The new priority claiming Aussies' savings

by Madison Utley27 Dec 2019

One in three Australians value travel over home ownership, according to a recent survey conducted by ME Bank.

The prioritisation of exploring the world over buying a home was the most apparent in the 18-24 years old age group, with half of those surveyed saying they’d rather travel than own a home.

“Younger peoples’ tendency to value travel more than home ownership could be a factor of youth, but also the current price of housing may be playing into the choice as home ownership becomes less attainable,” explained ME GM of communications Matt Read.

A third of Australians were not only willing to delay the life goal of buying a home to travel, but were also willing to push back having kids and getting married.

The respondents were asked what “big-ticket” items they’d be willing to go into debt for, with 20% saying travel, 58% buying a home, 29% education and 28% a business venture.

Going into debt in order to travel overseas was not uncommon, with 19% of those surveyed having done so, and a further 14% have taken anothe overseas holiday before paying off the debt on a previous trip.

The average spend was $8,000 per trip, with 26% saying they’d spent more than they planned.

“ME’s survey highlights travel is a high spending priority for Australians, and given the costs associated, it’s worth saving for in advance as you would for a car or home.

“Setting a goal and putting a small amount of money aside from every pay is a simple way to slowly build up enough savings to enjoy a holiday without the stress of coming back in debt,” said Read.

“Travel can also be costly given it’s a highly emotional experience - it’s easy to get swept up in the romanticism of spending on holidays. Being careful and putting some limits on your spending can ensure costs don’t get too out of hand.”