New homeowners are set to turn their backs on the traditional Easter spending spree, according to Mortgage Choice’s Recent First Homeowner Survey.
The survey of first homeowners who purchased in the last two years found that 32% of respondents plan to spend less this Easter than they did last year; 54% plan to spend the same amount and only 14% intend to spend more.
“Taking a battering from the November rate rises and recent hikes to other living costs while witnessing, and in some cases experiencing, the destruction of natural disasters means a leaner, more conservative Easter for many Australians,” said Mortgage Choice spokesperson Kristy Sheppard. “Despite five months of steady interest rates. Borrowers are determined to either put money back in their hip pockets or make sure their outgoing cashflow doesn’t increase.”
“Astute mortgage holders are spending less to repay their debts sooner and create a savings buffer. Some of these and other borrowers may be unaware there are repayment strategies that reduce the overall interest owed on their home loan by utilising their savings, knocking time off the loan term.”