Census 2016: Are house prices to blame for keeping young adults at home?

Twenty per cent more 25 - 34 year olds were shacked up at home on the night of the 2016 Census compared to five years ago, indicating that hipsters are fast becoming a generation that stay in the nest.

For those wondering why there’s been such a steep rise in the number of non-dependants living with their parents, Mozo’s Property Expert Steve Jovcevski suspects that the housing boom has a lot to do with it.

“Whether you want call them “kidults”, “millennials” or “hipsters”, I’d place my bets on young people in their 20s and 30s choosing to live in the family home for financial reasons,” he said.

“House prices are simply not what they used to be in Sydney and Melbourne, making it harder for young people to grow their careers in those cities as renters, while at the same time saving for a first home.”

According to Mozo Data, the average home loan interest rate for owner occupiers back in 2011 was 7.26%, while fast forward to 2016 and the average rate was 4.51%.

However, Jovcevski said that even though interest rates used to be higher, property prices were considerably cheaper back then compared to now, so saving up for a deposit was more achievable.

The median price for a house in Sydney in February 2011 was $637,258*, compared with  $780,000** in August, 2016 (the same month as when the Census took place).

If you were looking to put down a 10% deposit on a first home loan back in 2011, you’d only need to save $63,725. Five years later borrowers would have to cough up $78,000, that’s $14,247 more.

On the plus side, new and improved first home owner grants and concessions including the abolition of stamp duty for eligible applicants and the first home super saver scheme are set to kick in on July 1, which could help to turn the stay in the nest trend around.

“While these incentives may improve housing affordability in the short term, I urge Aussies with deposits saved up to act sooner rather than later before a flood of buyers enter the market and push prices up even further” Jovcevski warned.

The 2016 Census data also revealed that home ownership rates are dropping. 25 years ago, 41% of households owned their homes outright, while in 2016 only 31% of households did.

“Many borrowers continue to pay a premium on their mortgage by banking with the Big 4” noted Jovceski. “Every percentage point difference you can get by going with a smaller lender is going to help you pay off your mortgage sooner.”

If you’re in the market for a first home loan, use Mozo’s comparison hub to shop around for the best rates and features across hundreds of mortgages in the market.

*According to Domain

Last updated 14 July 2025 Important disclosures and comparison rate warning*
What are your home loan needs?
Loan purpose
Buying or Refinancing
  • Promoted

    Fixed Rate Home Loan

    • Fixed rate
    • Owner occupier
    • Principal & Interest
    • 5% min deposit
    Interest rate
    5.49 % p.a.
    Fixed 2 years
    Comparison rate
    5.77 % p.a.
    Initial monthly repayment
    $4,084
    Go to site
    • No ongoing annual fees
    • Make up to $25,000 extra repayments during a fixed period, fee free (T&Cs apply)
    • Lock in for up to 5 years.
  • Fixed Home Loan

    • Fixed rate
    • Owner occupier
    • Principal & Interest
    • 5% min deposit
    • Redraw available
    • Cashback
    Interest rate
    5.29 % p.a.
    Fixed 2 years
    Comparison rate
    5.72 % p.a.
    Initial monthly repayment
    $3,994
    Go to site
    • Get up to $4,000 cashback (T&Cs apply)
    • Up to 12 months repayments in advance without penalties
    • Split loan available
  • Fixed Rate Home Loan

    • Fixed rate
    • Owner occupier
    • Principal & Interest
    • 5% min deposit
    Interest rate
    5.49 % p.a.
    Fixed 2 years
    Comparison rate
    5.77 % p.a.
    Initial monthly repayment
    $4,084
    Go to site
    • No ongoing annual fees
    • Make up to $25,000 extra repayments during a fixed period, fee free (T&Cs apply)
    • Lock in for up to 5 years.
  • Variable Home Loan 90

    • Owner occupier
    • Principal & Interest
    • 10% min deposit
    • Offset available
    • Redraw available
    Interest rate
    5.54 % p.a.
    Variable
    Comparison rate
    5.58 % p.a.
    Initial monthly repayment
    $4,106
    Go to site
    • No monthly or ongoing fees
    • Option to add an offset for 0.10% p.a.
  • Offset Home Loan

    • Owner occupier
    • Principal & Interest
    • Interest only
    • Offset available
    • Redraw available
    Interest rate
    5.74 % p.a.
    Variable
    Comparison rate
    5.79 % p.a.
    Initial monthly repayment
    $4,197
    Go to site
    • 100% offset account
    • Access unlimited free redraw on extra repayments
    • No monthly account keeping fees
  • OMG Home Loan

    • Owner occupier
    • Principal & Interest
    • 5-20% deposit
    • Redraw available
    Interest rate
    5.79 % p.a.
    Variable
    Comparison rate
    5.82 % p.a.
    Initial monthly repayment
    $4,220
    Go to site
    • Easy online application
    • Choose Principal and Interest or Interest Only options for your bcu OMG loan
    • With redraw facility available and easy pre-approval valid for 3 months, we will make it happen. Apply online now
  • Offset Home Loan

    • Owner occupier
    • Principal & Interest
    • 5-20% deposit
    • Offset available
    • Redraw available
    Interest rate
    5.89 % p.a.
    Variable
    Comparison rate
    5.92 % p.a.
    Initial monthly repayment
    $4,266
    Go to site
    • No ongoing monthly loan maintenance fees to pay.
    • Pre-approval valid for 3 months
  • Basic Variable Home Loan

    • Owner occupier
    • Principal & Interest
    • 10-20% deposit
    • Redraw available
    Interest rate
    6.39 % p.a.
    Variable
    Comparison rate
    6.42 % p.a.
    Initial monthly repayment
    $4,499
    Go to site
    • No ongoing monthly loan maintenance fees
    • Weekly, fortnightly, or monthly repayment options
  • Offset Variable Home Loan

    • Owner occupier
    • Principal & Interest
    • 10-20% deposit
    • Offset available
    • Redraw available
    Interest rate
    7.24 % p.a.
    Variable
    Comparison rate
    7.27 % p.a.
    Initial monthly repayment
    $4,907
    Go to site
    • No ongoing monthly loan maintenance fees
    • Weekly, fortnightly, or monthly repayment options
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* WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years.

** Initial monthly repayment figures are estimates only, based on the advertised rate. You can change the loan amount and term in the input boxes at the top of this table. Rates, fees and charges and therefore the total cost of the loan may vary depending on your loan amount, loan term, and credit history. Actual repayments will depend on your individual circumstances and interest rate changes.

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