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

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

Archive