Although the affordability issue would have decreased the number of propsective first home owners, this statistic could also be due to the current gen being even more consumerist and less saving-oriented (hence no chance of a deposit) than previous generations. Also, the GFC and slight rise in unemployment would have dampened Gen Y enthusiasm for taking on a home morrgage during the past 5 years.
It will be interesting to see if this trend reverses when the economy grows enough for unemployment to start trending down again, and interest rates eventually start to drop again, or if the higher house prices produce a permanent shift in the % of renters in Australia (to date, Oz has unusually low rate of renting/high rate of home-owners).
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Although the affordability issue would have decreased the number of propsective first home owners, this statistic could also be due to the current gen being even more consumerist and less saving-oriented (hence no chance of a deposit) than previous generations. Also, the GFC and slight rise in unemployment would have dampened Gen Y enthusiasm for taking on a home morrgage during the past 5 years.
It will be interesting to see if this trend reverses when the economy grows enough for unemployment to start trending down again, and interest rates eventually start to drop again, or if the higher house prices produce a permanent shift in the % of renters in Australia (to date, Oz has unusually low rate of renting/high rate of home-owners).
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