This generation is quietly leading Australia’s housing wealth boom, outpacing all other age groups in real estate asset growth over the last decade. While some Millennials now hold million-dollar gains, the same market forces helping them have made homeownership increasingly unattainable for others. Low interest rates and soaring property prices benefited those who entered the market early, but these conditions now act as barriers for new buyers.
Between 2014 and 2024, the average housing wealth for Millennials grew by 169%, increasing from approximately $596,000 to around $1.61 million. This represents a gain of more than $1 million, based on KPMG’s analysis of data from the Australian Bureau of Statistics. Surprisingly, Millennials have outpaced Baby Boomers in property wealth growth, challenging assumptions about who has gained the most in recent years.
Much of this increase favoured those who purchased homes in their 20s and early 30s during the 2010s, supported by market conditions that included record-low interest rates and supply restrictions caused by construction delays. As property prices surged, affordability plummeted, making it far harder for new buyers to gain a foothold.
Today, it takes more than 13 years on average to save for a deposit on a median-priced Sydney home. The traditional strategy of buying a modest starter home and gradually upgrading has become less realistic. Affordable properties are increasingly located further from city centres, limiting options for livable and well-connected locations.
The widening divide suggests the property ladder is broken at the entry point. The gap between renting and homeownership has become so large that the first rung is missing for many Australians. While many Millennials who already own property continue to benefit, the next generation faces challenges that are likely to prevent them from repeating these wealth gains.
