Gen Y keen on property investment
A new survey has found Gen Y are more likely to invest in property than Gen X or Baby Boomers.
The survey by ING DIRECT found 22% of Gen Y respondents owned at least one investment property, News Corp has reported. This compares to 20% of Gen X Australians and 19% of Baby Boomers.
ING DIRECT executive director John Arnott said many young Australians were choosing to become investors rather than owner occupiers.
“Ultimately we’re seeing Australians investing their money into properties while they’re young, while opting to rent to suit their lifestyle,” Arnott said.
In spite of low numbers of first home buyers, ING DIRECT head of product Tim Newman said Gen Y Australians were still interested in getting into the property market, News Corp reported.
“I think the research that we have had here absolutely confirms that there is definitely very much a strong cultural Australian dream around home ownership, and investment property is very much seen by many as a good sort of first step towards that,” Newman told News Corp.
Newman told News Corp that young Australians tended to have more confidence in property than in other investment classes such as shares.
“I think having a tangible asset is more meaningful to people as well. I guess share certificates aren’t that exciting, but if you have an investment property you an drive past and have a look at it, so it seems more real,” he said.