By Natasha Fujimoto
WITH the Reserve Bank of Australia (RBA) raising interest rates seven times in 2022 from its pandemic low of just 0.1 percent to 3.1 percent, the new year looks set be full of further increases.
With inflation at 7.8 percent and with it widely anticipated for interest rates to reach around 4.1 percent by August, the financial strain on families and mortgage holders is likely only to tighten.
With tough choices being made at the supermarket and with diminishing flexibility in household budgets, The Adviser has asked the public to share its thoughts and opinions about how the rapidly rising cost of living has impacted them.
For marketing manager, Carley, inflation has hit hard, as she said, “Our plans to start a family have taken a back seat.
“Things that would usually be attainable such as a suitable place to set up a home seem further away than what I could have predicted.
“How is it that someone can work five days a week, yet struggle to purchase a place to live?” Carley said.
For many young people, moving back in with parents has been the only option as the cost-of-living increases, while the dream of entering the property market has been put off for others, as Hayley said, “I must rely on my parent’s house as a back-up. I am currently living with my partner in a rental because buying a house now, is too hard.”
Echoing Hayley’s financial strain, Frankie, who works in community services said, “I am having to reconsider my budgeting to buy a property. Increased rates are putting my partner and I far behind in entering the property market.”
