Average Sydney household networth 1.3m according to SMH

Australian incomes more equal than a decade ago, but average household debts have doubled

Caught my eye when I read it, does that sound right?

So much of your tradies, nurses, teachers, police officers etc... interesting.

 

Capital gains from rising property prices isnt counted as income, probably. Income might be getting more equal, wealth almost certainly is less equal.

Average gets pulled up by the wealthy. I think median wealth would be lower.

 

Seems surprisingly high - we have property investors featured on magazines congratulating them hitting 1mil equity, when in fact it's average here.

 

$1.3 m sounds optimistic I reckon.

 

Read the full details here:

6523.0 - Household Income and Wealth, Australia, 2015-16

 

Definitions available on the ABS site: 6523.0 - Household Income and Wealth, Australia, 2015-16 as follows:

'WEALTH (NET WORTH)

Household wealth (or net worth) is the value of all the assets owned by a household less the value of all its liabilities.

Assets include:

• non-financial assets, such as dwellings and their contents, land, and vehicles;
• own incorporated and unincorporated businesses; and
• other financial assets such as bank accounts, shares, superannuation accounts, and the outstanding value of loans made to other households or businesses.

Liabilities are primarily the value of loans outstanding including:

• mortgages;
• investment loans;
• credit card debt;
• borrowings from other households; and
• other personal and study loans.'

(source ABS)

 

Looks legitimate... seems like on average the entire Sydney is financially independent - if they liquidate everything and put it into an ETF and draw 4% pa they can feed their household indefinitely in Hobart or Adelaide or similar.

 

It does, most households are much wealthier than a few years ago due to the recent property boom. It boosts confidence. However I will guess these wealth are tied to nonliquid assets, can't really use them, wondering how much it can do to the economy?

 

Even $929k is still impressive, isn't it?

 

Also, this is households, not individuals...

 

We do have a couple of trillion in super.

 

Does that include your partner's and children as well?

 

Includes all Australians

 

I just love it when I talk to my collegues who are based in Adelaide and Tasmania. They've paid off several homes due to receiving mainland salaries at a fraction of the cost of living where they are based. I reckon that's a good lifestyle because they have time to spend with their families, debt free and have the disposable income to travel several times during the year with their family ie Fuji