New index shows Victoria’s housing crisis deepening
Victoria’s housing crisis has worsened across almost every key measure, with new data released today showing surging rents, a ballooning social housing waitlist and thousands of people forced into homelessness because of family violence and housing stress.
Council to Homeless Persons’ (CHP) 2025 Housing Insecurity Index reveals:
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Median rents increased 3.9% across Victoria in the past year – with regional rents up 6%
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More than 66,000 people are now on the social housing waitlist – up 7.4% in a year
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Over 13,000 Victorians every month are seeking homelessness services due to family violence
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More than 10,000 people each month turn to homelessness services because of housing stress
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Victoria’s proportion of social housing is just 3% – the lowest in the country
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State investment in housing and homelessness services is just $399.80 per person, below the national average, despite Victoria accounting for one-third of demand
The report has made three key recommendations: Set a Social Housing Target and deliver a Social Housing Building Blitz of at least 4000 new homes per year; increase investment in homelessness prevention, including Housing First models and income support; and boost funding for crisis accommodation and homelessness services.
The 4000 figure is recommended by Infrastructure Victoria. But the report makes clear that a larger build of 7990 social housing homes over ten years is needed to bring Victoria up to the national average, as recommended by SGS Economics.
CHP Chief Executive Officer Deborah Di Natale said the figures paint a devastating picture of rising demand and insufficient government action.
“Every day in Victoria, tens of thousands of people are forced into impossible choices between paying rent, escaping violence or facing homelessness. The Housing Insecurity Index shows the crisis is not easing. It’s intensifying,” Ms Di Natale said.
“People are sleeping in cars with their kids, couch surfing or living in public spaces. They are doing everything they can to hold their lives together while waiting endlessly for secure housing.
“This report makes it crystal clear that the government must do more. We need a Social Housing Building Blitz of at least 4000 new homes per year, stronger prevention measures to stop people becoming homeless in the first place, and urgent investment in crisis accommodation and services.”
The Index has also revealed the growing impact of family violence, with more than 43% of Victorians who turned to homelessness services in June doing so to escape violence; a figure that has remained above 13,000 every month since August 2023.
Ms Di Natale said urgent action would not only reduce homelessness, but also save the government money.
“Investing in social housing and homelessness services is common sense.
“Right now, Victoria spends more per person on police services and court hearings than on keeping people safely housed.
“Every dollar invested in social housing reduces costs to the justice and health systems, while sparing thousands of Victorians the often lifelong trauma of homelessness.”
Media contacts: Kathleen Ferguson - 0421 522 080 and Matt Coughlan 0400 561 480
