David Koch has called for an end to the blame game where all the housing affordability woes of younger people are blamed on baby boomers.
The former Sunrise host said the attacks on his generation had become so normalised they should be called the ‘scapegoats’, rather than boomers.
He said this not because their ‘balding heads mean we now resemble a barnyard creature, but because our lambs seem to think we’ve put them on the chopping block.
‘Not enough houses? Boomers are hoarding them. Not enough home units? Boomers throw down cash before first-time buyers can say boo!’
Koch said contrary to popular opinion, most older Australians agree that the property market is broken and that it pains them to see their kids and grandchildren struggle.
He said those who can afford to do so, do all they can to help their children get on the housing ladder.
What’s known as ‘the Bank of Mum and Dad’ is now, in aggregate, the sixth biggest home lender in Australia,’ he wrote.
The former Sunrise host said the attacks on his generation had become so normalised they should be called the ‘scapegoats’, rather than boomers. Stock image
And, according to Australian Housing Monitor research, they contribute money to 40 per cent of first home buyers – a huge increase from 15 per cent in the 1980s.
Koch said it’s not the boomers’ fault that the real estate market that has changed drastically in recent decades.
‘When we bought our homes, prices were more accessible, and while interest rates were sky-high, our wages were aligned with housing costs,’ he said.
Compare the Market research, shared with Daily Mail Australia, has found the cost of buying a home in Australia’s capital cities is now 14 times annual income, up from five times the annual income from 1990.
‘Housing markets have inflated, wages have stagnated, and opportunities for younger generations are considerably diminished,’ Koch said.
He said what has happened with housing is not about denying younger generations opportunities, but that the system has long favoured real estate as a safe investment.
While Koch said he doesn’t own an investment property himself, he knows that ‘the people who do are usually just regular mums and dads trying to grow wealth to support their families’.
Koch said contrary to popular opinion, most older Australians agree that the property market is broken. A house for sale is pictured
He pointed out that ‘without investors, there would be nowhere to rent, and that’s not a good situation either’.
Koch said that very few boomers fit ‘the wealthy, elite stereotype we often see in the news’.
While some may be well off, many are middle-class people who have worked hard to achieve what they’ve made in life, including homeownership, he said.
‘It’s essential to recognise this diversity and avoid vilifying the entire generation.’
Koch also addressed the pressure being put on boomers to sell up and move to a smaller property, freeing up their houses for younger families.
But he pointed out that homes are not just assets, they also contain a lifetime of memories and moving out involves significant emotional and lifestyle adjustments.
He also said that with the average retirement age now 64, many boomers are still working, with active careers and responsibilities that require living in larger spaces.
‘It’s also worth noting that many older Australians hold onto their family homes because their adult children live there longer,’ he said.
He said that government policy is largely to blame for the dire housing situation.
‘Governments have simply not planned for either the generational housing change or the big increase in migration to ensure enough properties have been built to meet demand.’
He ended with a plea to ‘stop the blame game … rather than pointing fingers, let’s focus on how we can work together to make housing more affordable in Australia’.
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