Australians still dreaming of homeownership despite market challenges

A new LJ Hooker survey has revealed that despite rising property prices and mortgage pressures, the desire to own a home remains strong among Australians. The results highlight the unwavering belief in property as a worthwhile investment and the key features Australians refuse to compromise on when searching for a home.

Homeownership Remains a Priority

While global trends suggest a shift towards long-term renting, Australians remain steadfast in their homeownership ambitions. The survey found that 74 per cent of respondents aspire to own a home, with younger generations leading the charge. Australians still view real estate as a solid investment (79 per cent), reinforcing the importance of homeownership in securing financial stability.

“Property provides people with financial security and the knowledge that they can build equity over time which drives investment,” said LJ Hooker Head of Network Australia Chris Keating.

“More importantly, owning their own home allows families to build connections with their community and foster a sense of belonging”

What’s Holding Buyers Back?

Despite strong aspirations, affordability remains the biggest hurdle to property ownership. A staggering 97 per cent of respondents cited property prices as one of their top three challenges, along with regular and stable income (71 per cent) and mortgage repayments (70 per cent) also proving significant barriers.

“Paying off a mortgage takes determination and dedication, and even though it is not always an easy path, people want to turn their homeownership dream into a reality,” Mr Keating said.

“We are seeing younger generations looking for other ways to get into the market, including utilising First Home Buyer Grants, rentvesting, and being supported by their parents.”

Carpet versus Timber — The Great Debate

The survey also revealed a surprising difference between Australians and New Zealanders when it comes to flooring preferences. While 61 per cent of Australians prefer timber floors, 59 per cent of Kiwis opt for the warmth and comfort of carpet.

“Timber flooring is just so much more practical in Australia; it is better suited to our climate, is more durable and just looks good,” Mr Keating said.

More than two-thirds of respondents cited the absence of air conditioning as the biggest drawback when considering a property purchase.

A garden is no longer necessary

The Great Australian Dream of homeownership no longer means having a Hills Hoist in the backyard. Almost half of the respondents revealed that a lawn or garden is no longer a must-have when buying a property.

“It is not just one type of property that is aspirational anymore, while affordability is playing a part, it also reflects our changing lifestyle,” Mr Keating said.

“Australians love their outdoor space, but not everyone has the time to maintain a lawn or garden. A large segment of the market is looking for easy living without the upkeep, so we need a diversity of housing to cater for everyone.”

Gen Z’s Dream Homes, Gym Included

Dream homes mean different things to different generations. However, outdoor entertaining areas, luxury kitchens and infinity pools ranked high on everyone’s wish lists.

Interestingly, 48 per cent of Gen Z respondents said their dream feature would be a home gym compared to just 20 per cent of Gen X respondents.

“Lifestyle and versatility are drivers when it comes to buying a home, and while different stages of life mean different needs, there are still many common features shared across generations,” Mr Keating said.

The Future of Homeownership in Australia

Despite affordability concerns, the aspiration for homeownership remains deeply ingrained in the Australian culture. The survey findings reinforce that owning a home is about more than just financial investment — it’s about stability, security, and the freedom to create a personal sanctuary.

“People understand regular and stable income is key to reach their homeownership goal, but they aren’t deterred by the challenges,” Mr Keating said.