📊 A simple chart showing "inflation" over time (or CPI: consumer price index).
An important note: Inflation compounds on top of itself over time.
In this graph, an item priced at $10...
▶ 2.5% inflation = costs $16 in 20 years ("RBA target")
▶ 5.0% inflation = costs $25 in 20 years (much higher!)
In Australia, the last 3 years especially we've had historically high inflation. Everything feels more expensive - because it is.
And .. the price doesn't bounce back. It becomes the new benchmark.
This is one of the reasons why interest rates could increase in 2026 (to reduce the rate of inflation)
BUDGETING - We are having lots of conversations with clients about budgeting and spending.
We have a range of budgeting tools to help review and support spending behaviours.
Call the office or our brokers to book free discussion on inflation or budgeting.
Truly's advice, financial services and property strategies are complimentary. We do this for the best interests of our clients and we relentlessly strive to serve as the best mortgage brokers in Australia with uncommon excellence!
James Brett. Principal Mortgage Broker ☎️ 0439 591 759
Victor Simone. Principal Mortgage Broker ☎️ 0449 659 029
Nermalee Bowe. Senior Mortgage Broker ☎️ 0431 274 554
Dragan Disljenkovic. BD & Relationship Manager ☎️ 0422 435 900
Credit Representative Numbers 521733, 550284 & 547037 are authorised under Australian Credit Licence 389328
