Research conducted on behalf of customer-owned lender Gateway Bank, in conjunction with lender’s mortgage insurance provider Genworth, has found that 94 per cent of Millennials still see owning their own home as important.
The study consisted of a survey of 2,127 Millennials (aged 23-38) across Australia.
With a high number of younger Australians vying for a spot on the property ladder, many are looking at getting a start soon, as the study found that 66 per cent of Millennials who don’t already own a home are hoping to purchase a property within the next five years.
According to the findings, 58 per cent of Millennials cited the financial security of home ownership as the most attractive factor for getting into the property market, followed by 48 per cent who stated investment potential as the biggest driver.
Additionally, 46 per cent of participants believed that renting is a waste of their money.
According to the survey, two-fifths (42 per cent) of participants stated that a low interest rate was the most important factor in selecting the right mortgage product.
While a significant amount of younger purchasers put emphasis on finding the right mortgage product, the survey also found that more than a third of Millennials (36 per cent) rely heavily on their family for advice on home loans.
When it came to barriers, more than half (58 per cent) of surveyed participants stated that saving for a deposit was the biggest obstacle to accessing the housing market.
However, the research suggests that, despite it taking up to four years for couples to save for a deposit, many are happy to make sacrifices in their lifestyle spending in order to do so.
Gateway Bank CEO Lexi Airey said it was “really pleasing” to see Millennials still striving for home ownership and taking on savings measures in order to achieve this goal.
“[There have been] a lot changes over the decades, but some things stay the same and it is interesting that today’s generation still have such similar views around home ownership as their parents and grandparents,” said Ms Airey.
“Owning a home to raise a family or provide stability is as relevant today as it was many years ago.”
However, other studies suggest that for younger Australians aged 18-24, home ownership is not yet on the horizon, with one in three stating they would prioritise travelling the world over saving for a deposit.
[Related: Aussies value travel over home ownership]