'Ticking time bomb': Older Australians face housing crisis
Australian retirees will face a housing crisis within 15 years unless urgent action is taken, according to the Council on the Ageing. It drew attention to the impact on older Australians of rising prices, rising rents, huge mortgage debt and the scarcity of suitable homes. The assumption that Australians retire in a home they own underpins the nation’s superannuation and pension systems, but this could be under serious threat in as little as 10 to 15 years. A key threat is that more Australians are entering retirement with mortgage debt, which they typically pay off in a lump sum from their superannuation. Others enter retirement while still renting, which radically increases the amount of disposable income they need to cover monthly expenses.