Australians just got a little richer — at least on paper. New data shows household wealth has hit record highs, powered by booming property prices and a rebound in the share market. But while homeowners celebrate the gains, others are being left behind.
Property Power Drives Wealth Surge
According to the Australian Bureau of Statistics (ABS), household wealth jumped 2.7% in the September quarter — the strongest growth since 2021. The total value of household assets reached unprecedented levels, pushing national net wealth to roughly $650,000 per person.
The driving force behind this surge was clear: property. Rising house prices accounted for more than half of the overall increase, with Sydney, Perth, and Brisbane leading the charge. Limited housing supply, strong migration, and steady demand have continued to push prices higher, even as interest rates remain elevated.
For homeowners, the gains are a welcome boost after a turbulent few years of inflation and mortgage stress. The rising value of homes has helped offset higher living costs, allowing many to feel a renewed sense of financial security — though mostly in theory.
Superannuation and Shares Add to the Growth
It’s not just the housing market driving the uptick. The superannuation sector also saw a healthy rebound thanks to stronger global equity markets. This lifted super balances across the country, adding another layer of growth to household wealth.
The share market’s recovery in the September quarter helped investors regain ground lost during last year’s downturn. Combined with resilient property values, the dual rise in assets has delivered Australians their best quarterly wealth performance in four years.
Renters Missing Out
But while the numbers look impressive, not everyone is celebrating. Economists warn the gap between homeowners and renters continues to widen. Roughly one-third of Australian households rent, and for them, wealth accumulation has been sluggish — if not stagnant.
Rising rents and living costs have made it harder for renters to save for a deposit, locking many out of the property market entirely. Analysts suggest this growing divide could become a longer-term issue for Australia’s economic stability.
A Double-Edged Wealth Boom
While the latest figures highlight a strong recovery in household balance sheets, experts caution that these gains are largely “on paper,”reports NEWS. The cost of living remains high, and higher interest rates are still biting into disposable incomes.
Some analysts predict the current housing momentum may cool in 2026, especially if interest rates remain steady or rise further. Others believe property demand will hold firm as population growth and limited new housing stock keep pressure on prices.
For now, though, Australians are experiencing their strongest wealth quarter in years — a reminder that, in a country where property reigns supreme, the divide between owning and renting has never felt sharper.
