Different generations of home buyers: Which one are you? [Infographic]

Ever wonder how the different generations approach home buying? Each generation has different motivations, different incomes and different ways of finding homes. How are you getting started, whether you’re a first-time home buyer or retiree?

Millennials [20-34]

an icon of a house and gold coins representing average household incomean icon of a mobile phone representing online searchersa chart with an arrow going up representing increase in pricean icon of a person with a sad face representing anxietyA picture of a train representing commutingSpending anxiety

Generation X [35-54]

an icon of a house and gold coins representing household incomean icon of a baby pram representing event moverAn image of a for sale signageAn image of a couple with one baby representing familyA credit card on a scale representing debtan image of credit cards representing debt

Baby boomers [55-65]

an icon of a house and gold coins representing household incomeAn image of a road representing distance commutersan image of an old coupleAn icon of a palm tree representing coastan icon of a house with candles representing long ownershipAn icon of a money bag representing investment buyers

 

View the accessible text version of the infographic below or download the PDF version.

Millennials [20-34]

  • Average household income: $113,000.5
  • Tech-savvy online searchers: 77% use mobile phones for online research - a big 10% more than Gen X.3
  • In a property paradox: Despite 75% being reluctant to buy. 72% think buying is better because of ongoing price increases.4
  • Slower moving: Millennials can be stalled by financial commitment anxietywith 75%
    worried about getting into debt for a mortgage.2
  • Buy close to work: Millennials place super high importance on low commuting costs, so they buy to be close to the office.1
  • Not new: 87% prefer to purchase older homes over new builds.2

Gen X [35-54]

  • Average household income: $130,000.5
  • Event movers: 46% move, for big life changes like extra kids, marriage, kids moving our or retirement.2
  • Offline search: 77% use mobile phones for online research - a big 10% more than Gen X.3
  • Family buyers: 89% of Gen X buy homes with 3+ bedrooms to raise their families.2
  • Financially insecure: 40% say they "don't feel financially secure" and 38% have more debt than savings.6
  • Indebted: 6% spend more than $5000 a month on their credit cards.7

Baby boomers [55-65]

  • Average household income: $111,000.5
  • Moving far from home: While millennials and Gen X stay close to their previous residence, baby boomers are distance movers (30+ miles).2
  • Set to treble the 65+ group: Australia's over-65 population is set to grow from 8.8% in 1971 to 28% by 2056.9
  • Retiring to the coast: Baby boomers are leaving capital cities for an easier lifestyle.8
  • Longest ownership: An average of 13 years ownership before selling.2
  • Investment buyers: Cashed-up baby boomers are the ones squeezing out first-time buyers.10

From millennials to baby boomers, every generation is unique in its approach to home buying - yet all of them are extremely motivated to get into the market.

Try our home loan borrowing power tool to find out how much you could possibly borrow or speak to a Lending Specialist on 13 73 77 to learn more about our home loan options

Owning a home is a major step, take our Are you ready to buy your first home quiz to see if you're ready to buy a home or if you still have a bit more preparation to do.  

Sources:
http://www.argfinance.com.au/2016/01/29/millennials-define-real-estate/
http://www.realtor.org/sites/default/files/reports/2015/2015-home-buyer-and-seller-generational-trends-2015-03-11.pdf
https://www.thinkwithgoogle.com/intl/en-aunz/advertising-channels/mobile/hold-phone-millennials-in-australia-lead-way-on-mobile-usage/
http://www.bdo.com.au/en-au/insights/publications/future-leaders-index/future-leaders-index
http://mccrindle.com.au/the-mccrindle-blog/income-and-wealth-distribution
http://www.smh.com.au/business/millennials-think-they-have-it-bad-generation-x-has-it-worse-20150610-ghl7th.html
http://www.smh.com.au/nsw/generation-x-the-biggest-contributors-to-nearrecord-national-debt-on-credit-cards-20150428-1musca.html
http://www.theguardian.com/business/grogonomics/2015/aug/20/boomers-on-the-coast-gen-x-in-the-suburbs-this-is-where-australians-live
https://theconversation.com/the-boomer-housing-bust-coming-to-australia-13186
10 http://www.domain.com.au/news/baby-boomers-continue-to-squeeze-out-firsttimers-20140113-30qx1/

Get started today

Let us call you back to discuss your home loan needs. Enquire online and a Lending Specialist will be in touch.

Enquire now

Related Stories