Property ownership in Australia offers significant benefits to both men and women, particularly in retirement. However, a recent report by CoreLogic indicates that the benefits enjoyed lean more toward men than women. CoreLogic’s, “Women and Property: State of Play” report has highlighted that within Australia men had a greater rate of home ownership than women in January 2021 . Out of 4.8 million properties men had exclusive ownership (29.9% of the properties), compared to 26.6% owned exclusively by women. This is despite the fact that according to ABS data, women make up 50.9% of the population aged 18 and over.
CoreLogics’ data suggests that gender gap in income is the key reason for the disparity in exclusive home ownership, as Eliza Owen notes “Income is an important determinant of home ownership, and lower-income households in Australia consistently have lower rates of home ownership.” Women on average earn 13.4% less than men, with men earning an average of $7,818 and women earning an average of $6,769 per month – Data from the ABS. This indicates women are more likely to sit in lower-income brackets, and are therefore more likely to find it hard to save the deposit or be able to make mortgage payments. On average, based on the median dwelling value of $583,000 men require 69 months to save a 20% deposit, compared to 79 months for women. The 10 month difference in saving ability between men and women creates greater challenges in homeownership for women.
Given the advantages and benefits of home ownership, it is advantageous for the challenges involved in homeownership for women to be reduced. The CoreLogic report notes that a long term policy to address the gender pay gap would help to reduce these barriers.
In saying all the above, there is good news for women. If you would like to learn how property investment can be part of the solution to reducing the gender wealth gap, please contact us to organise a strategy session with one of our Senior Property Experts. Discover how you can own your home faster, reduce your tax and own cashflow positive property investments.