How women can secure their financial future through property

Australian women have made leaps and bounds in the journey to gender equality over recent decades, particularly when it comes to gaining financial freedom.

But there’s still a long way to go.

Take the gender pay gap, which was?14.1% in August?–?an increase of 0.3 percentage points over the previous six months. That’s despite the fact women were granted the right to equal pay way back in 1969.

And because women make less than their male counterparts, men retire with an average of?24% more in their super than females.

Then there’s property ownership.

While more than 50 years might have passed since Australian women?required a male guarantor?to get a mortgage, they still are underrepresented in the property market.

In fact, according to?CoreLogic’s 2022 Women & Property Report, sole females had the lowest rate of home ownership in the country in January 2022:

• Female ownership = 26.6%
• Male ownership = 29.9%
• Joint male & female ownership = 43.5%

The gender imbalance was even starker when it comes to property investment, with women owning 29.1% of investment properties across Australia, compared to men owning 36.4%.

To put that into perspective, that means about an extra 105,500 investment properties are owned by men.

Why does property ownership matter?

History tells us that Australian property prices rise over the long term, despite the occasional fall. As a result, Australians who own property – both as owner-occupiers and as property investors –?typically see their wealth grow over time without doing anything. However, those that don’t own property miss out on this incredible wealth source.

For example, the recent property boom drove household wealth $170 billion higher over the March quarter alone, according to the?most recent data?from the Australian Bureau of Statistics.

That’s why CoreLogic suggests property ownership plays a significant factor in financial health and wellbeing in retirement. And with women having a smaller overall share of property ownership than men, this means they’re missing out on a valuable source of financial security.

Looking to take charge of your future? Read more in our blog here. https://www.highincomeproperty.com.au/building-equity-and-wealth-in-the-property-market-can-be-a-great-way-for-women-to-secure-their-financial-freedom/