Policymakers are concerned that demographic changes will threaten the viability of Australian housing subsidy arrangements.

  • Project dates: 2015
  • Partners: AHURI National Housing Research Program
  • Grant: $168,755

Population ageing is a key demographic trend that features strongly in Australia’s future demographic projections and has important implications for the future of Australia’s welfare system, including the role of housing policy in that system. In particular, there are fears that the budgetary cost of housing subsidy arrangements will blow out as the Australian population ages.

But there are also wider concerns in this context. Increasing numbers of home owners are approaching retirement with mortgages, and a sizeable number of older mortgagors are dropping out of home ownership, particularly those affected by separation and divorce. So there is now a growing interest in whether the type of housing subsidy required by seniors will change, and the risks this might present for retirement incomes policy.

Our forecasts will shed light on these issues by modelling the consequences of demographic trends under different home ownership projections. This project will address these concerns by forecasting future housing assistance needs that will accompany projected demographic changes and the challenges these trends may pose for the fiscal sustainability of housing policy.

Key People

Lead researchers

Professor Gavin Wood

Professor Gavin Wood

Emeritus Professor

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Dr Melek Cigdem

Dr Melek Cigdem

Research Fellow

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Dr Rachel Ong

Dr Rachel Ong

Adjunct Professor

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Research Programs

Housing and Urban Economics

Developing a better understanding of how policy and economic activities can be enacted to improve micro- and macro-economic prosperity.

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