Ever wonder why your customers have less to spend? Well, the answer may lie in their investment in real estate.
According to figures from the Reserve Bank, the amount that Australians owe in housing credit continues to rise dramatically and currently sits at $1.6374 trillion of which around one third is owed by investors and the balance by owner/occupiers.
It has grown by nearly 35% in the last 5 years and nearly 100% since 2007. So the amount Australians owe on housing has nearly doubled in 10 years.
And with rising house prices, particularly in Melbourne and Sydney, it is difficult to see a slow down in the proportion of Australians income being directed to real estate. Any wonder they don't have much to spend on other things.