Supply of Rental Homes Increases in Greater Sydney and the Illawarra. Still less than 1% affordable for people on low incomes.
New research launched today by Anglicare Sydney reveals that while there were more listings of rental properties compared to last year, there were still less than 1% affordable for people on low incomes in Greater Sydney and the Illawarra.
Anglicare Sydney’s Rental Affordability Snapshot analysed more than 18,000 rental properties that were available in Greater Sydney and the Illawarra region on the weekend of 24-25 March 2018.
Of the 18,446 properties advertised, only 57 were affordable and appropriate for households on income support payments without placing them into rental stress; 41 affordable and appropriate properties were in Greater Sydney and 16 were located in the Illawarra.
“Rental stress occurs when more than 30% of a low-income household’s income is spent on rent,” explains Susan King, Anglicare’s Head of Research and Advocacy.
“Once again, our Rental Affordability Snapshot highlights the shortage of affordable private rental accommodation in Greater Sydney and the Illawarra region. Households that rely only on income support payments are still finding it difficult to compete for a very small pool of affordable private rental properties.”
No rental properties in Sydney and the Illawarra were affordable and appropriate for single people on Newstart or Youth Allowance.
There were few suitable properties available for other household types, including:
- singles on the Aged Pension (6 properties)
- couples with two children on Newstart (11 properties)
- single parents with two children on the Parenting Payment (1 property)
“The lack of housing affordability in both the rental and home ownership markets is adversely impacting renters, buyers and mortgagees. While there is no one simple solution to this problem – Australia needs to see changes across the housing spectrum, including an increase in the supply of social housing to ease pressure in the rental market.
“Federal and State Governments need to review the effect of their respective taxes, duties and concessions on housing rental and ownership affordability. The taxation system needs to be modified accordingly to improve affordability.
“We also urge our State Government to review the residential tenancy law and modify it to ensure greater security for private renters and tighter regulation on rental increases, including the prohibition of ‘no cause’ evictions.”
Interview: Susan King, Head of Research and Advocacy, Anglicare.
Anglicare Sydney’s Rental Affordability Snapshot is part of a national project carried out by Anglicare Australia to assess national rental affordability for low income households.
Visit www.anglicare.asn.au for the national snapshot.