Staying in the nest
The thought alone may make parents shudder – children staying in the family home until they’re 30 years old. While a few decades ago the idea would have sounded bizarre, it’s now becoming a reality.
34% of those surveyed said they expect to stay at home until they’re at least 30 years old – up an incredible 14% in just two years.
63% of respondents who are still living at home, say the reason they’re still there is because they can’t afford to move out.
Worse still, most of those who do live at home say once they do move out, they will still have to rent before they can afford to buy a property.
Bank of Mum and Dad
As affordability reaches crisis point, more Millennials are considering turning to family for help.
27% say family assistance to raise a deposit would be great, while one in five said they’d welcome help with paying off their mortgage.
Despite looking for a helping hand, most Millennials aren’t looking for a handout – with just 11% saying they want their family to purchase them a home outright.
Stifling stamp duty
Of the 2,220 people surveyed, 79% said removing stamp duty would significantly improve affordability, that includes 87% of baby boomers and 72% of Millennials.
Also rating highly was more concessions for first home buyers, more jobs in areas with low housing prices and improved commuting options.
The New South Wales Government currently offers full or partial concessions on stamp duty for first home buyers up to $800,000, but with the median dwelling price now exceeding that amount, many Millennials aren’t receiving a cent.
Corelogic CEO Lisa Claes has warned this issue needs to be fixed, stating “If Millennials’ affordability disillusionment continues, we risk entrenching a generation who become disenfranchised from society.”
Adding, “It raises serious issues around intergenerational equity and should be a catalyst for policy makers to address affordability at a foundational level.”
It’s a notion supported by the REINSW who has long lobbied for the Government to amend the needlessly high stamp duty tax.
This latest data serves as yet another clear example as to why reform is so urgently needed in this area.