Housing costs drive widening wealth gap for renters and homeowners

New data highlights a growing financial divide between homeowners and renters, particularly among adults in their 30s. In the United States, Federal Reserve data shows that while the median net worth of homeowner-led households rose 31 percent between 2022 and 2025, non-homeowners experienced a 32 percent decline during the same period.

Experts attribute this divergence to rising property values and equity building, alongside the depletion of pandemic-era savings that previously provided a cushion for renters. Additionally, many successful young homebuyers entered the market with existing financial advantages, such as living with parents to accumulate savings or sharing housing costs to reduce expenses.

In Victoria, Australia, a report from Tenants Victoria reveals significant compliance issues within the rental sector. Despite the existence of 15 minimum standards—ranging from functional plumbing to mould-free walls—only about one in every 1,000 rental properties is inspected. The group is calling for a mandatory rental property registration scheme to help regulators better target inspections and protect tenants who often fear retaliation for reporting substandard living conditions.