It’s a debate sure to spark a generational war. Who had more difficulty: baby boomers or today’s younger generations?
While the Australian dream of one day owning a home was a tangible reality for those born in the post-war years, many millennials and Gen Z seem to have it all in terms of leisure and holidays – but have given up hope of moving further up the property ladder.
When the Reserve Bank raised interest rates for the tenth consecutive month, it prompted many older Australians to remember their own struggles, when rates hit 18 per cent in 1989.
“Life isn’t easy: it wasn’t easy for us then, and it isn’t easy for them now,” said Chris, a retired firefighter.
Daily Mail Australia quizzed Boomers in Cronulla, in Sydney’s Sutherland Shire, to see if they really think it’s easier on their day – and if they have any advice for their younger counterparts who are currently struggling to buy a home.
Chris, a retired firefighter who swims a few miles most days, owns a large two-story house in Cronulla where he lives with nine members of his family.
“When I started and got my house – I scratched (for money),” he said.
And then rates went up to 18 percent and it was even worse. Yes, they have big problems these days but, Jesus Christ, we had them in the old days too.
It was really hard. I worked two jobs for thirty years, started out on the beach as a lifeguard and used to work two days in a factory.
Chris, who first bought a home when he was 28, later worked as a firefighter working four-day shifts before another four days at the factory.
“Life is not easy: it was not easy for us then and it is not easy for them now,” he said.
Many millennials and Gen Zs seem to have it all in terms of entertainment and vacations — but have given up on hope of moving up the property ladder.
“Young people these days are a bit afraid of getting into debt, but if you’re smart enough you can buy the plan and rent and you can have a flat 20 years down the track,” one woman told Daily Mail Australia.
But they are young and they can do it. Work two jobs. Work three jobs if you have to. My wife worked as well as me. It was a struggle – it really was.
He added, “They get more difficult sometimes because there are more toys to play with. It’s just a fact of life. Nowadays you don’t have all the villainy. You don’t carry a phone with you or have a big, shiny bloody watch.”
Marilyn Vale, 73, bought an ‘off plan’ two-bedroom flat in Sutherland, south Sydney, in 1994 by herself where she still lives.
“Even then, people were suffering from their suffering,” she said. “Buying out of the plan was a way to get into the market.
“Young people these days are a bit afraid of going into debt, but if you’re smart enough you can buy the plan and rent and you can have an apartment after 20 years.”
Ms Valley, who is retired but used to work in advertising, said she rejected the “negative” notion that young people have the odds stacked against them.
“I don’t know what it is – whether kids are being brainwashed into thinking they can’t get into the real estate market,” she said. “Okay, work hard. I worked two jobs.
She added, “I think in today’s world young people want it all at once. That’s not life. You have to memorize. A lot of young people prioritize the holidays.”
Mrs. Vale worked as a receptionist at the local RSL on weekends for extra money in her late forties.
“It was uncommunicative hours but I got good money,” she said.
However, she acknowledged that things were “very difficult for young people”.
It’s more difficult now with the cost of living, especially with child care. This is a major factor for young parents.
Years ago things didn’t get better every year – you got water, electricity and gas. And also, in today’s world you have all the technology too.
We never had that – we had a landline and that was it. We’ve never had an internet plan, mobile plan, Netflix plan and whatever other plan you have that bills monthly.
Mrs. Vale’s two children, both in their fifties, bought real estate.
“There are some young people out there who have a very positive vibe,” she said.
I have a 34 year old grandson who is a lawyer and works hard. But he has the mentality of not wanting to get into debt.
Her advice to young people is: “Just get out of your comfort zone a little bit. Try and get a second, well-paying job.”
Childhood sweethearts Carol and Terry both agreed that the younger generation is having a hard time these days.
One man told Daily Mail Australia: “Children today go to school until they are 18, and then they want to go abroad.”
Self-described “boomers” Michael and Caroline Kalokrinos sympathize with the younger generation
“I think it’s hard – I don’t want to be young these days,” Terry said.
Terry, 76, bought his first property when he was 20 – a two-bed unit in St George’s, south Sydney, for $11,900.
His carpenter’s wages of $90 a week was enough to pay off the $7,000 loan on the house he rented while living in the house.
After buying and selling a few more places, he and Carol, 74, bought a place in Karingbah, south Sydney, for $90,000.
They demolished it and built their own home, where they lived for 40 years and raised two children.
Two years ago they sold it for $2.4 million and now they plan to live in a new building on the Cronulla waterfront.
Both of them agreed that now many young people have a different attitude.
“I find guys who want it all right now,” Carol said. They want the nice house, the big car, the big pool, and the big vacations.
“When we were growing up you used to say ‘save for curtains.’ You would sit on crates – no furniture until you had money to buy it.
“We were 25 with two kids – 25 and still enjoying life,” added Carol, who was a data processor.
Terry said he started working at the age of 15 and his mother encouraged him to save.
“But children today go to school until the age of 18, and then they want to go abroad,” he said.
By the time you’re 23, 24 you don’t have a zack in your pocket. It is very difficult to start unless you have a great job.
Chris, a retired Qantas pilot, bought his first property for $13,000 in Banania, southwest Sydney, in 1970.
Marilyn Fall, 73, said the high costs of childcare have made life more difficult for young parents these days.
But Terry conceded that “every generation will say the same thing.”
My parents’ generation worked six days a week. On Sunday you’ll probably mow the lawn with a push mower and have a baked dinner if you’re lucky and that’s the case.
Self-described “boomers” Michael and Caroline Kalokrinos sympathize with the younger generation.
“At that time it was much easier to buy a house than it is now,” said retired public servant Michael.
The houses were ten times smaller than they are now. You can buy a house in Brisbane for $50-60k and it was a good home too. They will now cost millions.
Michael, 67, and Caroline, 73, first bought it in their early 20s.
“The interest rates were high, around 11 to 12 percent, but the real estate was just a fraction of the price,” Michael said.
The couple, who live in a five-bedroom home in Redland Bay, Queensland, said they feel “lucky” to own their own home.
“What impresses me is that we’re still able to pay 17 percent on a $200 rent, but with these house prices now it’s impossible to pay,” Caroline said.
“We didn’t have anywhere to spend our money in those days – we just kept saving.”
Carolyn, who makes embroidered banners for companies in retirement, said her nephews and nieces are struggling to buy a place.
“We want young people to be able to own their own place and live a modest life without having landlords,” said Michael. “We shouldn’t ask for too much.”
Meanwhile, school librarian Maureen, 56, who works part-time, laments that her daughter isn’t listening to her real estate advice to buy an “actor loft.”
“Our first place was just a single bed with no parking,” she said.
Our goal was to get into the real estate market, but now young people want everything first – they don’t want renovation.
“Obviously house prices weren’t as ridiculous as they are now but that doesn’t mean we have the money.”
Our first home was $86,000 which was a lot of money for us at the time. My husband sold his car for the deposit. And the interest rates were insane – worse than they are now – and the bank wouldn’t give you any money.
Generational debate has escalated in recent years with property prices skyrocketing – benefiting the older generation
Ross, a retired Qantas pilot, paid $13,000 for a house and some land in Banania, southwest Sydney, in 1970 when he was in his early twenties.
He borrowed $9,000 and the payments were only $71 a month.
“I just feel so sorry for the younger generation,” he said.
“My grandson is about the same age as I was when I bought my first house, but he hasn’t had two pennies to rub together.”
He recently bought a used car for his grandson for $1,300.
“Chuckles when I buy a second car for one of my grandchildren because it was the same price I paid for my first house,” he said.
Ross, 72, sold his first home for $39,000 — three times what he bought it for. And he had a lot of sympathy for the younger generations.
Unless you get help from your mother’s and father’s bank, it is not possible now. The prices are crazy.
