The Growing Intergenerational Housing Wealth Divide: Drivers And Interactions In Australia

This paper unpacks the drivers of growing intergenerational housing wealth inequality in Australia. We also account for the multidimensional nature of housing wealth divides by examining the interaction between age and other divides. We find that the Australian intergenerational housing wealth gap w...

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Main Authors: ViforJ, Rachel Ong, Phelps, Christopher
Format: Journal Article
Language:English
Published: ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD 2023
Subjects:
Online Access:http://purl.org/au-research/grants/arc/FT200100422
http://hdl.handle.net/20.500.11937/93871
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author ViforJ, Rachel Ong
Phelps, Christopher
author_facet ViforJ, Rachel Ong
Phelps, Christopher
author_sort ViforJ, Rachel Ong
building Curtin Institutional Repository
collection Online Access
description This paper unpacks the drivers of growing intergenerational housing wealth inequality in Australia. We also account for the multidimensional nature of housing wealth divides by examining the interaction between age and other divides. We find that the Australian intergenerational housing wealth gap widened from 161% in 1997–98 to 234% in 2017–18, favouring the older cohort. This was driven by lower rates of homeownership and lower property value growth among younger cohorts, with the relative lack of homeownership access the more significant driver. However, higher rates of couple formation and tertiary education amongst the young mitigated a further widening of the gap. The intergenerational housing wealth gap is exacerbated within specific population subgroups. The growing housing wealth gap between the income-poor young and income-rich old has been particularly alarming, climbing from 532% to 1230% over two decades. We discuss implications for policies seeking to alleviate intergenerational tensions in housing markets.
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spelling curtin-20.500.11937-938712024-08-02T02:00:12Z The Growing Intergenerational Housing Wealth Divide: Drivers And Interactions In Australia ViforJ, Rachel Ong Phelps, Christopher Science & Technology Social Sciences Life Sciences & Biomedicine Environmental Studies Regional & Urban Planning Urban Studies Environmental Sciences & Ecology Public Administration Housing wealth inequality intergenerational homeownership EQUITY WITHDRAWAL HOMEOWNERSHIP INEQUALITY OWNERSHIP ACCUMULATION SECURITY GAP This paper unpacks the drivers of growing intergenerational housing wealth inequality in Australia. We also account for the multidimensional nature of housing wealth divides by examining the interaction between age and other divides. We find that the Australian intergenerational housing wealth gap widened from 161% in 1997–98 to 234% in 2017–18, favouring the older cohort. This was driven by lower rates of homeownership and lower property value growth among younger cohorts, with the relative lack of homeownership access the more significant driver. However, higher rates of couple formation and tertiary education amongst the young mitigated a further widening of the gap. The intergenerational housing wealth gap is exacerbated within specific population subgroups. The growing housing wealth gap between the income-poor young and income-rich old has been particularly alarming, climbing from 532% to 1230% over two decades. We discuss implications for policies seeking to alleviate intergenerational tensions in housing markets. 2023 Journal Article http://hdl.handle.net/20.500.11937/93871 10.1080/14036096.2022.2161622 English http://purl.org/au-research/grants/arc/FT200100422 ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD fulltext
spellingShingle Science & Technology
Social Sciences
Life Sciences & Biomedicine
Environmental Studies
Regional & Urban Planning
Urban Studies
Environmental Sciences & Ecology
Public Administration
Housing
wealth
inequality
intergenerational
homeownership
EQUITY WITHDRAWAL
HOMEOWNERSHIP
INEQUALITY
OWNERSHIP
ACCUMULATION
SECURITY
GAP
ViforJ, Rachel Ong
Phelps, Christopher
The Growing Intergenerational Housing Wealth Divide: Drivers And Interactions In Australia
title The Growing Intergenerational Housing Wealth Divide: Drivers And Interactions In Australia
title_full The Growing Intergenerational Housing Wealth Divide: Drivers And Interactions In Australia
title_fullStr The Growing Intergenerational Housing Wealth Divide: Drivers And Interactions In Australia
title_full_unstemmed The Growing Intergenerational Housing Wealth Divide: Drivers And Interactions In Australia
title_short The Growing Intergenerational Housing Wealth Divide: Drivers And Interactions In Australia
title_sort growing intergenerational housing wealth divide: drivers and interactions in australia
topic Science & Technology
Social Sciences
Life Sciences & Biomedicine
Environmental Studies
Regional & Urban Planning
Urban Studies
Environmental Sciences & Ecology
Public Administration
Housing
wealth
inequality
intergenerational
homeownership
EQUITY WITHDRAWAL
HOMEOWNERSHIP
INEQUALITY
OWNERSHIP
ACCUMULATION
SECURITY
GAP
url http://purl.org/au-research/grants/arc/FT200100422
http://hdl.handle.net/20.500.11937/93871