The New Australian Dream

Thursday, September 01, 2016


Owning your own four bedroom house on a decent block of land with a big backyard and outdoor swimming pool used to be the quintessential 'Great Australian Dream'. But with rising property prices and increased living costs, that dream is being redefined.

what is the Average Australian Profile?

The average full time annual income in Australia is $80,000, which is bumped up a bit because of high income earners. Even though we are living longer now than a generation ago, the average retirement age is little changed, at 61.5 years.

The cost of housing is up with average rent prices per week at $485/week and the average house price (capital city) is $765,730. In Melbourne it is well above this and in Sydney it is around $1 million. This is where the challenge is for Australians: 40 years ago the average house price was around 5 time’s average earnings and now you can see it is almost 10 times the average annual fulltime earnings.

Other than affordability, what else are Aussies looking for?

Lifestyle is key. People are opting to live in higher density areas for the sake of convenience and location- within close proximity to transport, restaurants – the café culture as it has been called. Our Urban Living Index shows a strong correlation between the most urban/densified suburbs and those with the highest liability ratings.

Australians are opting for a lifestyle of Minimalism - we are 'decluttering' our lives and putting more value on the intangibles like travel. Generation Y aren’t opting for a big home with garages to store all their stuff but more of a focus on the easy-livability of apartment living. Indeed many baby boomers are downsizing from their larger homes in the suburbs to this style of living too.

Renting, as opposed to buying, what some of the benefits?

The ability to change locations easily is well regarded – the average Australian renter stays just 1.8 years per home. Our research shows that 1 in 3 renters are actually 'choice renters' and they choose to rent for lifestyle reasons, not primarily for affordability reasons. These choice renters are twice more likely to be living in medium and high density housing than the average Australian and they are almost 10 years younger than the average Australian. The ability to upsize and downsize easily and the flexibility to travel for extended periods of time is a driver for them. ‘Rentvesting’ is also becoming a ‘thing’. This is where people choose to rent in an area they like, but buy somewhere more affordable and use this as an investment

Generation Y are struggling to attain the Great Australian Dream – are they going to be ok?

There is a challenge emerging of "generational inequity" as shown by this infographic:

Gen Y’s have the least wealth of the working generations and their proportion of Australia’s wealth is less than half their demographic share, while the Baby Boomers who are a quarter of the population, own more than half of Australia’s wealth. (More information on this topic can be found here)

This is why Gen Y is reinventing the Aussie Dream and while they do still like the idea of owning something of their own, it is not just the big home with the back yard in the suburbs. But many in this generation will be absolutely fine thanks to the massive intergenerational wealth transfer set to happen in the next 20 years as those aged over 65 transfer much of their total wealth of $2.5 trillion.

Welcome to our blog...

We have a passion for research that tells a story, that can be presented visually, that brings about change and improves organisations. And we hope these resources help you know the times.

Our Social Media Sites

Facebook | McCrindle Research Social Media YouTube | McCrindle Research Social Media Twitter | McCrindle Research Social Media Flickr | McCrindle Research Social Media Pinterest | McCrindle Research Social Media Google Plus | McCrindle Research Social Media LinkedIn | McCrindle Research Social Media Mark McCrindle Slideshare


Last 150 Articles


Tags

mccrindle marriages leader 23 million clothing builders 24,000,000 baby mining boom curiosity workshop sydneycity social researchers faux-cilise residents networking GPO pharmacy media activity world youth day school students McCrindle Speakers charity engagement Charlotte urban taskforce financial dreams brands earnings online shopping business "know the times" child care rule keeper social average aussie tuesday anzac professional speaker vegetarian data analyst friendship cost of living panel Wodonga housing trends hopes environmental scanning rental stress lifestyle crows nest Wagga Wagga 2014 social analysis dreaming balance new york times Mark McCrindle rain employers australia generations thrive Crime Rates daily commute keynote sentiments education the australian dream weekly earnings relational sydneysiders population map results mother's day engage high density living insights 2020 twentyseventeen suburban living national wealth professional development property market communication social commentator millenials goals FPA conference presentation skills google commute education future report customer ashley mckenzie apartment office salary collaboration media release Australian demographics trends of 2016 employment wellbeing mythbusters Valentine’s Day tableau communities aged care puzzle fears sector royal influence ageing religion capital cities tattoos baby name trends demographic transformations christianity couple hello fresh brand experience families nfp 2016 poker master economic language culture Christchurch typical australian trends optus Kirsten Brewer university housing affordability unemployment house income Aussies tips Love house price rise cultural diversity community baby boomers growth wage Australian Census survey design work mates travel generation sector wide study future victoria housing youth unemployment high density pyrmont World Water Day case study Engineering Manager woolworths real change teleworking shopper's pick learner young australians survey presentation researcher social enquiry organisational culture australian communities trends report men participants teaching generational trends Generation X group session blaxland Sydney keynote speaker South Australia children life quote Western Australia cancelling plans ACT students tea Gen X ethnography global 1980 global financial crisis February 16 publication collaborative prince george moreton bay house price social commentary January 26th ideas stats mobile long weekend news mortgage high school events in the media dream Deaths royal baby Northern Beaches Christian School domestic insight experience snapshot energy land of the middle class personalities ease of travel holiday conference speaker HSC marriage future-proof states tertiary education ultimo princess charlotte ageing population daily telegraph slideshare workplace households toys Aussie entertainment medicine office space 1994 education future baby name business index gold coast Real Estate Institute of Victoria school satisfaction dessert economy 1968 The Daily Edition technology emerging trends marrickville mccrindle in the media state IT Specialists Northern Beaches population milestone New South Wales teach Australian communities seasons ashley fell emerging technologies lalor park visual REIV National Conference retirement property social research Caregiver government women high density apartments personal growth royal REIV Conference Australian Bureau of Statistics society Generation Y cash financial independence ACF increasing densification education research waverton demographer holidays System's Architect safe Australia Day 2017 1975 university degree learning styles NT futurist conferences Australian Dream Australian Trends Channel Seven faux-ciliser omnibus 2015 entrepreneurs of today cancelling event faux-cilising village mateship trend tuesday Real Estate teacher NSW menai renter of the future schools students work sunburnt country divorce rate facts training environment potts point suburb research internet father's day TAS Geoff Brailey Bathburst litter royal family Christmas season affordable vegemite future proofing NEETs careers event stay home Australian Communities Trends australian social research internship baby boom home The ABC of XYZ 10 years summer 40 million society trends greatness future proof year 7 investor data wedding annual income Hornsby Shire Council research pack aged care easter earning infographic wall analysis bondi celebration keynote speaker teachers organisations shopping gen alpha parenting 2013 forecasting Myth going out deloitte demographic Duchess of Cambridge urban New Zeland Population Clock contiki study Australians non profit global generations home ownership Financial Planning Association of Australia etiquette friends Christmas lunch entrepreneurial 2012 winter blues 2017 travelling staff norwest offenders product infographic focus groups authenticity renting social shifts socialising Wellington professional Australia Day WA rich Queensland repayments English not for profit plans trend program work-life cars innovative grandparents criminal mccrindle tea rising house prices bureau healthy future newspaper Canberra overcast define gender forecast supply and demand megatrends neutral bay young people goal transport digital group google for education brisbane social lives debate demographic trends SMSF census Scouts poor leadership australians staying home more growing population Education Future Forum household owning a home 24 million moderators guide responsive Assistant Store Manager motivate rise of local educhat unaffordable Kiwi Tuesday Trends Melbourne easy rider Territory Social Trend city millionth property price earn names spend school trends analyst narcissism investing christmas perth research services social impact australian communities forum community engagement hornsby resilience Res Vis urban living Tasmania aussie culture hills shire Queensland: QLD consumer monarchy national private wealth church Australian Families Tuesday Trend generation Z logan media commentary video sunny days divorce communications thought leadership water Research Executive rent challenge investment demographics socialites suburbs debt wages local communities consumerism graphs recap living sydney event kate middleton optimistic meals in depth interviews social trends buildings future of work baby name predictions click educated wealth and income distribution area local resource visualisation not-for-profit market research career millennials Word Up coffee world ABS education sector new office leadership workshop statistics dare to dream sports Financial Planning Association paying to work VIC cold research visualisation mover and shaker focus group communicate post rationalism relevant qualitative research house prices cloudy days proactive social issues parents workplace culture report mccrindle research family Australian schools wolloomooloo cost huffington post marketing population growth fresh social life meetings generation alpha public holiday FOMO acf15 New Zealand workforce data visualisation wealth and income middle class cancel plans know the times townhouses brand sector wide Adelaide priorities conference Christmas presents volunteers award Royals selfie financial future pharmacies low density national crime rates follow ACF 2016 staying in the changing face of shifts manly TDE social change mythbusting public speaking entrepreneur Merry Christmas social researcher affordability jobs Do It Yourself sun social media hobart gen z office opening mentor student future of education sustainable Australian Home speakers housing market urban living index capital city weather eliane miles Births Northern beaches Event learn small business ipswich Channel 7 storytelling JOMO DIY list community event interactive schools innovation sydney speaker politics Financial Planning Week learning media CBD financial PSI geomapping optus my business awards EFF jobs of the future intern SA winter Northern Territory population finance budget year 12 identity equip outsourcing DESTEL online darwin shbc happiness housing growth youth presentations alpha research data crime cartodb Netflix eliane tv cooking food internships wealth financial fears forum Gen Y trends of 2017 Sydney baby names emerging generations wealth distribution home owner

Archive