The days of flying the coop permanently may be well and truly over, according to a global survey by ING, with 14% of Australian adults admitting they’ve returned to live with family and friends due to financial difficulties.
The research, which compared consumer attitudes towards the affordability of housing, found two-thirds of Australians viewed the housing market as expensive, with one in two predicting further price rises over the next 12 months.
Approximately a third of respondents declared they’re paying more for housing than they were a year ago, with homeowners spending an average of 30% of their income on a mortgage.
The challenge of getting on the housing ladder has inspired a growing trend for first home buyers to obtain financial assistance in order to get the keys to their first property.
The average age of a first home buyer in Australia is now 26 years old, with one in three tapping the “Bank of Mum & Dad” to put their housing finances on a firmer footing.
Yet, while getting financial assistance is becoming more common, it’s not a new phenomenon.
The research found that the younger the age group, the more likely they are to have received financial help. Over half of 18-24 year old homeowners received money either towards their purchase or to help with home loan repayments, compared to 38% of 35-44 year olds and only 22% of those aged over 55.
Seven in ten Australians think it’s more difficult to buy a home now than it was 10 years ago and are worried that younger people won’t be able to afford a property in future.
However, despite the perception that housing in this country is expensive, three-quarters of Australians still agree it’s better to buy than rent, with the same proportion giving it the thumbs up as a good investment.