The ‘Great Australian Dream' is a turn of phrase that gets bandied around a lot.
But what is the ‘Great Australian Dream' today and does it differ for different people?
In December, Mortgage Choice – together with Core Data – surveyed more than 1,000 Australians to find out exactly what the Great Australian Dream is.
The survey, which formed part of Mortgage Choice's annual whitepaper: The Evolving Great Australian Dream, offered some interesting results.
Traditionally, the Great Australian Dream is imagined as owning a free-standing home in the suburbs.
Today, however, the story is a little different.
With an increasing proportion of Australians keen to be closer to the city centres for work, more and more buyers are actually purchasing apartments that are well located – as opposed to free-standing homes in the outer suburbs.
As a result, 53.9% of Australians believe the ‘traditional' Great Australian Dream is no longer relevant.
More than 70% of Australians said there is a need to imagine a new Australian dream that is more in line with reality.
In other words, the Great Australian Dream is evolving. Gone are the days when owning a property in the suburbs was the one and only dream. Today, it would appear the Great Australian Dream is simply owning a home or investment property in a ‘desirable' area. Regardless of whether that property is a free-standing house or an apartment, buying and owning any type of property is now the number one goal for Australians.
And, while the concept of ‘luxurious travel' also rates highly amongst Australians, it is not the number one goal.
When Australians were asked to rank their top three dreams/goals; 80% indicated that their number one goal was owning ‘any kind of property they can call home'. This was followed by ‘travel and a luxurious lifestyle' and then ‘professional success'.
But while it is clear the majority of Australians believe the Great Australian Dream is ‘owning property', 87.3% believe obtaining this dream is ‘becoming increasingly difficult' thanks, in large part, to rising property prices.
In fact, 63.2% of respondents agreed that only ‘those with money' can now make their ‘Great Australia Dream' a reality.
While there is no doubt that property prices have risen steadily higher over the last 12-24 months, it's important to note that interest rates remain at near record-lows, which is keeping the cost of borrowing at very affordable levels.
So, whether you are looking to purchase a free-standing home in the suburbs, or an apartment near the city centre, now is still a great time to act.
More new stock is coming onto the market, interest rates are low and Australia's lenders remain hungry for business.
Whatever your Great Australian Dream is, Mortgage Choice can help. Our local mortgage experts specialise in owner-occupied and investment loans, and can also help with your broader financial needs.