New analysis exposes annual rent burden in capital cities

New analysis reveals that renters living in Australia’s capital cities are spending on average nearly $15,000 more a year to rent a house since the pandemic.

To kick off the first day of Anti-Poverty Week (13-19 October), Everybody’s Home has analysed SQM Research weekly asking rents data, showing the shocking annual rise in rents that have been smashing Australians across the country since January 2020.

The analysis shows renters in capital cities are on average paying $14,700 more a year to rent a house, and $9,600 more a year to rent a unit compared to the beginning of 2020.

Sydney and Perth have seen the steepest rent rises, with the annual increase well above the capital city average for both units and houses. Adelaide and Brisbane unit rents are also above the capital city average.

 *SQM Research Weekly Rents Index for week ending 4 October 2024, showing how much more renters are paying each week and year since January 2020.

Everybody’s Home spokesperson Maiy Azize said: “The biggest cost-of-living expense for most people living in Australia is keeping a roof over their head.

“The steep rise in rents is pushing more people into severe housing stress and homelessness. People are sacrificing the necessities to afford the rent, living in appalling unhealthy conditions because there’s nowhere else for them to go, and ditching important life decisions because of housing insecurity. Australians are being priced out of the cities where they work which can affect the liveability of our cities and the quality of essential services.

“This Anti-Poverty Week, we’re calling on all Australians to back our call for more social housing to fix Australia’s housing crisis. We have a massive social housing shortfall of 640,000 homes, and that is set to rise to nearly one million in two decades. We need to end the shortfall and turn social housing into an option for more Australians - not just a safety net for those at the margins.

“We’re also asking all candidates vying for votes in the upcoming election to sign on to our Roadmap to Reform which includes phasing out tax breaks for property investors. Poll after poll shows that most voters want action on these investor tax handouts because they’re unfair and pushing up the cost of housing for everyone. Our supporters are excited by reports that Labor is open to change.

“Poverty is a policy choice. Unaffordable housing is a policy choice. It doesn’t have to be this way. The federal government has the power to make Australia a fair and affordable place to live. It’s past time that the government takes action that reflects the severity of this deep, prolonged crisis.”

Media contact: Sofie Wainwright 0403 920 301