Attitudes towards multigenerational living

New research from McCrindle points towards a significant cultural and demographic shift as the Australian dream of home ownership is redefined

• 65% of Australians agree that the traditional pathway to owning a home is broken for the next generation.
• The Sydney affordability gap has tripled: Median house prices now stand at a staggering 16.7 times average annual earnings, compared to just 5 times in 1981.
• Delayed independence is rising: 70% of 19-year-olds lived at home in 2021, a jump from 60% in 2006.
• Cultural diversity is driving openness: 57% of Australians are open to multigenerational living, this increases to 71% for those who speak a language other than English at home.
• Privacy remains non-negotiable: 73% of Australians would prefer to live in a smaller apartment with total privacy rather than share a larger, higher-quality home.

The property squeeze and delayed purchase

With the population reaching 30 million by 2030, housing supply faces a 262,000-dwelling shortfall by June 2029. Elevated lending rates have pushed median house prices to staggering multiples of average annual earnings: Sydney (16.7 times), Brisbane (11.3 times), Perth (11 times), and Melbourne (10.1 times).

The multigenerational shift

Shared family living is quickly transitioning from a last resort to a mainstream lifestyle, with nearly half of the population (44%) having first-hand experience residing in a multigenerational household. However, while Australians are increasingly open to pooling family resources, they remain fiercely protective of their personal space. 73% of the population would prefer a smaller apartment with total privacy over a larger, higher-quality home where privacy is compromised. This desire for autonomy remains intense across the lifespan, peaking with Gen Z (81%) and Baby Boomers (79%), who identify lifestyle clashes, elevated noise levels, and rule disagreements as major hurdles to under-one-roof living.

Financial relief and the sandwiched generation

Despite shared quarters friction, multigenerational living’s economic and relational benefits are compelling when 77% of Australians are concerned about the cost of living. Beyond financial relief, this shift intersects with Australia’s rapidly ageing population and loneliness epidemic. Half the population views shared living as an opportunity to foster family bonds, combat isolation, and provide childcare or aged care – particularly for “sandwiched” Gen Xers managing both children and ageing Baby Boomer parents.

For developers, architects, and policymakers, the objective is to unbundle traditional frameworks and build properties that accommodate multigenerational households while strictly safeguarding privacy, or risk failing a generation rewriting the rules of Australian property.