Housing in Australia has become impossible to ignore as Anglicare Australia’s rental affordability snapshot shows the majority of Australians on low-incomes are unable to afford a rental.
As the wealthiest state in one of the wealthiest countries on earth, it would be easy to assume that most Western-Australians are able to afford a home to live.
However, a third of all Australians live in a rental, and research shows these renters are struggling.
At the polls on Saturday, Ipsos found 52 percent of Australian voters think cost-of-living is ‘the top issue facing Australia today’.
Anglicare’s snapshot has found these concerns to be worryingly valid, as the rental market continues skyrocket.
In March, 3,523 private rentals were surveyed within Western Australia and the figures are grim.
For an Australian working full-time on minimum wage, of these 3.5 thousand properties a whopping 14 were found to be affordable.
For an Australian relying on the pension, two of the listings were affordable.
For those on income-support, none of them were.
The national figures are hardly any better.
Zero rental listings across the 51 thousand in the national snapshot were affordable for a person looking for work on the JobSeeker payment.
A family of four with both parents working full time on minimum wage would only find 12.8 percent of listings appropriate and affordable across Australia.
As the rental properties continue to drive out our most vulnerable community members, all Australians are feeling the consequences.
Families and retirees are unable to settle down, moving with rent prices; first responders are required to live further away from their places of work; your average Australian is poorer, as they spend a higher portion of their income to put a roof over their heads.
Median weekly rent is now 40 percent of the average Australians income, up from under 20 percent in 1981.
Talking to renters in our suburbs, the snapshot found many harrowing examples.
Caitlin, living with her 2 children in East Victoria Park was renting a three-bedroom home for $460 per week in 2024; Caitlin was offered a new lease at $650 a week. Despite the 41.3 percent hike in rent – the property manager refused to negotiate on price. Working seven days a week and cancelling her health insurance, she was still unable to keep up with the rent and now lives with her kids in her parents’ home. The house in East Victoria Park is now advertised for $709 a week.
The snapshot found our rental supply was not to blame for this crisis, as listings increased by 13 percent over the past year despite affordability still moving backwards.
The quantity of housing provided by the private market is growing. But – the private sector isn’t building houses which meet the needs of renting Aussies.
Social housing – rentals that are subsidized, create affordable housing which decreases private rental prices within the same communities; these houses have dropped from six percent of all housing stock in 1991 to four percent in 2022.
Despite the recent investment in social housing by the West Australian and Commonwealth governments, the decades of underinvestment and the constant decommission of houses have led to a significant fall in supply.
This is compounded by the lack of housing diversity. The vast majority of housing available is bungalows suitable for the needs of a family with children. All types of Australians be it retirees, individuals, or young couples are all competing for this unsuitable housing.
Anglicare now asks both Commonwealth and State governments to commit to a social housing target of 6% of total housing stock. Stating “Unless governments increase their pace of construction, achieving a sustainable level of available social housing will take decades”.
Citizens Advice Bureau WA has consistently referred those in need to Anglicare for Housing and Homelessness support. However, this problem can only be solved with the dedication of our governments.
Citizens Advice Bureau
