We were talking about Tim Gurner, a luxury property developer in Melbourne responsible for over $3.8bn in projects, and comments he made on 60 Minutes in Australia, implying that young people can’t afford to buy property because they’re wasting money on fancy toast and overpriced coffee.
The conversation went global.
Quoting The Guardian Monday 15 May 2017 22.08:
“When I was trying to buy my first home, I wasn’t buying smashed avocado for AUD$19 and four coffees at AUD$6 each.
“We are coming into a new reality where … a lot of people won’t own a house in their lifetime. That is just the reality.”
Asked if he believes young people will never own a home, he responded: “Absolutely, when you’re spending AUD$40 a day on smashed avocados and coffees and not working. Of course.”
Ziggy specialises in working with established professionals/grown family on dual income who want to be comfortable in retirement but whose children are in that Millennial age group of 18-28.
“When I first got married we lived with out parents and worked hard for two years.”
In my own case, my wife an I learned fast to not spend more than we earn.
In 2012, I started researching Millenials and money habits for a book called The Money Chimp aimed squarely at that niche.
Millenials in the UK, on average, spend 130% of their weekly income. Currently, according to myBnk.org they owe £9.3BN on credit card debt.
Their top three frustrations are expressed as:
How do I spend less, save more and get out of debt faster?
The top three bits of money advice of all time are:
- Spend less than you earn
- Plan for the future
- Make your money … make more money.
Millenials struggle with all three.