Australian Housing Attitudes
Australian attitudes surrounding housing are defined by a cultural phenomenon known as the “Great Australian Dream”. In Australia, detached houses in suburban areas are considered the most desirable properties. Owning your own home with a backyard and the stereotypical white picket fence is considered a rite of passage and part of the transition of building a family.
The existence of this phenomenon is supported by figures collected by the Australian Bureau of Statistics in 2016. At that time, the total number of Australian households was 8,963,310. The ratio of detached houses to units is 5 to 1, indicating a far greater demand for detached houses than units. 97% of couples with children live in detached housing, and 57% of detached dwellings have three or more bedrooms. Conversely, 53% of units are occupied by young single people.
This data shows that young Australians reside in units as they establish their independence away from their parents. However, when the time comes for Australians to ‘settle down’, they typically move further away from urban centres where units dominate to suburban areas with detached or low/medium density housing to raise their children.
In additional to the types of homes they prefer, Australians also have a strong desire to own their home rather just renting it. Of the nearly 9 million properties in Australia, 67% of them are owner-occupied. Of these owner-occupiers, 2.7 million own their home outright, while 3.3 million own their home with a mortgage.
Australian Housing Supply
However, the current housing supply in Australia does not match the demand. Australian housing markets are currently experiencing an oversupply of apartments but are in crucial need of desirable housing such as detached homes and townhouses. Culturally, Australians want detached housing but this demand is not being met as many developers focus on building apartments. This demand is why Lion Property Group specializes in projects which construct townhouses, house and land packages, and deluxe houses.
Rising house prices make it challenging for many Australians to afford detached housing, and townhouses are a suitable compromise, offering additional space and a albeit smaller yard at an affordable price point.
While all reasonable care has been taken in the preparation of this article, we accept no liability for any direct or indirect loss or damage as a result of reliance upon this article. Always consult an expert before making investment decisions or property purchasing decisions.