Owning a home in Sydney has become increasingly unattainable, with the city's home ownership rate falling to 59.9% in 2025, the lowest level in approximately 70 years. This marks a sharp decline from 61.1% recorded in the 2021 national census, according to new research by accounting firm KPMG.

KPMG urban economist Terry Rawnsley stated, "Sydney has gone backwards on home ownership by more than half a century."

The KPMG analysis integrates data from the 2021 Census, ABS housing surveys, and rental bond statistics to estimate current owner-occupier rates. While the next Census of Population and Housing is scheduled for August 2026, results are not expected to be published for another year.

Affordability remains a critical issue. Mr Burg noted that Sydney's median dwelling value stands at $1.2 million, which is over ten times the median household income of $108,000 in Greater Sydney, as reported by the ABS.

Nationally, house prices fell by 0.3% in June 2026, per data from REA Group, though prices remain higher than a year ago. Meanwhile, the number of dwellings under construction reached a record 243,900 in the March quarter, up from 220,300 the previous year, according to ABS data.

Housing experts observe that during the pandemic, states like Western Australia and Queensland offered more affordable homes, low borrowing costs, and flexible work options, prompting some to relocate or enter the property market there instead of Sydney. "As a result, people may have sold their homes in those states or taken advantage of cheaper housing to enter the property market when they otherwise could not have afforded to do so in somewhere like Sydney," said Housing representatives.

Despite these challenges, optimism remains. "The dream of owning a home is far from dead," and Australians are adapting by relocating and working hard to enter the market. Increased housing supply combined with targeted support is helping create pathways to home ownership for more households.

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