Economic snapshot: 4 things to watch this month

Australia's economic landscape is in a state of flux. Data from Finder's Consumer Sentiment Tracker (CST), the Reserve Bank of Australia (RBA), the Australian Bureau of Statistics (ABS), and CoreLogic reveals rising home loans, climbing property prices, and increasing credit card spending. To navigate these dynamic trends, it's essential to stay informed. Our latest economic update provides a deep dive into these key indicators, analyzing their causes and exploring the potential ripple effects on your personal finances.

Record highs for average loan sizes in First home buyers (FHB) and investor home loans

First home buyer (FHB) home loans totaled $5.3 billion, which is 2% lower than the previous month but 12.7% higher than the same period last year. There were 9,809 FHB loans, a 3.3% decrease from the previous month but a 4.5% increase year-over-year. The average loan size for FHBs was $538,791, up 1.3% from the previous month and 7.9% from last year. Investor home loans amounted to $11.82 billion, marking a 2.6% drop from the previous month but a 31.9% rise compared to last year. The number of investor loans reached 19,342, down 4% month-on-month but up 21% year-on-year. The average loan size was $610,950, increasing 1.4% from the previous month and 9% over the past year.

Credit Card and Debit Card Usage Trends

In August 2024, the total value of credit card purchases in Australia reached a record high at $36.27 billion, up 2.8% from the previous month and 6.36% higher than the same period last year. There were 314.83 million purchases, showing a 1.61% month-on-month increase and a 4.36% rise year-on-year. The average value of purchases per card was $2,942.10.

Debit card purchases totaled $51.89 billion, down 1.95% from the previous month but up 6.24% compared to the same time last year. The average purchase amount per debit card was $1,255.

Monthly Household spending in Australia

According to ABS, total household spending in Australia reached $69.7 Billion, making a 2% increase from the previous year. This figure includes $39.5 billion spent on goods and $30.2 billion on services. The average household expenditure was $6,977 in August 2024.

On average, Australians spend $1,121 per month on food, $337 on alcoholic beverages and tobacco, and $346 on clothing and footwear. Monthly expenses for furnishing and household equipment amount to $490, while health-related costs average $867. Transportation expenses are the highest at $1,192 per month, followed by recreation and culture at $1,066. Australians also spend $806 on hotels, cafes, and restaurants, and $685 on miscellaneous goods and services each month.

Unemployment Rate increased to 4.2%

In August 2024, the Australian Bureau of Statistics (ABS) reported an increase in the unemployment rate to 4.2%, up from 4.1% the previous month. The number of employed people was 14,458,606. Full-time employment dropped by 3,145 to 9,979,117, while part-time jobs increased by 50,604 to 4,479,488.

For deeper dives into the numbers shaping Australia's economy, don't miss Finder's Insights Hub. Discover a wealth of statistics, consumer research, and expert commentary – your go-to source for understanding the financial landscape.