For decades, bricks and mortar has been the default vehicle for Australian families hoping to build wealth and leave something behind for their children. New research commissioned by Money.com.au suggests that confidence is cracking, and affordability, not sentiment alone, is doing most of the damage.
A nationally representative survey of more than 1,000 Australians, conducted by Pureprofile in June, found that just over half of respondents (51%) cite high property prices and mortgage costs as the main barrier to building wealth through property. A further 27% point to wages failing to keep pace with housing costs, and 22% blame government taxes and policy settings for weakening investment returns.
That squeeze is moving fast: Cotality data shows would-be buyers in Perth needed an extra $16,500 in annual income in just five months to May 2026 to qualify for a mortgage, with Brisbane buyers needing an extra $17,000 over the same period.
That cost pressure has flowed through to how Australians feel about the future. The same survey found that 53% no longer believe they will be able to pass property down to future generations through homeownership or investment, leaving just 47% who remain confident the pathway is still open.
Money.com.au's property expert, Nick Burgess (pictured), says the shift reflects growing unease about whether property can keep delivering the outcomes it has in the past.
"Property has traditionally been seen as one of the most reliable ways to build wealth through capital growth and rental income, and to create some financial legacy for future generations," Burgess said. "But now, more people believe that opportunity is slipping away and confidence in bricks and mortar is eroding."
Policy reform is compounding the concern. The federal government's overhaul of investment settings, including tighter negative gearing rules, changes to the 50% capital gains tax discount, and a ban on self-managed super funds borrowing to invest in residential property, has added fresh uncertainty for mum-and-dad investors.
Burgess says these changes are "pouring cold water on the aspirations of millions of Australians ... to build wealth through property and pass it on to their children and grandchildren."
That's already playing out in practice: major lenders including ANZ, NAB, and Macquarie have updated their serviceability policies, recognising negative gearing only on new builds or pre-budget established properties.
That same tension between wanting to help and being able to shows up clearly in who is most worried about the future. Perhaps surprisingly, pessimism is highest among those closest to actually transferring wealth: 56% of both Gen X and Baby Boomer respondents doubt they can pass on property, compared with 47% of Millennials and 46% of Gen Z.
Burgess suggests this gap makes sense.
"Older Australians are the generation closest to passing on their wealth, so they're naturally more sceptical about how changing affordability and investment settings could affect what they'll actually be able to leave behind," he said.
Younger Australians, by contrast, are more focused on the challenge of buying their first property than on the practical realities of passing wealth on down the line.
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