Radical plan to remove boomer, unlock 60k home

Nearly 70% of empty Nester households are not willing to shrink and release large homes for young families despite the worsening Australian housing crisis.

Extraordinary figures from the Australian Senior Survey show that only 19% of Australian empty nesting people have already moved to small property after their children move in, but another 13% are considering it.

The majority of empty nesting people (69%) decided to take the family home instead.

Of the generations, the baby boomer generation is most likely reduced in the past year, with the same number of Boomers and Generation X being maintained.

The most valuable individuals who earn more than $200,000 a year are the most common individuals who have not yet reduced.

The housing crisis is now emerging as the basis for the federal election campaign, sparking a call for reform by the Retirement Living Council (RLC) to unlock 59,576 homes across Australia.

In a report released today, the RLC urges the removal of financial barriers to encourage older Australians to “give” and “give” younger families and create much-needed housing opportunities.

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According to the Deletion Rights Obstacle Report, the testing of age pension assets and reforms to federal rent support could encourage an additional 94,000 elderly people to access housing options in their retirement villages by preventing financial penalties for doing so.

RLC executive Daniel Ganon said these changes could have significant outcomes, including generating $295 million in state stamp duty revenue, including reducing costs and demand for public housing, hospitals and elderly care.

“Prehistoric policies are closing old Australians to large families' homes if they should be frontline and centre to alleviate pressure on housing and health care systems in order to grant initiatives amid the housing crisis,” he said.

“It's ridiculous that policies written decades ago will be expected to keep up with modern housing prices and living costs. Elderly Australians risk losing pensions while younger people are in their homes.”

Here is a comparison of states in the Australian Senior Survey.

South Australia

Research shows that South Aussie seniors are probably the most stubborn when it comes to downsizing.

79% of respondents said they would not intend to shrink or release large homes for their younger families. This figure was the highest recorded in all states and territories.

Data shows that only 17% of SA parents whose children have left home have shrunk, but only 4% are considering that.

Individual analysis of census data revealed the SA suburbs with the highest population of potential downsizers defined as residents age 50 or older.

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Retirement George Dostal sells his home in Hindmarsh Valley, SA, after entering the village where he eventually retired. He had been waiting for the apartment to become available for years. Photo: Tim Joy

The Golden Globe, northeast of Adelaide, led a state with 4,459 people in its demographic.

Hope Valley was another hotspot with the remaining top ten in West Lakes, Winvale, Paradise, Grange, North Haven, Fulham Gardens, Summerton Park and Glenelg North.

Eleanor Creagh, senior economist at Proptrack, said one of the major untapped sources is making better use of existing homes as SA is tackling housing shortages.

“We know that South Australia's affordability has dropped significantly and prices have risen by around 80% over the past five years. That could affect the resistance of downscissors,” she said.

“The decision to reduce (but) is a very personal decision, not just a financial decision, and the cost of stamp duty and the lack of appropriate alternatives are hampered by many older South Australians, especially given all emotional and cultural factors.

Read the full story here.

New South Wales

In New South Wales, seven in 10 empty nestors have refused to shrink, putting pressure on the state's already significant housing shortage.

A survey by seniors in Australia revealed 20% of the state's empty nesting people, and the law has already moved to small property after the child moved, but 13% were considering it.

The majority of the 67% lived in large families with no plans to sell, indicating that nearly 60,000 desperately needed properties nationwide can be released for young Australians.

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Apartment life is perfect for empty nests, but not enough of them. Photo: Supply

Social analyst and demographic scientist Mark McLindle said many downsizers were turned off due to financial burdens associated with sales and repurchase, but in many cases the emotional and practical barriers were even greater.

“This is the home they raised their children, and giving up their family home is a sentimental abandonment, a signal that the parenting phase is over, and many don't want to admit it,” he said.

Proptrack's data shows that Mosman, Earlwood, Concord and Mona Vale are one of the suburbs with the potentially largest empty Nester population, with the largest portion of over 50 owners over a ten-year holding period.

Read the full story here.

Victoria

Victorian ski nestors prove that 67% of 67% of survey responders say they have no intention of downsizing.

Only 17% of parents whose children have moved out of their homes have been reduced, but only 15% are considering it.

Separate census data shows Wheelers Hill, Camberwell, Eltham and Brighton East are some of the city's largest populations over the age of 50.

The same suburbs also have an extraordinary average homeownership period of over 15 years, placing them in the city's top 30 suburbs to ensure owners refuse to sell out or move on.

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Paul and Terry Lange retired at the Victoria Cube Home, currently under construction. They are seeing an increasing number of baby boomers avoiding banks and building their next homes with cash. Photo: Ian Curry

The figures for seniors in Australia were collated with responses from over 1,200 Australians from over 50 Australians, along with studies from previous empty nestors.

MyMavins consulting partner Tai Rotem has opened up 50% empty nests at the idea that kids are going home, and there was an important chunk of hoping to leave their children home as inheritance, with important reasons why they didn't think about selling.

Read the full story here.

Queensland

Seven Queensland's empty nestors are still clung to their family homes, making them the second most biased cohort to abandon their homes to the younger generation.

Only 19% of the state's empty nesting people have moved to smaller property after their children have moved, but 13% are considering it, and 68% are staying.

A population of potential downsizers in Queensland, defined as residents over the age of 50, was discovered in Cleveland, in the Redlands district of Greater Brisbane, with 8,364 people leading by its demographic, followed by Aspery in northern Brisbane.

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Margaret and Brian Phillips have been renovating their homes for over 40 years, and their time in Ascott has taught them where the value of Brisbane's housing market lies. . Photo: Deb Foschiatti

The remaining top 10 boomer hotspots were on the coast of Gold and Sunshine.

Labrador, Hope Island, Tewantin, Carrara, Coombabah, Runaway Bay, Noosaville, Pelican Waters.

These areas were ranked as suburbs where homeowners have held properties for over a decade.

Individual studies by the Avid Property Group found that lifestyle considerations are the key factors in modern Queenslander's reduction decisions.

Avid found that 39% of future downsizers are driven by “aging in communities where their health was considered.”

“Interestingly, 'freeing the extra cash for retirement' was rarely considered for these Queensland customers,” said enthusiastic general manager Manuel Lang.

Read the full story here.