A$140 Billion Bank of Mum and Dad Figure Misunderstood as Home Deposits

Australia's A$140 billion 'Bank of Mum and Dad' figure has been misunderstood. The number actually measures everyday purchases funded by older relatives, excluding cash transfers, debt repayments, homes, and home deposits.

SBS research found that more than A$140 billion is spent annually on behalf of younger Australians, with 30% of homeowners receiving some form of family help to purchase their property.

The Reserve Bank of Australia's August financial-conditions assessment showed total credit growing at an 8.6% annualized pace over the six months through June, above its long-run average.

Commonwealth Bank CFO Alan Docherty said mortgage applications were down about 15% over the preceding 12 weeks and 17% from a year earlier.