Is Australian property investment ripe for innovation?
As equities take a greater role in global wealth creation, Australia's reliance on residential property raises a question about whether investors need more accessible ways to diversify their exposure to housing.
Residential property can build substantial wealth, but buying a single home leaves investors heavily exposed to the performance of one property and one market. (Image source: Zakharchuk/Shutterstock.com)
Something is changing in the way households build wealth.
McKinsey Global Institute’s latest Global Balance Sheet report finds that equities are becoming increasingly important in global wealth creation, while property has lost some of its dominance.
Australia, however, stood out in its 2025 data. Household real estate wealth increased by more than 10 percentage points of GDP, and Australian real estate was worth around 4.5 times GDP, well abov…
