Fall in ageing Australians’ home-ownership rates looms as seismic shock for housing policy

Outright home ownership has long been regarded as a supporting pillar of Australian retirement incomes policies. There are concerns that rising mortgage debt and falling home ownership rates in later life are undermining the role of home ownership in supporting retirees’ financial wellbeing. Achieving outright home ownership is similar to the accumulation of pension income entitlements that come on stream in later life. This is because the outright owner does not have to meet rents. That reduces the need for a large income stream to pay for shelter as well as the chances of low-income older Australians falling into poverty.