Friday 16 September 2022 07:20 AM Australians struggling to pay for bills, food with almost half enduring a rent ... trends now
Australia's out-of-control rental crisis is seeing everyday Australians struggling to pay bills, put food on the table and even sending people homeless.
New research by analysts Compare the Market has found 49 per cent of renters in Australia had their rent increased in the past 12 months, leading many to fear how high the next rent rise will be.
The average house rent in Australia's state and territory capitals jumped by 16.3 per cent to $657 a week in the past year, according to SQM Research.
Aussies have posted images online showing the alarming rises in their weekly rent, including one who revealed their payments had gone up more than 25 per cent per week from $460 to $610.
A Cairns woman named Amy shared a teary video to TikTok saying she was now homeless as a result of being rejected from a number of properties - laying bare the victims of Australia's broken rental market.
'People need to know what it's like in Australia right now. I'm three weeks out from being homeless, not because we can't afford to pay rent but because there's simply nothing available,' she said through tears.
Aussies have posted images online showing the alarming rises in their weekly rent, including one who revealed their payments had gone up more than 25 per cent per week from $460 to $610
Some suburbs in major cities, including Sydney's inner-west, have seen increases of 35 per cent per week.
A family living in a flat in Zetland has seen their rent hiked from $850 a week two years ago to $1,100 this year.
They had complained about mould issues in the apartment that were never taken care of, before having to move out because of the 'outrageous' increases, according to the Daily Telegraph.
Another woman and her partner secured a two-bedroom place nearby for $640 just last year but were informed by their agent it would be increasing to $850 this year.
Amy from Cairns pointed the finger for the situation she and many others find themselves in at the greed of real estate agents and landlords.
'I want to know do real estate agents and landlords, do you guys have any heart? Do you have any soul whatsoever?' she asked tearfully.
'Because right now you are kicking people out of their homes. You are kicking people out of their home towns and making them homeless because all you want is more money. That's all it is.'
Amy from Cairns pointed the finger for the situation she and many others find themselves in at the greed of real estate agents and landlords
The national vacancy rate for rental properties is just 1.1 per cent of all properties. In regional areas, the vacancy rate is below 1 per cent. Pictured is a house for lease in Melbourne
She said the dire situation was forcing her to move from Cairns 2,000km away to the Queensland capital.
'I have to move 2,000km away to couch surf with family in Brisbane because of your heartlessness,' Amy added.
According to Compare the Market, about 41 per cent of all renters said it affected their ability to save, including for a deposit to buy a property of their own.
Rental increases deemed 'excessive' are different in each location, but generally, rental bodies deem increases to be excessive if they are too different from similar market rents, if there's a sizeable difference compared to the current rent, or if the property has outstanding repairs needed.
The national vacancy rate for rental properties is just 1.1 per cent of all properties. In regional areas, the vacancy rate is below 1 per cent.
Compare the Market's Chris Ford said it is a very tough market for struggling renters.
'Right now, there simply aren't enough rentals available,' he said.
'Too much demand and not enough supply are among several factors that are pushing prices up, which means low-income renters are the ones who'll struggle the most.
'An inability to save puts home ownership further out-of-reach for people who wish to break free of the rental system.'
Almost half of renters in Australia had their rent increased in the past 12 months (stock photo)
Mr Ford said rising costs were a major stress for bill payers struggling to make ends meet.
'One-in-five Australians feel stressed about money every day, and as many as 65 per cent of renters admitted they would struggle to afford their next rental increase,' he said.
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