Economic snapshot: 5 things to watch this month

Get up to speed with the latest economic update, offering insights into Australia's financial landscape.

William Capada's headshot
Graham Cooke's headshot

By

William Capada

&

Graham Cooke

Updated

Australia's economic landscape is in a state of flux. Data from Finder's Consumer Sentiment Tracker (CST), the Reserve Bank of Australia (RBA), the Australian Bureau of Statistics (ABS), and CoreLogic (now called Cotality) reveals rising home loans, climbing property prices, and increasing credit card spending. To navigate these dynamic trends, it's essential to stay informed. Our latest economic update provides a deep dive into these key indicators, analyzing their causes and exploring the potential ripple effects on your personal finances.

Highlights

  • The average loan size reached record highs with owner-occupiers at $693,802, first home buyers at $560,249, investors at $685,634, and external refinancing loans at $623,068.
  • In September 2025, credit card purchases totalled $39.1 billion, up 8.6% from the previous year, while debit card purchases reached $55.9 billion, up 6.0% year-on-year.
  • Household spending in Australia rose to $77.4 billion in August, including $41.7 billion on goods and $35.8 billion on services.
  • The unemployment rate decreased to 4.3%.
  • Median house prices rose by an average of 5.9%, while median unit prices recorded a 5.4% increase.

Record Highs in Australian Home Loan Sizes

For owner-occupiers, the average home loan size has reached a record high of $693,802, up by 2.3% from the previous month and 8.1% from last year. First home buyers are also taking out larger loans, with their average hitting a new peak of $560,249, which is a 1% increase from last month and 4.4% higher than last year.

Investors are not left behind, with the average loan size climbing to a record $685,634, up 1.7% from the previous quarter and 5.7% higher year-on-year.

Refinancing activity is also notable, with the average external refinancing loan now at a record high of $623,068, while internal refinancing loans average $419,118.

Credit Card and Debit Card Usage Trends

In September 2025, The total value of credit card purchases in Australia totalled $39.1 billion, up 8.6% on the year. The number of transactions grew 3.3% to 324.3 million, while the average spend per card reached $3,194.

Debit card purchases came in at $55.9 billion, 8.2% higher than a year earlier. Transactions rose 6.0% to 1.1 billion, with the average debit card spend at $1,237.

Monthly Household spending in Australia

According to ABS, total household spending in Australia rose to $77.4 billion, making up by 5.1% year-on-year. This figure includes $41.7 billion spent on goods and $35.8 billion on services. The average household expenditure was $7,749 in September 2025.

Labor Market Overview: Unemployment Rate decreased to 4.3%

In October 2025, the unemployment rate fell to 4.3%, up from the previous month. Total employment reached 14,683,200, with full-time jobs rose by 55,300 to 10,141,600 and part-time jobs fell by 13,100 to 4,541,600. The underemployment rate also edged higher to 5.9%.

House and Unit Prices

As of August 2025, median house prices have risen by an average of 5.9%, while median unit prices have recorded an increase of 5.4%.

For those considering purchasing a property, here's a snapshot of the average prices of houses and units across different capital cities, along with the corresponding 20% deposit, monthly repayment based on 80% of the average price, and the required household income to stay below mortgage stress level (30%).

For deeper dives into the numbers shaping Australia's economy, don't miss Finder's Insights Hub. Discover a wealth of statistics, consumer research, and expert commentary – your go-to source for understanding the financial landscape.

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Written by

Insights Analyst

William Capada is an insights analyst at Finder. With years of experience as an analyst, he has honed his skills in analysing complex datasets and extracting actionable insights. Proficient in various analytical tools, he has a proven track record of delivering meaningful insights that drive strategic decision-making. William conducts research related to economic data and is also responsible for updating the insights statistics pages. He also assists in ensuring that the scoring makes sense for the Finder Retail Awards. See full bio

William's expertise
William has written 3 Finder guides across topics including:
  • Data Analysis
  • Data Visualization
  • Retail Awards
Graham Cooke's headshot
Co-written by

Head of Consumer Research

Graham Cooke is Finder’s Head of Consumer Research, overseeing data analysis on consumer spending and saving habits. He is a passionate advocate for financial literacy and consumer rights, regularly appearing on major TV networks like ABC News and 7 News, and contributing to top outlets like Yahoo Finance and Money Magazine. Graham holds a Bachelor of Science (Hons) in Physics, as well as Tier 1 and Tier 2 certifications (RG 146) that comply with ASIC standards. See full bio

Graham's expertise
Graham has written 59 Finder guides across topics including:
  • Home loans and the housing market
  • Credit cards & personal finance
  • Finder Awards
  • Retail economics & FMCG
  • Travel
  • Finder's RBA Cash Rate Survey, Consumer Sentiment Tracker, Cost of Living Pressure Gauge and Property Investment Index

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