The Pulse
“FOMO will cause you unprecedented future financial stress if common sense does not prevail on affordability to repay interest on a mortgage ( historic global norm is less than 30%)”
The Myth vs the Reality
There’s a widely circulated narrative—reinforced by media stories—that suggests Gen Z Australians are simply uninterested in property, opting against home ownership by choice. But according to a piece in Daily Mail, that narrative is misleading. In reality, many young Australians still aspire to own property—but are blocked by systemic challenges such as escalating prices, stagnant incomes, and high debt burdens.
In this blog, we’ll unpack the misconceptions, examine the structural barriers facing Gen Z homebuyers, and explore more honest ways to frame this generational housing challenge. (Souce: DailyMail)
The claim that “Gen Z don’t want homes” is partly a messaging shorthand—and partly a deflection. While some younger people do value flexibility or delaying major purchases, many still dream of owning. The difference lies in what they realistically can afford.
Recent data and property commentary show that:
- Prices have surged dramatically, pushing homeownership out of reach for many first-time buyers.
- Wages, especially for younger workers, haven’t kept pace, leaving a growing gap between what a young adult can borrow and what the market demands.
- Debt burdens (student loans, cost-of-living pressures) reduce capacity to save or qualify for mortgages.
Thus, the “myth” masks what’s really going on: a system that no longer rewards early home-buying, particularly for young people without generational wealth or high incomes.
Barriers Facing Gen Z in Housing
- High deposit and borrowing thresholds
Even with lowered deposit schemes, monthly repayments may exceed what many can service comfortably. - Rising cost of living & non-housing debt
Rent, utilities, education loan repayments, and living expenses leave little room for savings or mortgage payments. - Inequality in generational wealth transfers
Many older homeowners benefited from lower prices and inherited assets—advantages that Gen Z lacks. - Investor competition & speculation
In many markets, investors (domestic or foreign) outbid first-time buyers with stronger capital backing, pushing prices higher. - Psychological toll & financial discouragement
Constant headlines about housing crises may dampen motivation, leading some to resign to renting even if ownership remains an aspiration.
Final Thoughts
Gen Z in Australia isn’t choosing to forgo homeownership out of disinterest—it’s increasingly becoming a choice they can’t afford. The so-called “myth” reinforces narratives that dismiss systemic inequality.
At MyMoneyMedic, we believe the conversation must evolve: instead of asking Why aren’t young people buying?, we should ask How rigged is the system against them? Working towards clearer pathways—through policy, education, financial products, and public awareness—will create a more just housing future.
If you’re a young adult worried about your housing prospects, or a parent, educator, or policymaker looking for solutions, reach out. We support deeper strategies and mental-financial wellness through structural shifts—not just aspirational slogans.