Despite outdated stereotypes, millennial women are very good at managing finances and making investment decisions. Studies have shown that women, when empowered, are very good with finances. They are often more cautious investors, focusing on long-term security rather than short-term gains. Commonwealth Bank reported that Millennials accounted for 46 percent of its new property investors in 2024. According to CoreLogic, most of these purchasers were women.
And it's not surprising when you consider their motivation: almost half of them would have witnessed their parents divorce (44% of marriages end in divorce) and 44% of their mums would have been financially dependent on their partners, they are witnessing their mothers suffer extreme financial stress in what should be their 'golden years'.
While buying an investment property is a terrific start towards securing financial freedom, one property or home is not a financial plan. It is potentially a roof over your head, and certainly, some security but it does not produce an income, nor a lifestyle. For that, you need to create an investment property portfolio.
Millennial women are more than capable of managing their own finances. So how do we help you build true financial independence through property?
1. Don't overthink it.
Many millennial women feel they need hundreds of thousands in savings or equity to invest in property or their next property. The reality is that you can get into an investment property with as little as $50,000 in equity or savings in many areas of Australia. There are options for smaller deposit loans, untitled assets to give yourself time to save, or even affordable areas that require less cash commitment. There are so many ways to get into the market without having to be on a 6 digit income or savings. You just need some lateral thinking.
2. Get comfortable with discomfort.
Women take longer to invest than men. They seek a lot of external validation and advice and want complete security and comfort. You will never be 100% comfortable. You must get used to feeling a bit stressed and nervous. This is completely healthy and normal. Just because you're scared doesn't mean you can't do something. I still get nervous every time I am approaching a settlement or new purchase. But I fear more what would happen if I didn't take this risk.
3. Have faith in yourself.
You are smart and capable, and you can do this by yourself. If you invest with a partner, you significantly reduce your capacity to borrow for the future. In fact, it can more than halve your serviceability. The banks consider a joint loan as your full financial responsibility. And, in most cases, they will only credit you on half the income it generates. If you want to purchase another asset in the future, this becomes a huge liability.
4. Don't be bullied.
Despite women representing such a huge percentage of new residential purchases, the property industry from an investor perspective is still male dominated. While women account for about 47% of Australia's real estate industry, according to the Australian Bureau of Statistics, they remain significantly underrepresented in leadership roles. A huge portion of this number are in property management. In sales and advice, women are underrepresented. I have been in this industry for 10 years, and before that, I worked as a financial executive, and yet I still face many professionals who do not value my experience or technical capacity. It is important to work with people that respect you and your capacity. Avoid anyone who does not.
Recent data paints a stark picture of financial dependency and its consequences. You have the opportunity to secure your own financial independence and avoid future hardships. Use this time wisely to build your portfolio of properties; not for property's sake, but your own. We have a saying with our clients - you are not buying properties to tell all your friends you own property (or are you?). You want something much more important: financial independence. If you don't achieve capital growth from your property purchases, then you are unlikely to achieve financial independence from them.
So, empower yourself with knowledge. Surround yourself with good people, seek financial advice, and work on your property portfolio. One investment property will count you among the ~72% of investors who hold an investment property, two properties will put you in with ~18% of investors; start making smart decisions to count yourself in with the ~5% of Australians who own 3 or more investment properties in Australia, en route to achieving financial independence and freedom.
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