The idea of young Aussies being reckless with their money has been smashed with research showing more than half are willing to go without the little luxuries, like weekend brunches, to afford a house.
The results were revealed in a national survey from Bankwest, which showed millennials still believe in the Great Australian Dream of home ownership and are willing to make big sacrifices to achieve it.
In a blow to the 'smashed avocado' trope - made famous by renowned demographer Bernard Salt - over half (57.7%) of millennials said they would be happy to go without the little luxuries in life such as coffees, weekend breakfasts and streaming subscriptions, while 56% said they were willing to sacrifice holidays to save for a house deposit.
Just over half (55.3%) said they would be prepared to go without big ticket items like new appliances or a car while saving.
A quarter said they would be prepared to delay their dreams of starting a family, move back in with their parents, and even cut back on necessities like groceries, meals, clothes and heating/cooling costs to save.
Despite increasing house prices and the rising cost of living, it appears the Great Australian Dream is still alive and well for millennials. Nearly half of millennials (46.6%) said they still believe in the Great Aussie Dream of owning a home, compared with 36.5% of Gen X's and 43% of Baby Boomers.
Interestingly, over half (55.2%) of Baby Boomers said they don't believe home ownership will ever be achievable for them compared with less than a quarter of millennials. It comes after data from the National Housing and Investment Corporation (NHFIC) found that 11% of applicants for the First Home Loan Deposit Scheme were between the ages of 40-59.
Bankwest General Manager Personal and Third-Party Banking Donna Dalby said the results smash the stereotype that millennials are frittering away their money.
"These results are really promising and paint a very different picture of young Australians to the one we usually hear," she said.
"This is not a bunch of carefree kids ignoring the future for an indulgent moment; this is a group of people who have financial goals they want to achieve and are willing to sacrifice big to do that."
However, only one-in-five (19.9%) of millennials said they knew exactly how much they needed for a deposit, while a similar number (20.1%) said they made a savings plan but failed to stick to it.
More than two in five millennials (41.3%) said they made a savings plan and were able to stick with it, while 58.4% admitted to having a rough idea of how much they would need for a house deposit.
Ready, Set, Buy!
Learn everything you need to know about buying property – from choosing the right property and home loan, to the purchasing process, tips to save money and more!
With bonus Q&A sheet and Crossword!
Jacob Cocciolone
Harrison Astbury
