Market Wrap: New generation of Aussies opting to rent
Good news for investors came out this week – Australians are opting to rent instead of buy, according to the latest HILDA survey.
The latest findings from the Household, Income and Labour Dynamics in Australia (HILDA) survey showed that home ownership statistics in young people have decreased nationwide.
Specifically, the number of young renters transitioning to home ownership dropped from 13.5 percent to 7.6 percent since the survey started in 2001.
Our property managers at hockingstuart put this down to not just ‘housing affordability’, which the media often claim is turning off young people into buying – it’s also because younger generations are preferring the flexibility and lifestyle that renting provides.
It means that young people can live in the heart of an area and move around easily for tertiary education or a new job opportunity.
Given the Victorian population is also growing, these findings should be music to investors ears and highlights the growth opportunities in coming years.
And if you’re an investor who has been pulling back from buying in recent years, with the market stabilising somewhat this year, now is a good time to buy and snatch up a good deal.