We’ve turned house prices into a national religion—auction sermons, mortgage martyrs, and a weekly liturgy to CoreLogic. Meanwhile, two of the richest, calmest countries on Earth just… rent. Germany and Switzerland make renting boring, predictable, adult. We can, too. And for Millennials, it’s not just the only scalable path left—it’s the better one.
Exhibit A: Who Actually Rents?
Australia: about 31% of households rent. We treat them like temporary guests in their own lives.
Germany: roughly half the population rents—renting is normal, not a holding pattern.
Switzerland: 61% of households rent or live in co-ops. That’s the mainstream.
So no, a renter-majority society isn’t doom. It’s Tuesday.
Exhibit B: Stability Isn’t a Feeling—It’s a Rulebook
Germany: Leases are effectively open-ended; landlords need legitimate cause to terminate. In hot markets, the Mietpreisbremse (rent-brake) caps new-let increases—extended to 2029. That’s institutions, not vibes.
Switzerland: Rents ride a reference mortgage rate (published nationally). When the reference rate drops, tenants can request reductions. Bonds are capped at three months and held properly. Math, not roulette.
Australia? Rules vary, tribunal quality is a postcode lottery, and 6–12-month churn is treated like weather. We built a system where renting feels precarious—and then act surprised it is. (Also: our retirement settings still assume you own; private-renting retirees are far likelier to be in poverty. Fix that or watch the problem age with you.)
Exhibit C: Stop Feeding the Price Monster
We keep treating a supply problem with demand candy. Case in point: the Home Guarantee Scheme—buy with 5% down (or 2% for single parents). Great for the lucky few; scale it and you just bid against yourself. Even mainstream analysts warn: loosen the caps too far, you push up prices—especially when construction lags.
Meanwhile, the one thing that actually changes the equation—more homes—is grinding forward. Build-to-rent is rising (tens of thousands of units in the pipeline), but still tiny versus the need. If you want rents to stop eating paychecks, build like you mean it.
The Upgrade Path (Steal Shamelessly from Europe)
- Security as standard. Shift to multi-year/indefinite leases with just-cause termination and quick, fair dispute resolution. Protect tenants without outlawing common sense. (Germany’s done the homework.)
- Rent on rails, not roulette. Use targeted rent-brakes in overheated pockets (Germany) and Swiss-style reference-rate mechanics for ongoing tenancies so rent changes are transparent and contestable—and investors know the rules.
- Build more of everything. Streamline approvals, normalise build-to-rent and co-ops, and add social/affordable stock. Good tenancy law without new supply is a treadmill—you run hard and stand still. (Ask Berlin.)
- Retirement that works for renters. Boost Rent Assistance and tweak means-tests so lifelong renters don’t get mugged by the system at 67. It’s cheaper than crisis management later.
Why Millennials Should Cheer This
- Mobility without punishment. Renting well means you can chase opportunity without paying stamp-duty pain every time life changes.
- Lower leverage risk. Less household balance-sheet roulette when the interest-rate tide turns.
- Wealth building outside the letterbox. If you’re not forced to tunnel all savings into a house, you can actually diversify.
- Dignity on a lease. With real security and predictable rules, you plan a life—kids, school, community—without owning the dirt beneath your feet.
The Brutal Truth
Australia doesn’t have a house-price problem; it has a rulebook problem. We worship the asset and neglect the plumbing. Germany and Switzerland didn’t “beat” prices—they tamed tenancy. They made renting adult, dull, survivable. We can copy that. We should copy that. And if we’re serious about Millennials having a future that isn’t indentured to an auction hammer, we must copy that.
Make renting boring again. Put rents on rails. Make leases last. Build like crazy. And stop pretending a 5% deposit miracle is a housing policy. That’s not reform; that’s a sugar hit.
The future isn’t “own at all costs.” The future—if we want one worth living in—is rent, don’t repent.
– The hollow Centre
