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


year 7 new york times households hills shire university product World Water Day speaker tableau royal norwest darwin personalities affordability curiosity baby name predictions education future local community manly Maxim Accounting TDE New Zealand learning styles trends of 2017 urban cost of living NT Mount Annan-Currant Hill rent Population Clock poor earning hills finance capital cities digital home ownership emerging technologies slideshare christmas define renting mccrindle tea royal family ipswich investment medicine sustainable divorce rate students gig ashley fell stay home gender men weekly earnings wedding social commentator story travelling professional development train new office lifestyle commuting donation Real Estate Institute of Victoria interactive staff click Melbourne goal generation alpha January 26th acf15 typical australian Work place focus group Jura Australia employers shopping centre sydneysiders future Do It Yourself communities home owner vegemite educhat future of education potts point faux-cilise national private wealth household youth unemployment VET sector social enquiry chairty emerging trends baby boomers the changing face of qualitative research tv grandparents Financial Planning Association of Australia employmee buildings shbc salary screenagers Scouts google for education spend Lower Hunter Region office opening Gen X mortgage Australians James Ward New South Wales housing affordability GPO survey design language volunteers mccrinlde dare to dream area focus groups Sydney teach christianity parents food insecurity gig economy wealth faith rental stress future proof easy rider relevant Charlotte list #censusfail sector wide living dream visualisation charity twentyseventeen winter media activity consumerism showreel global retail society trends families litter national crime rates women online shopping research on coffee easter renter of the future intern optus technology marrickville woolworths professional services dreams school satisfaction internships car future proofing apartments owning a home forecast youth Valentine’s Day demographer energy Australian Communities Trends the hills Australia Day 2017 leadership workshop Hornsby Shire Council trends analyst data analyst Lower Hunter sports 2014 the lucky country research services future of shopping hopes online program property price supply and demand REIV Conference marriage small business apartment family pharmacies perth fears ultimo 23 million gen z social trends celebration demographic trends EFF not for profit research divorce names growing population community event mythbusting sydneycity graphs housing trends high density living entrepreneurial mobile economic environment balance cultural diversity census fail events NFP event JOMO Christmas season Financial Planning Association Adelaide trades non profit NBRS jobs of the future micro australian communities trends report trends of 2016 Northern Beaches SMSF wage Research Executive coffee lovers brisbane Christchurch capital city skills Performance Sentiment Index social researchers belief 2016 census Andrew Duffin career baby rule keeper crows nest award winner CPI mentor purpose village case study politics annual income Crime Rates Merry Christmas Northern Territory lalor park work from home giving royal baby 2013 micro apartments brand blaxland urban taskforce DESTEL volunteering WA house demographic transformations average Australian government suburb transport media commentary ACF2017 pyrmont house price English Northern beaches Event sydney metro housing market 2020 culturally diverse networking Engineering Manager Cobbitty-Leppington workplace states Australian Dream motivate 1975 keynote speaker townhouses unaffordable 40 million Mark McCrindle growth of sydney community New Zeland DIY growth entrepreneurs of today investing sector wide study brand experience eliane miles experience internship leader cooking investor Bathburst hobart future-proof clothing South Australia volunteering data storytelling Christmas lunch census results generation 2016 australian community trends report demographic schools students food bank child care city hornsby rise of local marriages money daily telegraph social shifts Geoff Brailey data "know the times" The ABC of XYZ social research leadership volunteer marketing teacher global generations financial fears financial future faux-cilising trend tuesday school australian social research Australia street public holiday holidays live the dream Hunter Valley hello fresh researcher priorities national wealth Aussies Tuesday Trend hunger speakers infographic wall income mythbusters ageing who is generation z analysis work-life choice workers kate middleton post rationalism Hills Shire Council neutral bay speakers pack ACT Willowdale futurist social census data the australian dream learner data visualisation seasons Jura Coffee Australian Home schools world youth day local vegetarian ABS meals donate ageing population earnings conference presentation suburbs wealth inequality proactive Sydney keynote speaker affordable education Gen Y 2012 Wodonga infographics organisations travel System's Architect goals mccrindle Netflix forum PSI high density apartments Res Vis media release property average aussie know the times australian real estate publication research report friends screenage children study professional presenters social life low density teleworking spirituality Deaths pharmacy australia award Duchess of Cambridge safe forecasting not-for-profit cancel plans Queensland housing VET Australian community trends sunny days emerging generations tuesday church Skilling Generation X social issues Channel Seven insights wages house prices professional learning wealth and income sydneysider tips social analysis cold CBD Australian Population Australian schools Myth future of work workshop social media urban living index bus mining boom challenge narcissism sydney event tea 2015 monarchy Wellington research pack builders the hills shire presentation cost shopper's pick charities employment population map February 16 public speaker Business analysis crime dreaming cica facts Australian communities unemployment Elderslie-Harrington park bondi quote insight fresh local communities Kirsten Brewer changing face of sydney Mark McCrindle in the media 24 million commute financial australians staying home more Love Christmas presents going out ashley mckenzie Royals tertiary education work conferences resource 1994 media Sydney’s south west ethnography impact eliane panel year 12 millennials social commentary business performance earn greatness social analyst waverton thought leadership huffington post aged care puzzle Social Trend Tasmania rain the average aussie aussie culture anzac environmental scanning millionth millenials baby names australia report home young people sentiments australian parenting father's day entrepreneur survey 2016 census results society Sydney Hills Business Chamber happiness casual recap sector report Territory cash identity group session baby names report shifts census property market Australian Families Black Friday in Australia Kiwi cartodb poker master ACF presentations internet criminal change news financial planning Real Estate sun Births mover and shaker land of the middle class debt ACF 2016 global newspaper ease of travel socialites entertainment increasing densification dessert REIV National Conference digital economy plans long weekend student personal growth customer world middle class logan social impact nfp sydney hills engage daily commute baby boom professional speaker McCridle house price rise Word Up office space Education Future Forum weather Sydney population paying to work population infographic megatrends keynote optus my business awards meetings baby name trends Canberra Northern Beaches Christian School etiquette high density faux-ciliser gen alpha teachers census 2016 relational repayments What is food insecurity? high school mccrindle in the media Financial Planning Week US water Vocational education Caregiver 2017 trends education research innovative cars trend couple workplace culture moreton bay life victoria alpha FPA business index follow generation Z global financial crisis generations selfie the great screenage baby name rising house prices 10 years learn baby names food population growth careers Assistant Store Manager community engagement cultural diveristy TEDx NEETs wellbeing residents mccrindle research NSW resilience Macquarie University Australian demographics university degree 1980 sydney speaker Tuesday Trends royal influence average sydneysider retirement market research Black Friday Sales video The Daily Edition cloudy days breakfast geomapping religion group conference Wagga Wagga communication cancelling event participants state office NBRS Architecture gold coast menai Queensland: QLD moderators guide overcast speajer wolloomooloo younger generations innovation offenders demographics IT Specialists Australia Day 24,000,000 budget bureau employmer collaborative conference speaker culture generational trends authenticity cancelling plans Black Friday Channel 7 research brands equip shopping engagement SRE ideas real education future report financial dreams organisational culture christian mateship teaching SA workforce social lives deloitte prince george jobs mother's day results TED wealth and income distribution aged care wealth distribution commuters education sector SMART princess charlotte holiday tattoos public transport visual sunburnt country toys economy stats australian communities forum ACT Report omnibus statistics thrive collaboration public speaking social change training summer responsive ferry population milestone consumer healthy future google Retail grave decision Generation Y TAS Australian Bureau of Statistics debate care support Research Director McCrindle Speakers TED talk communications domestic coffee not for profit social researcher communicate friendship suburban living socialising event FOMO 1968 financial independence school students business Australian Census educated urban living demography work mates Aussie outsourcing snapshot optimistic winter blues contiki research visualisation in the media staying in VIC young australians Western Australia research data in depth interviews housing growth Australian Trends ACF17 rich HSC