Australia’s household wealth has hit a record high, beating the previous highest ever recorded figure of $10,422 billion in September 2018.
Household wealth rose 1.6% in the June Quarter to $10,455.3 billion, following a 0.2% rise in the previous quarter, according to ABS figures.
The increase was partly driven by gains on financial assets in the share market, mainly in superannuation assets, offsetting short-term losses in residential property.
Household wealth per person increased to $411,492 in the June Quarter – a rise of $6,926 from the previous quarter.
The data shows an increase in households investing in property. Households invested $38.8 billion, an increase of $2.2 billion from the previous quarter.
While short-term residential real estate losses held back some growth in household wealth, the rate of decrease in the value of residential property slowed – and is expected to improve markedly in the September Quarter figures.
Even though the data reflects a lift in residential property investment, it also shows low growth in investor loans. Most of the increase in loans from banks were for owner-occupiers.