The Australian dream of owning a home may finally be dwindling with new analysis showing Aussies are keener on a dream lifestyle.

Insignia Financial’s, Financial Freedom Report, shows home ownership has slipped down the list of financial priorities.

More than half (55%) of respondents now rate their top priority as financial independence.

This includes having enough passive income to cover daily expenses and the freedom to achieve their ideal life.

About half of those surveyed were also keen to prioritise taking a regular holiday.

Insignia financial chief executive Renato Mota, says Covid-19 and increasing cost of living pressures have changed people’s outlook.

“It’s clear Australians have changed their priorities in life from the traditional dream of owning a home to living their dream lifestyle, which, is under pressure from the current economic climate,” he says.

Gen Z are most likely to put owning a home as a top financial priority while Gen Y put good work life balance as their top priority.