Gen Z unload on Labor and Liberal housing plans

Young Australians have unloaded about an issue that has become central during the election, with the housing issue labelled “obscene”.

Superannuation was created with the intention of being our money cushion in retirement, but Covid gained us unprecedented early access.

It’s not that super was never able to be accessed early before, but dealing with the financial hardship of lockdowns and lay-offs saw it become far easier. While that scheme ended in December last year, the Liberal Party has proposed a new one allowing people to access up to $50,000 of their super early in order to buy a first home.

While Treasurer Josh Frydenburg would have us believe his electorate has been flooded with calls from young people who are excited by this prospect — are they actually?

Do they prefer the proposed Labor plan of allowing government to take an equity stake of up to 40 per cent in their property. Or are they done with the whole thing?

Affordable housing is one of topics coming to the forefront this election, so we asked our Gen Z newsChat panellists — news.com.au’s project with the Judith Nielson Institute — to share their views.

'Using your super for a house deposit is a Band-Aid solution'. Picture: supplied

“I see the option of using your super for a house deposit as kind of a Band-Aid solution. It’s helped a few people I know to get their first home, and it’s a great way for people to own their first home. I don’t think it should be necessary though.”
– Angus

“I didn’t access my super during Covid. However, I know of people who did, including my sister, who was grateful to access it during lockdown. She wasn’t able to work, so using her superannuation was a lifesaver for her financially.

“It was an easy choice for her at the time, since she knew she could top up her super again once she went back to work after lockdown.

“To be entirely honest, I wouldn’t like to touch it myself as I just would rather a healthy nest egg to spend my retired days doing whatever I like.”

– Eelemarni

“Superannuation often isn’t enough to support retirement and our generation will doubtless be working well into our old age to be able to afford to live as it is.

“I don’t think it’s for me. I’d like to have my super there to retire on and I guess I’ll just be renting for the rest of my life unless the market changes dramatically.”

– Angus

'If the NSW government can afford to build a multimillion-dollar light rail, [they should have the financial capacity to address Sydney’s housing crisis'. Picture: supplied

“I’ve spoken to so many young people who have given up on the idea of ever owning a home so this might be good for them to start, but I agree with Angus, it’s a band aid approach and the long term complications in decades to come is quite misunderstood

“I’m a big believer that we really don’t have the financial literacy as a society or generation to know what it actually means to take out from your super, and the long term complications that it will have.”
– Jahin

“I think it’s your super, so you should be able to do as you wish with it, but I don't think we’re fully aware of the consequences. As Jahin said, our generations aren’t confident in financial literacy.”
– Rachael

“It’s a safety net that should be left, but I do agree somewhat to take it out for housing since cost of living and home prices are ridiculous.

“I definitely wouldn’t use it, myself. I would rather have the government address the cost of living, and housing prices with a clear strategy and plan to reduce it than opting for super.”
– Jahin

“Why should you have to dip into your super? The point of a super is to survive when you retire, because the pension is not at all enough.

“Also, in regards to a pay gap — women over 55 are the group of people with the fastest growing rate of homelessness. We’re paid 14.2 per cent less, or $261.50 less a week, than our male counterparts which means less super at retirement. Dipping into your super is incredibly risky as a woman.”
– Rachael

'“The issue here isn’t accessing super, it’s the cost of housing'. Picture: supplied.

“I live in the country and, even here, house prices are absurd and rent is stupidly high. The difference between average wage and housing costs is getting bigger and bigger and buying a house just isn’t an option for so many of us.”
– Angus

“I don’t agree with being able to access your super for housing — it avoids the actual reasons that people can’t afford houses.
“There needs to be more jobs and better job security. The cost of living is going up, so wages need to go up with it. Rent has risen as well.

“If I were to use my super to get a house, where would that leave me? Unable to pay off the mortgage, or pay for electricity or internet.”
– Nich

“I personally would like to see more affordable housing in Sydney especially for large families and single parents.

“If the NSW government can afford to build a multimillion-dollar light rail, and build brand new sports stadiums then the very same government should have the financial capacity to fund affordable housing to address Sydney’s housing crisis.”
– Eelemarni

'Labor’s equity housing policy seems insidious to me'. Picture: supplied.

“The issue here isn’t accessing super, it’s the cost of housing, and the ever increasing cost of living. It’s obscene.

“Never forgot these policies are made by people who got their education for free under Whitlam’s policies and some of them were able to buy their first home for only $67,000 on minimum wage.

“Now to get a Bachelor degree it’ll cost you around $30,000 per year, depending on your degree, and the average house price for Sydney sits at $1.4 million.”
– Rachael

“Labor’s equity housing policy seems insidious to me. As housing prices rise, so will the share the government owns in your own home.
“I think a more effective policy would be to disincentivise multiple home ownership, leaving more homes on the market for people to actually live in.”
– Angus

“If Labor can make buying a house easier without us having to dip into our own super, that sounds like a win for me.
“However, we need to be solving the issue of jobs, wages, and the cost of living first.”
– Nich

Aged between 18 and 24 and want to join the conversation?

Want to share your opinions on being a Gen Z person in the modern world? If you’re between 18 and 24, get in touch with me at [e-mail].

Originally published as Gen Z unload on Labor and Liberal housing plans