Housing affordability and rental stress have emerged as dominant concerns for younger Australians (under 40), overtaking traditional election issues such as jobs, superannuation, and energy policy, according to a recent survey conducted by Money.com.au.
As the federal election approaches on May 3, these concerns are reshaping the political landscape for Gen Z and Millennials, who are increasingly affected by the housing market’s challenges.
While the cost of living continues to be the primary concern for all age groups, with 59% of respondents citing it as their top issue, a significant portion of younger voters are now focused on housing-related stresses.
About 17% of young adults rank access to homeownership as their principal concern following the cost of living, and others are emphasising the need for better rental affordability.
This contrasts with older generations, who are more concerned with healthcare costs.
The money.com.au survey highlighted that 32% of younger Australians are renters, with 13% saving to buy a home within the year.
Since the last election, PropTrack data indicated a nearly 11% increase in median house prices to $825,000, with unit prices up by 7%. Rental costs have sharply risen too, with the average weekly rent for houses at $635 and for units at $620.
These figures highlight a tightening housing market and underscore the critical housing affordability challenges, stressing the need for prompt policy action.
Mansour Soltani (pictured), a property expert at money.com.au, noted that “housing is a defining factor in both the financial outlook and voting intention of young Australians.”
Young voters are looking for specific government interventions, such as enhanced first-home buyer support and adjustments to lending criteria, like the reduction of the 3% serviceability buffer.
Additionally, there is a call for alternative homeownership models that lower upfront costs, and for improvements in tenant protections and the availability of rental properties, particularly in metropolitan areas, money.com.au reported.
Since the last federal election in May 2022, there has been a notable increase in dwelling prices by 14.1% and rents by 18.2%, outpacing general inflation and wage growth.
This widening gap between wages and housing costs is exerting significant pressure on young Australians, influencing their electoral decisions for 2025.
