Since 2000, the number of Australian households with three generations living together has been on the rise according to new research from the Australian Institute of Family Studies. In 2016 there was around 4 per cent of Australian households with three generations living together.
Unlike the baby boomer generation where you were encouraged to buy your own home and raise a family, today multigenerational living is on the rise, due in part to the high cost of housing but also because of the ongoing cultural changes in Australia according to new research.
It’s becoming more widely accepted for adult children to remain in the family home compared to previous generations according to new research from Dan Woodman, an associate professor of sociology at the University of Melbourne.
The Baby Boomers left home because you had to, to be treated like an adult,” says Woodman.
Families are more flexible now with their living arrangements says Edgar Liu, a senior fellow at the University of NSW’s City Futures Research Centre. Savings on household living costs or enabling people to return to study or switch careers are many of today’s drivers motivating people to live with parents.
“What they find most satisfying however is the companionship, with financial savings only third down the list,” he said.
According to figures from the 2016 census compiled by The Sun-Herald, South-western Sydney, Blacktown and Parramatta have the most multi-generational households, while the eastern suburbs and city and inner south had the fewest.
What does this mean for property investors?
We know that the NSW government has made it easier to build granny flats in some areas, across Sydney and NSW and local councils are also responsible, through their local housing strategies, for promoting housing diversity to meet the needs of future forecast populations.
We also know that multigeneration living is on the rise, so all this spells opportunity for property investors to meet the ever-changing needs of the property market.
To learn more on how you can boost your rental returns with a granny flat, be sure to give the team at Plan Assist a call.