‘Homeless’ Millennials spend up on experiences
YOUNG people are buying experiences rather than material things as rising house prices and social media influences encourage them to live "less responsible" lifestyles.
Unlike previous generations who spent their early years saving for a house deposit, Generation Y is splashing cash on holidays, eating out, socialising and new technology, experts say.
The phenomenon has led to "delayed adulthood" in people, who take full-time work and family later in life as study and travel takes a greater priority.
PricewaterhouseCoopers chief economist Jeremy Thorpe said housing affordability was primarily driving the shift, but so were social pressures.
"If they aren't saving for a house, they are spending it on other things such as their mobile phone, restaurants and holidays," he said.
"Few people are also committing to buying larger items such as furniture or cars. There's less demand for things that tie you down."
Melbourne University economist Professor Roger Wilkins said the cost of homeownership had led young people to live "less responsible" lifestyles.
"Adulthood is being delayed. People are going to university in much greater numbers, settling in to full-time work later and having kids later," he said.
The latest Newspoll, conducted for the Herald Sun, revealed almost half of young Victorians questioned did not think they would be able to buy a home before they turned 30.
More than one in four respondents believed they would need financial support if they were to own a home before 30, either through their parents (16 per cent) or by winning lotto (12 per cent).
Mr Thorpe said: "It's become harder for young people to save now because of the expectation they live an outward life."