Why 26 years of growth is causing “a huge social problem” in Australia

Home ownership among younger buyers is at an all-time low

TRD WEEKEND EDITION /
Oct.October 07, 2017 04:04 PM

In Sydney, home prices have increased over 140 percent in 15 years. (Pixabay)

Australian home ownership is at an all-time low as the country’s 26-year property boom continues undeterred with only 45 percent of 25 to 34-year-olds owning homes.

In Sydney, home prices have increased over 140 percent in 15 years making it the second most expensive housing market in the world — surpassing both New York and London. The city of Melbourne, the world’s “most livable city” according to the Economist Intelligence Unit for the seventh year in a row, isn’t far behind; it’s now the sixth most expensive housing market.

The affordable housing crisis amounts to “a huge social problem” where younger generations are not able to accumulate wealth in any similar way to how previous generations did, according to Bloomberg News. This means timelines for life events like marriage or childbirth will be altered for “Generation Rent” — the young adults unable to buy homes — as well as a burgeoning geographical disparity between where city services are offered in comparison to the distant neighborhoods where people can afford to live.

Grattan Institute housing policy expert Brendan Coates told Bloomberg it would take “at least two decades to fix” Australia’s affordable housing crisis.

[Bloomberg News] — E.K. Hudson


Related Articles

arrow_forward_ios
(Image by Wolfgang & Hite via Dezeen)

Hudson Yards megadevelopment inspires a new line of sex toys

Cammeby's International Group founder Rubin Schron and, from top: 194-05 67th Avenue, 189-15 73rd Avenue and 64-05 186th Lane (Credit: Google Maps)

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio

Wendy Silverstein (Credit: Getty Images)

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out

Council member Rafael Espinal (Credit: Twitter, iStock)

For the birds: NYC buildings told to use flight-friendly materials

From left: 1 West End Avenue, 161 West 13th Street and 66 Ninth Avenue (Credit: StreetEasy and Wikipedia)

Porter House penthouse among NYC’s 5 priciest homes to hit the market last week

From left: Sam Chang, 52 William Street and New York Hotel & Motel Trades Council's Peter Ward (Credit: Google Maps)

Cuomo goes after Sam Chang as union drama unfolds

15 East 90th Street (Credit: Google Maps)

Lonely townhouse finds a match after years on market

From left: Jeff Cohn and Gary Keller

Gary Keller walks into Berkshire Hathaway’s backyard and takes its top team

arrow_forward_ios