Rental affordability in NSW has hit an all-time low according to studies by one of the country’s most trusted housing research leaders. Photo: Michelle Kroll.
According to National Shelter SGS Economic and Planning’s (NSSEP) annual Rental Affordability Index, regional NSW living no longer provides the affordability respite it once did.
New statistics from the report show people living solely off JobSeeker or Student Allowance are facing ‘Extremely Unaffordable’ rent rates, with the average rent costing 69 per cent of their income. Single part-time workers are facing similar struggles with 56 per cent of their weekly income going to rent.
According to NSSEP’s index, the average rental household in regional NSW is now paying almost 30 per cent of the gross income of $89,977 if renting at the median rate. Renting in regional NSW straddles the line between ‘Moderately Unaffordable’ and ‘Unaffordable.’
Shelter NSW CEO John Engeler said the regional rental market was spiralling out of control, with people across the state struggling to afford to keep a roof over their heads.
“What was once affordable is now out of reach,” he said.
“The regions used to be seen as an affordable alternative for Sydneysiders to escape to when city rents became unaffordable. But this is not the case, especially for regional residents on local wages. This is not sustainable and will only get worse as these regional populations grow.
“We are urging the NSW Government to provide more social housing, that is public and community housing for low-income people, and restore the social housing safety net to 5 per cent of all housing stock by 2027, working towards a goal of 10 per cent of all housing by 2040.
Renters deserve stable and secure long-term housing. While we commend the NSW Government for its reform to make renting fairer, we now need it to commit to delivering substantial numbers of genuinely affordable rental housing for low- to average-income households.
“We also need urgent action to wind back the short-term rental market. The stock of private rental properties has been gutted in many regional cities and towns leaving local people with no option but to leave.”
Principal at NSSEP Ellen Witte said there were very few affordable long-term rentals on offer, pushing households to the brink of homelessness.
“We need to rapidly expand social and affordable housing and strengthen renters’ rights. Rental affordability in the regions is a serious issue that needs urgent intervention.”
NSSEP’s annual Rental Affordability Index results:
Original Article published by Jarryd Rowley on Region Riverina.
