With the often-prohibitive expense of an average wedding ($36,200 according to ASIC), new research shows Australian couples are increasingly opting to put their money towards a mortgage over a wedding.
The ME-commissioned survey of 2000 Australians found 23% of Millennials (aged 18 to 24) have delayed or downsized their wedding in favour of buying a home. A further 24% have delayed or had few children in favour of a mortgage, while 21% had delayed or downsized their honeymoon.
Highlighting the prevalence of defacto couples buying property together, the survey reveals 37% of respondents were not married when they bought their first home.
Among Millennials, 39% were not married when they purchased their first home, which increased to 45% of Gen X (aged 35 to 50), dropping to 30% of Baby Boomers (aged 51 to 69).
Head of home loans at ME, Patrick Nolan, is not surprised to see couples questioning the value of hosting an extravagent wedding.
“What we’ve seen, however, is that with a little lateral thinking and some sensible saving and budgeting, couples are finding increasingly savvy ways to save for their house deposit and eat their wedding cake too.”
According to ME, these include setting a fixed amount to be automatically deposited into a high-interest online savings account; buying with friends or family, or starting out with an investment property to get a foot on the ladder, and families helping out with a deposit.