YOUNG Aussies prefer travelling to buying a home.

Westpac Bank research reveals 18 to 35-year-old Australians spent the most money of any age group on travelling overseas last year.

Millenials forked out a whopping $11.3 billion to visit destinations outside of their home country in 2015.

However, the number of first home buyers dropped 1.5% last year.

Meanwhile, Baby Boomers spent $9.8b on overseas travel, which was much higher than the $6.8b splurged by those aged 36 to 55, or Generation X-ers, on visiting the world.

Westpac Young and Millennial Markets manager Ashley Gray said the bank's study showed 70% of Millennials saved their cash for eight months so they could travel.

"They're very aware of their finances and are prepared to make sacrifices to pursue their passion,"   Mr Gray told News Ltd.

"They're also prepared to make sacrifices while they're abroad so they'll walk instead of getting a bus, skip meals and miss out on big tourist attractions."  - ARM NEWSDESK