestyle, next on the spending ranks are (2nd) food which is $72.30, (3rd) recreation and culture at $68.75, while transport is forth at $65.75.
Food, clothes and transport were taking up the biggest chunk of the household budget some years ago, however dreams of larger homes dictate the need for larger spending on housing. Now, food spending is down to 10 per cent of disposable income, which was on 15 per cent last year.
According to CommSec chief economist Craig James a "McMansion mentality" of larger homes commands this major change in spending. "We have more money to spend, and what Australians have overwhelmingly decided to do is to channel that into bigger and better quality family homes with more bedrooms and entertainment areas," James said in an interview.
This change in budget expense opens a debate over overly priced houses which posed threat to young Australians dreaming of acquiring their own homes.
According to James the future looks into smaller homes due to population evolution, housing affordability, surging electricity and gas bills.
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