From Roy Morgan Research:
Surveyed in September, Australians as a whole said they expected inflation to increase by 4% annually over the next two years. This is up very slightly (0.1%) on how they were feeling the previous month, but it is down a little (0.3%) on their expectations a year earlier.
However there was a notable difference in the expectations of home owners compared to renters, with the latter taking a much more pessimistic outlook.
Renters expect inflation to rise 4.7% over the next two years, while home owners expect inflation of 3.8% and those paying off mortgages are expecting only a 3.4% rise…
The difference in views between home owners and renters makes sense.
Home owners are the prime beneficiaries from the RBA’s 0.75% cuts to official interest rates.
By contrast, renters are facing a tightening housing market as dwelling construction slows below population growth: