The median length of time a person keeps their house in the United States is currently 11.9 years. This duration has been increasing over time, largely influenced by current housing market conditions, such as high home prices and elevated mortgage rates, which discourage frequent moves.
Average Length of Homeownership in the U.S.
47% of homeowners reside in their homes for 6-10 years, while 35% live in their homes for 10-15 years. The homeownership rate in the United States as of the second quarter of 2024 is 65.6%.
Old homes are fine as long as the siding, roof, and foundation have been maintained. As long as the house has proper drainage and stays dry, it will last for several hundred years without needing total renovations.
Forty-four per cent of Australians own their own home with a mortgage, 27 per cent own their own home outright and 26 per cent rent privately, either from a real estate agent or from someone not in the same household. Comparatively few (less than 5%) Australians are social renters.
Key takeaways. Typically, the longer you hold on to your home, the better you will fare financially when it comes time to sell. Five years is generally considered a good rule of thumb in the industry, but it's not mandatory.
What is the 5/20/30/40 rule? The 5/20/30/40 rule keeps your home affordable by setting four clear limits:5x annual income: Home price shouldn't exceed 5x your yearly income. 20-year loan: Keep loan tenure under 20 years to save on interest. 30% EMI: Don't spend more than 30% of income on EMIs.
The rule requires the buyer's solicitor to inform the lender when a seller is attempting to sell the property when the seller was registered at the land registry less than six months prior to the agreed sale. The lender will not usually lend in that case.
The average age to pay off a mortgage in Australia has risen significantly, with estimates placing it between 60 and 65, often extending into retirement, up from around 52 in the 1980s, due to higher house prices and later first-home purchases, with many Australians now facing debt into their 60s and even 70s, making debt-free retirement a challenge.
Around 80,000 Australians had over $2 million in superannuation as of 2019-2020 data, with estimates suggesting this number might be higher now due to asset growth, potentially affecting around 80,000 people with balances over $3 million by 2025. While most with high balances are older, some young individuals (under 30) also hold over $2 million in super.
The 28/36 rule in Australia is a financial guideline for borrowing, suggesting housing costs shouldn't exceed 28% of your gross monthly income, and total debts (housing, car loans, credit cards) shouldn't surpass 36% of your gross monthly income; it helps prevent mortgage stress by ensuring you can afford repayments, though Australian lenders often use slightly different (sometimes higher) benchmarks like 30% for housing costs, plus an APRA serviceability buffer.
The biggest things that devalue a house are location issues (bad crime, poor schools, noise), major structural/maintenance problems (roof, foundation), outdated kitchens/bathrooms, extreme personalization (bold colors, quirky decor), poor presentation/clutter, and legal issues (unpermitted work, zoning problems). These factors signal future costs and headaches, making buyers hesitant or drastically lowering their offers.
If you're 65, you're not too old to buy a house — provided you have the finances to make a down payment, cover your monthly mortgage payments, and keep up with expenses like maintenance and property taxes. In fact, the Equal Credit Opportunity Act forbids mortgage lenders from discriminating based on age.
Your historic house or building may show two common signs of settling: cracks in the plaster walls and sagging floors. In most cases, these effects of settling over time do not create any serious structural problems. The key is to evaluate the severity of the cracks and sagging.
“Nearly 40% of baby boomers have lived in their home for at least 20 years, and another 16% have lived in their home for 10-19 years,” the report reads. “For Gen Xers, more than one-third (35%) have lived in the same home for at least 10 years.”
47% of Americans have lived in their homes for six to 10 years. 35% of homeowners have lived in their homes for 10 to 15 years. 16% have lived in their homes for less than five years. The average length of homeownership years is eight years.
The proportion of 25 to 34-year-olds still living with their parents has increased by more than a third in nearly two decades, according to the Institute for Fiscal Studies (IFS). The living at home trend has been driven by men, and those in their late 20s, researchers found.
For a $70,000 annual retirement income in Australia, you generally need a super balance between roughly $1.1 million and $1.75 million for a single person, depending on when you retire, while couples might aim for around $690,000 to $820,000, often factoring in the Age Pension and home ownership. A common guideline is to aim for a balance that provides 70-85% of your pre-retirement income, but the exact figure depends heavily on your lifestyle, investment returns, and access to government support like the Age Pension.
You can retire on $1 million dollars at any age. This amount can provide you with an income of around $40,000 per year, increasing with inflation, indefinitely – without the need to draw down in the capital amount – meaning you will still have $1 million (in today's dollars) in capital at the end.
A wealthy retiree in Australia generally has over $1 million in investable assets (excluding the family home), but for a truly high-net-worth individual, this can extend to $5 million or much more, allowing for a very comfortable lifestyle with significant income, travel, and assets, well beyond the ASFA "comfortable" benchmark (around $595k single/$690k couple for basic needs) and often without relying on the Age Pension, notes.
Yes, $600,000 can be enough to retire at 60 in Australia for many, especially if you're a single person aiming for a comfortable lifestyle, but it depends heavily on your spending, assets, and eligibility for the Age Pension. While some sources suggest $600k covers a single's comfortable retirement (around $52k-$53k/year), it's near the lower end, and couples might need closer to $700k for a similar standard, making financial planning crucial for a stress-free retirement.
The benefits of paying off your mortgage
The biggest reason to pay off your mortgage early is that often it will leave you better off in the long run. Standard financial advice is that if you have debts (such as mortgages), the best thing to do with your savings is pay off those debts.
For households headed by those aged 65 to 74, average debt has more than quadrupled over the last three decades, climbing from about $10,000 in 1992 to around $45,000 in 2022.
The hardest months to sell a house are typically December and January due to holidays, travel, and financial caution, with some sources also pointing to mid-winter (June/July in the Southern Hemisphere, Dec/Jan in Northern Hemisphere) because of cold weather, fewer buyers, and dull property presentation. These times see less buyer activity as people focus on celebrations and finances, leading to fewer serious offers and longer listing times.
HELOCs are often the cheapest option thanks to flexible borrowing and low upfront costs. Home equity loans offer fixed rates and lump sums, good for planned expenses. Cash-out refinances can be costly due to high fees and restarting your mortgage.
Holding the property for more than 12 months can help you qualify for a CGT discount. Selling while still an Australian resident generally puts you in a better tax position. Certain life events might make you eligible for the main residence exemption, but only in narrow circumstances.