Household debt...and assets

Craig James

One important point to remember with debt. As long as the debt taken on is to purchase an asset which is appreciating at a faster rate, and serviceability is not a concern, then the situation is sustainable. Understandably higher debts run higher risks if asset prices start falling and/or interest rates rise markedly. The chart shows household assets and debt to income on the same chart for proper comparison.


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Sathyan Nair

I view debt as a progressive attribute, whether in finance or relationships, provided the reason for indebtedness builds association and collaboration of labour and cognition.

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Henry Kaye

This chart is a crime against finance. That ratio to assets would look even 'better' if disposable income halved! How relevant is the value of Grandma's house in Mossman to the kids with an $800,000 mortgage in Blacktown? Google "negative equity"

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