By Preet Bulchandani
For generations of Australians, the promise of home ownership has been inculcated into the national identity. Every Australian is running behind a quarter-acre block, a modest house, and some form of security. But for many young adults in Brisbane today, that dream is quietly dissolving under the pressure of soaring property prices, stagnant wages, and a tightening rental market.
As the city grows, so does the gulf between aspiration and affordability. In Brisbane, the median house price has surged to around $970,000, making it one of the most expensive cities in Australia to buy a home. For young people trying to step onto the property ladder, the climb has become increasingly longer.
A 25-year-old today would need to start saving in high school to afford a deposit by 2025. But even with rigorous budgeting, fluctuating interest rates and cost-of-living pressures are eroding confidence.
“It’s not that I haven’t saved,” said Emily Cross, a 27-year-old graphic designer living in Chermside.
“It’s that the finish line keeps moving. And now I’m not sure there is one.”
With ownership out of reach, many have turned to the rental market, but the pressure there is just as severe. Brisbane’s vacancy rate sits below 1.2%, and rents have increased by more than 30% since 2020. A one-bedroom apartment in the inner city can now cost upwards of $620 per week. Students and early-career workers are bearing the brunt of the crisis, often forced into overcrowded shared houses or pushed to the outer suburbs where public transport options are patchy and unreliable.
The Queensland Government has introduced several measures in response, including a “social housing reset” that takes effect in July 2025. The policy will include annual income reviews for all public housing tenants, with higher-income tenants required to pay market rent and be given six to eight weeks to secure alternative housing. The initiative also encourages tenants in under-utilised homes to downsize, potentially freeing up over 8,000 larger homes for those on the 50,000-strong waiting list. Critics say the policy is out of touch with the urgency of the moment. It hinges on the assumption that public housing is being misused by tenants who no longer need it, without fully acknowledging the lack of affordable private rentals to transition into. Many of these “higher income” tenants are only marginally above the threshold and still financially vulnerable. Forcing them into a volatile rental market with weeks’ notice risks creating more housing instability, not less.
The policy may sound efficient on paper, but in practice, it shifts the problem sideways from the government’s books to the public’s stress. It punishes individuals for economic progress without ensuring there’s anywhere realistic for them to go. And all this amid a rental vacancy rate hovering below 1.2 % statewide. If urgency is what’s needed, this policy feels like a deferral disguised as reform.
To ease the financial strain on first-time buyers, the Queensland Government has boosted the First Homeowner Grant to $30,000 but only for new homes valued under $750,000, and only if contracts are signed between November 20, 2023, and June 30, 2025. After that, the grant drops back to $15,000. On top of that, from May 1, 2025, eligible first-home buyers will receive a full stamp duty concession, a potential saving of around $9,096 on a typical house-and-land package.
At face value, these measures look generous. In practice, they barely scratch the surface.
Because here’s the catch: very few new homes in Brisbane or anywhere near it fall under the $750,000 threshold anymore. The median house price in the city is hovering just below $1 million. So, while the grant’s headline figure might make for a good press release, many eligible buyers will find it’s for homes that either don’t exist or are far from job centres, universities, or public transport.
Then there’s the push to allow grant recipients to rent out spare rooms; a well-meaning move to increase supply. However, it inadvertently suggests that new buyers can’t afford their mortgage repayments without assistance. It’s a band-aid on a mortgage wound and not a long-term affordability fix. Even the people who’ve “made it” into the market still can’t afford to live alone. It’s a patch for a deeper problem: home ownership is no longer sustainable without subsidy or sharing.
At best, these policies help a small segment of lucky, financially stable buyers. At worst, they leave the rest wondering why the solution to unaffordable housing is a race for limited scraps, and why the dream of owning a home seems to require an application, a side hustle, and a miracle.
“I used the grant last year to buy a townhouse in Ipswich,” says Daniel Francis, a 29-year-old first-time buyer.
“It helped. But even with the grant, I had to borrow from family, delay other plans, and I rented out the spare room just to keep up with rising repayments.”
Daniel considers himself lucky. Many don’t get the chance to play the game, let alone win it.
And what about those who fall between the cracks? Those who can’t find a rental but also can’t qualify for first-home buyer support? What happens if you’re an immigrant, a student on a visa, or a young worker without permanent residency, someone who’s building a life here but isn’t eligible for grants, concessions, or social housing?
When the market doesn’t want you to rent, and the system doesn’t let you buy — where are you supposed to go?
For too many young adults in Brisbane, the real housing crisis isn’t about whether to rent or buy. It’s about what to do when you’re locked out of both.
