Australia’s child population is shrinking, while over-65s outnumber children for the first time

The makeup of the Australian household is undergoing a historic transformation. New research using ABS population data reveals the number of children under 15 in Australia fell 4,764 in the year to December 2025, the first fall outside the pandemic in almost 40 years. Australians aged 65 and over now outnumber children for the first time since records began in 1981, changing who Australian homes are set up for.

As Australia’s leading destination for furniture, homewares and renovations, Temple & Webster is deeply invested in understanding how these national demographic shifts affect the spaces we live in every day. The Australian home has traditionally been designed around the growing family, but as our population ages and the needs of our households evolve, the way we furnish, renovate and live in our spaces must adapt alongside it. 
 

The fall is in children under 10

Children under 10 account for the whole fall, down 14,087 in the year to March 2026, while 10 to 14 year olds reached a record high. The number of children falls when fewer babies are born, and fewer children arrive from overseas, than the number turning 15 and ageing out of the count.

“Much of Australia’s housing was built for a younger population than the one living in it now,” said Lucy Sutherland, Director of Insights & Trends at Temple & Webster. “More homes will end up the wrong size. In our Rightsizing Study (2024), people with two spare rooms were the most satisfied with their home, while those with three or more tended to feel it was too big with over 40% of that group citing excess space as their primary trigger to move.”
 

The shift has reached the family suburbs

Nationally, over-65s grew almost three times as fast as under-65s over the past decade, up 36% against 12%. Over-65s now outnumber children in 57% of suburbs, up from 30% in 2015.

Of the suburbs that tipped over in the past decade, 373 were family suburbs 20 years ago, including Canning Vale West in Perth and Rowville North in Melbourne. Their children have grown up and left. For every 100 children aged 5 to 14 living there 20 years ago, there are now 84 adults aged 25 to 34. Nationally, there are 151.

“For older Australians, rightsizing is not just about moving to a smaller property; it’s about finding a home that meets their needs for this stage of life,” said Sutherland. “Practicality heavily outweighs luxury. Our data shows 82% of downsizers want low-maintenance living, and older Australians’ top priorities include lock-up garages (66%) and storage space (59%), alongside close proximity to essential community amenities like shopping centres, medical facilities, and public transport. Without suitable, accessible options in their existing neighbourhoods, many simply stay put in homes that are far larger than they need.”


Ultimately, understanding these demographic tides is key to designing the future of Australian living. As empty nests replace busy playrooms, the conversation around housing isn't just about moving to smaller footprints; it's about “rightsizing” life, prioritising practical, low-maintenance living, functional storage, and homes tailored to each life stage. At Temple & Webster, keeping our finger on the pulse of how Australians live allows us to help every household make the most of every square metre. Whether that means repurposing an underutilised spare room, renovating for accessibility, or curating furniture for a low-maintenance lifestyle, our mission is to ensure Australian homes remain as functional, welcoming and beautiful as the lives being built inside them.