Housing inequity in Australia 'must focus beyond age'

The federal government must consider age and wealth together to meaningfully address the growing wealth divide between generations, says The Australian Council of Social Services (ACOSS).

It comes after a Senate inquiry into intergenerational housing in Australia.

ACOSS said older households held the majority of the country's wealth.

"This is not just an ownership problem. We need to look at age and wealth together,"

Jacqueline Phillips from ACOSS said.

ACOSS said people under 35 hold just 7 per cent of the country's wealth. But the wealthiest 10 per cent of households own 25 times as much as the lowest 60 per cent on average.

Ms Phillips says there is a growing wealth gap within younger cohorts, which is higher than in previous generations.

"We must pay attention to the vast inequities in housing that are not based on age,"

Ms Phillips said.

"And recognise the significant wealth inequalities within generations, which is most pronounced in the young generation."

Should renting be an essential service?

National renting group Better Renting said renting should be seen as an essential service in Australia.

Chief executive Angela Cartwright said the majority of the community believed landlords should provide affordable, comfortable and safe housing.

But three years on from the federal government announcing 'A Better Deal for Renters', she said only the Australian Capital Territory and Victoria have implemented new minimum energy-efficiency standards for rentals.

The policy included developing a nationally consistent policy on no-grounds evictions, limiting rental increases to once a year and phasing in minimum quality standards for rental properties.

Victoria's new energy efficiency standards include improved ceiling insulation, draught proofing and cooling.

It also announced upgrades to heating, hot water, and shower-head standards.

While the ACT has energy efficiency measures for ceiling insulation.

Ms Cartwright said governments across jurisdictions had failed to meet the community's expectations on renting.

The renters' advocacy group has called on the federal government to fund incentives for landlords to meet minimum energy efficiency standards, while protecting renters from evictions and rent increases.

It said the Australian Securities and Investments Commission's (ASIC's) lending requirements do not require investors to meet repair and maintenance costs.

"The word inequity is crucial here," she said.

"It doesn't just speak to the inequality in the housing system, it speaks to the fact that this is systemic.

"It is the responsibility of governments to fix it. So Inequity is something that is unfair and can be changed."

Australian dream harder for younger generations

Content creator Jack Toohey went viral after a video on rising house prices in Australia over the past few decades.

He told the committee that people related to the struggles of feeling that home ownership was increasingly out of reach.

Mr Toohey said many young people had carried shame around not being able to reach the milestones of the generations before them.

"The idea of the Australian dream has been one that we continue to sell to future generations of Australians, but also continue to make it harder and harder to reach," he said.

"We really put a lot of stock into owning housing as the primary means of wealth.

"And until you have a home of your own, you're not considered to be a successful member of society."

University of Sydney's Martin Duck, who specialises in inequalities, said wealth inequality in Australia was most stark for people under 35.

He said younger Australians were competing with investors but also with those within their age cohort who have received financial support from family.

"Data shows wealthy young Australians are not, on average, becoming more wealthy by saving and investing their incomes," he said.

"They are rather more likely to have received money from the bank of mum and dad to purchase real estate."

The wealth inequalities facing older and young Australia were as a result of skewed ownership of housing, he said.

"It is likely to increase as inheritances totalling more than five trillion dollars are unevenly received in the next 20 years," he said.

"Under current policy settings this great wealth transfer will be entirely untaxed."