Australian household wealth hit a record high in the March quarter, rising 4.3 per cent to A$12.6 trillion. Wealth per capita also rose to a record high of $492,055.
Residential assets contributed 3.5 per cent to growth, superannuation assets 0.6 per cent and directly held shares 0.2 per cent. Land and dwellings account for $8.3 trillion of total household wealth.
The ABS said deposits at banks increased to an “unprecedented” $304.5 billion, thanks to last year’s stimulus measures.
Over the 12 months to March, household wealth grew 15.3 per cent, which is the strongest annual rate of growth since 2010. Residential assets rose 13.9 per cent over the year and superannuation assets 4.1 per cent.
Households borrowed $26.4 billion during the quarter, taking total household debt to $2.45 trillion. The rate of growth in household debt was flat quarter-on-quarter.
Household borrowing during the quarter was made up of $27.9 billion of long-term loan borrowings and $1.3 billion of repayments of short-term loans, as households repaid credit card debt.
Non-financial corporations borrowed $11.2 billion, with demand increasing for the first time since the March quarter last year.