New research shows housing wealth alone is no longer enough for older Australians

One in four older Australians is living in poverty due largely to rising cost of living pressures

Homesafe Wealth Release says new research released today by COTA Australia confirms what many older homeowners already know: owning a home does not guarantee financial security in retirement.

The State of the Older Nation 2025 report reveals that one in four Australians aged over 50 is living in poverty, directly challenging the persistent myth that older Australians are uniformly wealthy.

While many older Australians report improved quality of life since the pandemic, almost half (48%) believe conditions are worsening for people their age, driven largely by rising cost-of-living pressures, healthcare costs and housing affordability.

Homesafe Wealth Release CEO Dianne Shepherd said the findings highlight a growing disconnect between housing wealth and everyday financial resilience.

“This report confirms what we see every day — many older Australians own their home, but they are struggling to manage rising living costs,” Shepherd said. “We need to stop equating home ownership with financial comfort. For many retirees, their wealth is locked in their home while cashflow pressures continue to rise.”

The report also shows that downsizing remains appealing for many older homeowners, yet high upfront costs such as stamp duty, transaction expenses and limited suitable housing are preventing people from acting.

“Older Australians overwhelmingly want to stay in their homes and communities,” Shepherd said. “But Financial barriers to downsizing mean selling the family home is often not a realistic or desirable solution.”

Homesafe Wealth Release enables homeowners aged over 60 to access a portion of their home’s future value without taking on debt, selling their home or making regular repayments, allowing them to manage living costs, healthcare expenses and lifestyle needs while remaining in their home.

“As this research shows, the challenge facing older Australians is not a lack of assets - it’s a lack of accessible income,” Shepherd said. “Policy, products and public conversations need to reflect that reality.”

The State of the Older Nation 2025 report reinforces the need for retirement solutions that support ageing in place, dignity and financial stability, without forcing older Australians into unnecessary or disruptive housing decisions.