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

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

Archive