Gen Z and Millennial Australians who have not yet bought a home are not treating property ownership as a distant dream. New research from ubank indicates that a majority within these generations intend to enter the market sooner rather than later, with many setting a clear timeline for their first purchase. The findings suggest that even in a tough environment, momentum remains strong among younger adults who want to move from renting or living at home into ownership.
In the ubank survey of Australians aged 18 to 43, 56 per cent of respondents who do not currently own a home said they plan to buy their first property within the next five years. That same group also expressed a broad commitment to the idea of home ownership as an important personal milestone. In fact, 89 per cent agreed that owning a home is one of their life goals, underscoring how firmly property remains tied to aspiration for these cohorts.
Yet that ambition does not come with rose-coloured glasses. While the desire to buy is widespread, the same would-be buyers largely recognise that reaching the goal will be difficult. An overwhelming 95 per cent conceded that purchasing a home will not be easy, reflecting an attitude that blends optimism with a realistic view of what the current market demands.
The obstacles are financial, but the experience can feel overwhelming too
The most obvious roadblocks are economic. Respondents flagged a set of cost pressures that, taken together, paint a picture of why many young buyers feel squeezed even as they continue to plan. High property prices were the most common concern, with 63 per cent identifying them as a key issue. Saving enough for a deposit also emerged as a major sticking point, cited by 42 per cent, while 39 per cent said high interest rates create another significant barrier.
Those figures show how the challenge is layered. It is not simply one cost to overcome, but several working at once: elevated prices, the difficulty of putting savings aside, and borrowing conditions that can change affordability calculations. For aspiring first home buyers trying to map out the next five years, these pressures help explain why so many agree the journey will be hard, even if they remain committed to taking it on.
But the ubank research suggests the strain is not purely about dollars. Many participants also described the system itself as difficult to navigate, with the steps and language involved in purchasing a home often experienced as stressful and confusing. Three-quarters of prospective buyers characterised the home-buying process as stressful. Nearly four in five home owners and prospective buyers said the jargon used across the process is confusing, pointing to terms such as break costs, LVR, and redraw facility as examples of language that can make an already high-stakes decision feel even more daunting.
More first home buyers are purchasing solo and leaning on available support
Alongside ubank’s findings, separate research from the Commonwealth Bank of Australia reinforces the idea that home ownership remains a central ambition, while also showing how buying patterns are shifting. One notable change is the rise in first home buyers purchasing on their own rather than teaming up with a partner, friend, or family member. According to CBA data, 40 per cent of first home buyers bought solo in the first six months of 2024, a meaningful increase compared with the 35 per cent recorded in the first six months of 2019.
That rise suggests that a growing share of buyers are finding ways to proceed independently, even in an environment widely viewed as difficult. However, buying alone does not necessarily mean following a traditional route. CBA reported that more first home buyers have been drawing on government-funded guarantees, with the proportion using these supports increasing over the last three years.
The bank’s figures indicate that between FY21 and FY24, the number of people using first home buyer guarantees rose by 45 per cent. CBA executive general manager of home buying Dr Michael Baumann said it is not surprising to see first home buyers exploring all available options, particularly as property prices have continued to rise. With cost-of-living pressures also in play, he said those options can include innovative loan types, loan policy settings, or government grants and incentives, reflecting a broader trend of buyers looking for workable pathways into the market.
