According to the Flatmates.com.au National Share House Accommodation Survey 2025, which surveyed over 4,500 respondents, 55 per cent identified cost of living as the key driver for their decision to live in a share house.
The financial strain is evident on both sides of the shared housing market.
For those listing a spare room for rent, 58 per cent did so because of rate rises and financial stress, while 45 per cent of those seeking a room reported they could not afford a whole property alone.
The demographic profile of the typical flatmate is also evolving, with older Australians increasingly turning to shared living arrangements.
The survey found that 15 per cent of respondents were aged 55-64, a significant increase from 9 per cent in 2024.
This shift challenges the traditional perception that share houses are primarily for students or younger people.
In fact, 79 per cent of respondents were not currently studying, up from 71 per cent in the previous year.
Leith Donaldson, Head of Product at Flatmates.com.au, noted the changing landscape of shared accommodation.
“It’s evident that Australians are feeling the pinch, with almost six in 10 respondents identifying cost of living as their key reason for moving into shared living,” Mr Donaldson said.
“Shared accommodation is increasingly viewed as a practical solution to the cost-of-living crisis, and as a result, the demographics are shifting. Older Australians are a growing cohort in share houses, with 15 per cent of respondents over 55.”
Despite financial necessity being the primary driver, many respondents reported positive experiences with shared living.
On average, respondents rated their relationship with their flatmates 4.2 out of 5, and almost half said their share house feels like home.
The survey also revealed that shared living has helped 71 per cent of those seeking a room to save more money, providing a financial benefit during challenging economic times.
Companionship was identified as another motivator for entering shared living arrangements, with 11 per cent of respondents citing friendships and company as a key factor in their decision.
The outlook for property ownership remains pessimistic for many, with 7 in 10 respondents believing the Australian dream of owning a property is unattainable for young people.
Mr Donaldson said the impact of economic pressures on housing choices is likely to continue.
“Looking forward, seven in 10 respondents say the cost of living has impacted their property plans for the next few years, so we can expect to see more Australians from all demographics turning to shared accommodation,” he said.
“Though the Australian dream of owning property may feel distant for some, it’s amazing to know that nearly half of respondents believe their share house truly feels like home in the meantime.”
