CoreLogic says Australia’s booming property market has widened the gender wealth gap

The country’s booming real estate market may have further exacerbated the gender wealth gap.

According to CoreLogic 2022 Women & Property report for Australia and New ZealandSoaring house prices have widened the wealth inequality gap between men and women as men own more homes than women.

Data shows that of all residential properties in Australia, men make up 29.9% of owners, while women own only 26.6%, a disparity of 3.3%.

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The gender disparity in home ownership aggravates the gender wealth gap. (Getty)

And as CoreLogic estimates, from January 2021 to January 2022, residential property values ​​rose an unprecedented 22.4%, from $7 trillion to $9.7 trillion, inflating that inequality. in a spectacular way.

“Because there is a high level of equity held in real estate, if you don’t own property, it’s a great source of household wealth and security that you don’t have access to. “, Milena Malev, CoreLogic International Financial Services and Insurance Solutions at GM. , noted.

The report also found that, statistically, men are more likely to own homes than women (28.5% vs. 24%).

Australia real estate property Victoria Toorak real estate prices
According to the data, women dominate the ownership of residential units in Australia. (Domain)

Comparatively, women dominate the purchase of units in Australia, with data showing that 35.2% of units are owned by women, while men own 34.7%.

According to Eliza Owen, head of research at CoreLogic Australia and creator of the report, this imbalance in ownership of housing type also contributed to the wealth gap.

“Detached homes generally accumulate more value over time than units, with CoreLogic’s Hedonic Home Value Index in January 2022 showing that the 10-year annualized growth rates of Australian home values ​​were 6.2 % per annum, compared to 4.1% per annum for the units”, Ms. Owen mentioned.

“This means that home owners gain much more value over time than unit owners. $ for median unit gain.”

CoreLogic asserts that women have the highest levels of home ownership in prime areas. (Domaine/Sotheby’s)

It is investment properties, however, where we see the greatest delta in the wealth gap.

CoreLogic reports that men own 36.4% of all investment property, compared to women, who own only 29.1%, which equates to a difference of 7.3%.

Female ownership was highest in Australia’s most expensive areas, however, with women owning 31.9% of residences in Greater Sydney.

This includes Sydney City and South Central (36.2%), North Sydney and Hornsby (37.0%) and Eastern Suburbs (37.1%).

“There are higher rates of female ownership in what can be considered ‘blue chip’ markets, while low rates of female ownership tend to be concentrated in low-value, commodity-based markets. resources,” Ms Owen said.