Higher interest rates, petrol prices and grocery prices are the main culprits behind worsening Australian finances.
Sixty-seven percent of Australians are financially worse off than they were a year ago, and 20 percent are now running into debt, according to a recent News.com.au survey. And if interest rates continue to rise, 47 per cent of property investors and one third of homeowners predict they’ll have to sell their homes.
“It is no secret that Australians are struggling financially with the high cost of living, given rising interest rates and escalating petrol prices,” says Nicki Bourlioufas, business editor, NEWS.com.au. “What is becoming a reality though is that Australians are struggling with debt. Some Australians are being forced to dip into their savings in order to get by while others are running into debt just to make ends meet.
“As expenses continue to grow, more and more borrowers are also taking on second jobs to help climb out of debt,” he adds. “And given an economic slowing, more people could find themselves without a job and some homeowners could be forced to sell, banishing their great Australian dream.”