How many Australians are redefining their thinking around home ownership

Key points

Apartments and units rose from about one in four owner-occupier purchases to almost one in three over five years
Regional purchases rose to 24 per cent, while inner metropolitan purchases remained at 26 per cent
Purchase values rose 46 per cent in regional areas over five years, compared with 39 per cent in outer metro and 22 per cent in inner metro areas
CommBank construction lending applications increased 25 per cent in the past year

Apartments take a bigger share

A new five-year analysis of CommBank purchasing patterns reveals Australians are adapting to a changing market and cost of living pressures, embracing higher density housing, regional areas and taking up government schemes.

Apartments and units increased from about one in four CommBank owner-occupier purchases in the 2020-21 financial year to almost one in three in the 2025-26 financial year.

“As affordability has become more challenging, people are thinking differently about what their first or next home might look like and the choices they make to get there,” said Marcos Meneguzzi, CommBank’s Executive General Manager of Home Buying.

Where Australians are buying has changed little

The data revealed little movement in where owner-occupiers are buying, highlighting future housing needs to be available where people want to live.

Inner metropolitan accounted for 26 per cent of purchases in both 2020-21 and 2025-26, while outer metropolitan dropped 1 per cent to 46 per cent and regional areas rose 1 per cent to 24 per cent, with rural stable at 4 per cent. First home buyers were more likely to buy in the regions.

Buyer momentum varies across the country

Buyer momentum varied sharply across the country, with the total number of home purchases rising 22 per cent in the ACT, 9 per cent in Tasmania and 8 per cent in NSW in 2025-26, compared to the year before.

Queensland rose 5 per cent and SA 3 per cent, while Victoria was largely flat at -0.8 per cent.

The overall number of purchases fell in WA and the NT by 8 per cent and 7 per cent respectively.

The data shows the pressure house hunters have been facing, with purchase values growing by 22 per cent in inner metro areas, 39 per cent in outer metro and 46 per cent in regional areas in the past five years.

Demand for new homes is growing

While CommBank’s construction lending applications increased 25 per cent in the last year, Meneguzzi said it still needed to be easier for people to build new homes and ensure Australians can access a wider mix of housing at different price points.

“We need to make it as straightforward as possible to turn that demand into new homes, because ultimately Australia needs a stronger pipeline of housing coming through,” he said.

This article is part of The Home Front series supported by Commonwealth Bank and was first published by The Daily Telegraph.