Australians’ net wealth nearly doubles since 2007

PHOTO: Aussies are getting wealthier. Images: Getty

Australians’ household wealth has nearly doubled since the GFC thanks to soaring property prices and a growing pool of wealth in superannuation.

The value of Australian-held assets has increased 96 per cent since 2007, faster than the 78.6 per cent increase in debt over the same period, new findings from Roy Morgan research have revealed.

That means net wealth is 98.7 per cent higher than it was in 2007.

“We see daily headlines about the risks posed by high levels of debt and falling property values, but when we drill down into the data, a more balanced long term picture emerges,” Roy Morgan CEO Michele Levine said.

“Although the last 12 months has seen a marginal decline in household net worth, it is important to understand it in the context of the long term trend. What we have seen here is a very positive long term trend.”

“Housing debt has grown considerably since 2007, but not uniformly – Roy Morgan’s data shows wealthier cohorts have shown a much greater propensity to take on debt and those investors have more ability to handle downturns than more marginal borrowers in lower-wealth segments.”