The flexible, mortgage-free lifestyle that comes with renting is an appealing option for some, but for others, the secure feeling of owning a home is invaluable. You certainly know which one is right for you, but what about other Aussies?
Find out all about the latest trends and housing statistics in Australia, the housing market, the demographics of first home buyers, the cities with the highest and lowest rents, and much more.
Come on in!
10 Key Housing Statistics in Australia
- The Australian housing market is worth more than 9 trillion
- Two-thirds of households own their home, mortgaged or not
- One in five Aussies own residential property other than their home
- Half of the population aged 30-34 are homeowners
- First-time home buyers comprise a third of the market
- Sydney has the highest average rent of $580 per week
- Sydney has the highest median house value in Australia at $1.3 million
- 75% of households spent 25% or less of their income on housing costs
- $317 is the average weekly housing cost for a household
- In 2022, the average cost of a house rose by 1%.
General Housing Statistics in Australia
1. The Australian housing market is worth more than 9 trillion.
(ABC News)
In 2022, the Australian housing market recorded the first downfall in two years, with house prices going down by $18,900. The value of residential real estate is $9,983,4 trillion, down $162.4bn from $10,145,8 trillion in March 2022.
2. Most Aussies live in detached houses.
(Statista)
Higher-density dwellings are likely to attract younger residents, who often rent, whereas families go for the larger, separate dwellings. According to the latest housing data, about 7 million Australian households live in detached houses, almost three times the combined number of those living in medium and high-density dwellings.
3. The average household is down to 2.6 people.
(Australian Institute of Family Studies)
The Australian Institute of Family Studies (AIFS) reports that nearly a quarter of all households are made up of a single person.As a result, the average number of persons per household is now 2.6, down from 3.6 fifty years ago.This data is surprising considering that the average house in Australia is about 242 square metres, or a three-bedroom house.
4. First-time homebuyers comprised a third of the housing market in 2019-20.
(Australian Bureau of Statistics) (National Housing Finance and Investment Corporation)
The share of first-time home buyers is considered a general indicator of the ease of entry and the overall condition of housing markets. According to ABS population statistics, first home buyers amounted to 38% of all buyers and they were more likely to purchase a flat or an apartment. One in six (17%) of the properties they bought were newly built.
5. One in five Aussies own residential property other than their home.
(Australian Bureau of Statistics)
How to get a loan with zero down as a first-time home buyer? Find out here.
Australian housing statistics reveal that in 2019-20, 2.02 million households owned a residential property other than their primary residence. Of those, 68% owned a single property, while 4% owned four or more other residential properties.
6. How many houses are sold in Australia each year?
(CoreLogic)
Housing statistics reveal that sales are close to their highest point in the last two decades. Close to 598,000 properties were sold in 2021, a drop of 42% compared to the year before.
7. CommBank is the leading mortgage lender.
With nearly $5.5 trillion in loans, CBA is the largest mortgage lender in Australia, followed by Westpac Banking with $4.9 trillion. Australian household debt accounts for 119.30% from its GDP. Levels of household debt in Australia have been steadily climbing for the past 30 years. Mortgage statistics in Australia also show that the ten largest mortgage lenders held 91% of the mortgage market in 2020.
Housing Tenure in Australia Statistics
8. Two-thirds of Australian households own their home.
Referencing the 2019-20 fiscal year, the Australian Bureau of Statistics (ABS) reported that 37% of households owned their residence under a mortgage, while 30 % of homes were owned without a mortgage. Over the course of the last two decades, those figures have grown 5% and dropped 9%, respectively.
9. The Australian home ownership rate is declining.
(Aihw)
Housing data from the last census show that 67.5% of all private dwellings were occupied by their owners in 2021, compared to 70.6% back in 1999–2000. This indicates that Australia’s overall homeownership rate has dipped slightly, but the decline is more dramatic for specific groups, such as young households and those with lower incomes.
10. The highest Australian home ownership rate is in Western Australia.
According to ABS, homeownership rates are highest in Western Australia (69.3%) and lowest in the Northern Territory (59%). Such regional differences in the housing trends in Australia are at least partly related to the average housing costs in the territories.
11. Half of Aussies aged 30-34 are homeowners.
(Australian Institute of Health and Welfare)
The vast majority of Australians in their twenties tend to live in rented homes, as only 36,1% in the 25-29 age bracket are homeowners. Indicatively, this figure was as high as 50% some 50 years ago.
By the time Aussies get to their forties, almost two-thirds own their own home and the figure rises to 73.4% for the 50–54 age group. It’s safe to say the thirties are a turning point in terms of home ownership in Oz.
12. A third of Australian households rent their home.
Rental statistics in Australia show that 31% of Australians live in rented homes, up 4% from 20 years ago. Specifically, 26% of all Australian households rent from private landlords (up 6%), while only 3% from state or territory housing authorities (down 3%).
13. Over half of Aussies under 35 rent from private landlords.
If you want to buy a house but the rent is too high, there are still ways to save for a home deposit.
The proportion of households renting from private landlords has affected younger households more than older Australians. The housing data from AIHW shows that 60,1% of the age group under 35 rented from private landlords, compared to only 20,6% from the age group 55 and over.
In terms of increase in rent, there is no law that can stop a private landlord from increasing rent, but government authorities consider an increase of 10% to 20% (varies from state to state) over the current inflation rate or average rent rise to be unjustified.
14. The majority of social housing in Australia is public housing dwellings.
In 2020-21, the Australian Institute of Health and Welfare (AIHW) reported that some 790,000 inhabitants live in social housing dwellings. Of those, 70% were public housing, while 24% were community housing dwellings.
15. The largest number of dwellings in Australia dedicated to social housing is in NSW.
Recent ABS housing data reveal that New South Wales has 106,347 social housing dwellings, 96,729 of which are public housing and 53,233 community housing dwellings.
16. Half of community housing dwellings in Australia are flats or apartments.
In 2021, public housing in Australia was distributed almost equally between dwelling types: 37% were separate houses, 35% were flats or apartments, and 27% semi-detached townhouses. In terms of community housing, a flat or apartment was the most common form of dwelling with 51%, followed by separate residences with 30%, according to AIHW residential reports.
Housing Costs and Affordability
17. In 2021, the house price to income ratio in Australia was 131.5%.
(OECD)
The OECD’s price to income ratio index in Australia shows a 41,5% increase between 2010 and 2021. During the decade, the highest price to income ratio was seen in 202, while it was at its lowest in 2012 at 83.6%.
18. 75% of households spent 25% or less of their gross income on housing costs.
Housing affordability in Australia and across the world is expressed as the ratio between housing costs and household income. According to ABS housing data referring to 2019-20, 5.5% of households were in financial stress, spending 50% or more of their gross income on housing costs, while 11.5% spent between 30% and 50%.
On the other hand, groceries are one of the biggest expenses for Aussies, and the percentage ranges from 57% to 69% of people who spend most of their income on food.
19. In 2022, average weekly housing costs across all Australian households were $317.
The average weekly housing costs vary dramatically based on the tenure and landlord type. In the ABS analysis of housing trends in Australia referring to 2019-20, the average weekly housing costs for owners with a mortgage was $493, $379 for renters, and $54 for owners without a mortgage.
20. How much does a house in Australia cost?
(Australian Bureau od Statistics)
When it comes to Australian house prices, Sydney has the highest median house value, reaching $1.177,700 million as of June 2022. This is almost 50% higher than the national average!
In related housing news, the second highest house values on the Australian property market are in Australian Capital Territory, and in third place is Victoria. The lowest mean price is the Northern Territory with $542,100.
21. What is the average house rent in Australia?
(Rent)
Adelaide is Australia’s most affordable capital city in terms of rent, with a median weekly lease of $450 for a house and $370 for an apartment. Rental statistics in Australia indicate Sydney has the highest average rent at $650 per week for houses and Canberra $520 for apartments.
Stats on Home Owners in Australia
22. Half of first-time home buyers were aged 25-34.
According to ABS housing data, there were approximately 423,700 first home buyers in 2019-20. Of those, 56,1% were in the 25 to 34 age bracket, 25,6% were in the 35-44 age group, and 9,7% were aged 45-54.
23. The highest annual growth rate in dwelling values was in Regional SA.
In 2022, the highest annual rate in dwellings values in capital dwellings and regional dwellings was at 22% across SA, while the lowest rate was in Sydney with -6% over 2022. Even so, South Australia still houses some of the lowest-priced properties in the country.
24. Over 115,000 people were reported to be homeless in Australia.
(Australian Institute of Health and Welfare) (Human Rights)
According to 2015-16 census data, there were some 116,000 homeless people in Australia, welfare statistics indicate. Three out of five were male, while one in five was between 25 and 34 years of age.
In Human Rights survey results, 1 in 200 Australians don’t have a place to sleep, and a third are under 18 years of age.
25. 80% of older Australians prefer to live in their own home.
(AgedCareRoyalCommission)
If they need care services, 62% of Australians would like to continue to live in their own home. 12% would like to transfer to a smaller dwelling and 7% would like to live closer to their family and friends so they would be closer to an informal support and care. Only 25% of older Australians would join the 335,889 elderly Aussies already using residential care at retirement villages.
Australia Housing Future
26. In 2022, the average cost of a house in Australia rose by 1%.
(PropertyUpdate)
Real estate industry statistics for Australia indicate that while housing prices went down during the initial phase of the Covid pandemic, the drive for asset investments quickly drove demand for real estate up again.
Reports estimate that house prices grew by a solid 30,8% nationally in 3 years, and grew by 10,3% per year.
27. Real estate trends reveal that high-end home values went down by 0,22% in one month.
The high end of the real estate market in capital cities is defined by properties with a median value of about $801,000, while the low end of the market are properties with median value at less than $636,000. The inexorable growth of the former segment indicates that it is the high tier of properties that is driving the Australian property market increase.
Bottom Line
After a challenging pandemic period, the housing market is ready for a rebound. Data suggest most Aussies are looking to upgrade their home, which means that, as demand picks up, prices will skyrocket. On the other hand, the work-at-home mandate during the pandemic allowed renters and homeowners from packed urban areas to migrate to the suburbs or regional towns, where housing is more affordable.
We hope this overview of the housing statistics in Australia gives you a better understanding of the housing market’s current state and the real estate trends of the immediate future.
ABS News
AgedCare
Australian Bureau of Statistics
Australian Institute of Family Studies
Australian Institute of Health and Welfare
CoreLogic
Human Rights
Housing Data
National Housing Finance and Investment Corporation
OECD
PropertyUpdate
Real Estate Institute of New South Wales
Rent
Statista
The Conversation
