Australians are holding firm on major life goals such as homeownership and financial security, even as the path to achieving them grows longer and more complicated, according to new research from NGM Group, the customer-owned bank behind Greater Bank and Newcastle Permanent.
Rather than shelving their goals, most Australians are adjusting how they get there. Nearly six in ten (59%) said they've already made, or expect to make, significant sacrifices to reach their milestones, with more than half cutting lifestyle spending and three in ten working longer hours or taking on multiple jobs. Almost two in three (62%) said they're prepared to delay reaching a milestone altogether, provided they eventually get there.
Saving from regular income remains the dominant funding strategy, cited by 56% of respondents, well ahead of earning additional income or relying on investment returns.
Borrowing power had already eroded earlier in the year, even before the market's more recent slowdown: Moody's Ratings put Australia's mortgage affordability measure at 29.6% of after-tax household income in March, up from 28.6% three months earlier, with Sydney the least affordable capital at 40.4%.
Even against that backdrop, younger Australians are not stepping back.
NGM Group's chief customer and digital innovation officer James Cudmore (pictured) said the findings challenge assumptions about younger buyers losing interest in traditional milestones.
"While Gen Z naturally has more milestones still ahead of them, what stands out is how determined they are to achieve them, which challenges the idea that younger generations are no longer interested in the traditional Australian dream," Cudmore said.
The national YouGov survey, the first in NGM Group's Defining Moments series, found housing and financial security are Australians' most sought-after life goals, nominated by 54% of respondents, ahead of lifestyle and retirement goals at 41%.
Despite affordability pressures, 73% of respondents still see home ownership as part of financial success. Regional buyers are increasingly leading the charge, with those living outside capital cities 10 percentage points more likely than metropolitan residents to have already bought a home.
That regional lead is reinforced by broader market momentum: combined regional dwelling values rose 7.7% over the year to August, against just 1.1% for combined capital cities, according to Cotality's latest Home Value Index.
Cudmore said the shift reflects a broader move toward regional living.
"We know the appeal of regional living has been on the rise, with diversifying economies, regional innovation and great lifestyle benefits delivering real opportunities outside of capital cities," he said. "Our regions are providing Australians with opportunities to achieve their goals sooner."
For brokers, the data points to sustained demand for home loan products even amid affordability pressure, particularly from regional buyers and younger clients willing to delay, adjust budgets, or relocate to reach ownership.
Cudmore said the underlying motivation remains consistent nationwide.
"These are life goals that remain firmly in focus, and our data showed that Australians are continuing to plan, save and make decisions with those ambitions in mind," he said.
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