Australian consumer confidence has climbed back above 70 for the first time in more than two months, but the latest ANZ-Roy Morgan data offers little comfort for mortgage brokers: mortgage holders — their core clients — are the least confident group in the country, weighed down by a year of RBA rate hikes.
The weekly index rose 2 points to 70.8 for the week of 2–8 June 2026 — the first reading above the 70 mark since early March. Despite the lift, the index sits 15.9 points below the same week in 2025 and remains just below the 2026 weekly average of 71.2.
Views on the year ahead improved this week, with 22% of respondents expecting their family will be better off financially in 12 months — up 4 percentage points — while 43% still expect to be worse off.
Buying intentions improved for a fourth consecutive week, with 19% of respondents saying now is a good time to purchase major household items — up 3 percentage points — likely supported by the start of end-of-financial-year and mid-year sales.
The broader mood on household finances remains deeply negative. Just 15% of Australians said their family is better off financially than a year ago, compared to 55% who said they are worse off.
ANZ economist Sophia Angala (pictured) said the recovery, while encouraging, remains tentative.
"ANZ-Roy Morgan Australian Consumer Confidence rose for a second consecutive week, up 2pts last week to 70.8pts. Confidence remains soft, sitting 15pts below its 2025 average," Angala said.
The data point most relevant to brokers is the breakdown by housing cohort. On a four-week moving average basis, outright homeowners are the most confident group, followed by renters. Mortgage holders sit at the bottom — and the gap has widened over the course of 2026.
Angala pointed directly to the cause: "RBA rate hikes have likely contributed to the sharper decline in mortgage holder confidence so far in 2026."
The “future financial conditions” and “medium-term economic confidence” subindices are now at their highest levels since late February — before the escalation of the Middle East conflict — suggesting some recovery in forward-looking sentiment.
The RBA's third consecutive hike in May lifted the cash rate to 4.35%, wiping out all three 2025 cuts. Canstar estimates the three 2026 hikes have added $272 a month to a $600,000 loan — around $3,265 extra per year.
Roy Morgan's April 2026 research found 28.2% of mortgage holders — around 1.47 million people — were at risk of mortgage stress, with CEO Michele Levine projecting that rising to 29.8%, or 1,552,000 borrowers, following the May hike.
The data suggests that pressure will only widen through the second half of 2026.
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