SECURE and affordable housing is a fundamental human right for all Australians.
Therefore, it is unsurprising the Federal Election campaign is being played out against a backdrop of heightened voter anxiety about rental stress and housing affordability.
A growing number of people are unable to access housing that meets their needs.
And it’s not just low-income earners affected by housing pressures. It is also the millions of people who make up middle Australia; the very group that will help determine the election outcome.
The solution to Australia’s housing problem is complex. We need to start thinking differently about what reform might look like.
For most Australians, housing is their biggest and most unavoidable bill.
The average national weekly rent for a unit is $566 a week. It is even higher in capital cities. To afford this comfortably, renters need an annual income of $130,000.
But for someone on the median income of $72,592 (or $58,575 after tax) half their pay packet is being swallowed by their weekly rent.
This significantly exceeds the 30 per cent benchmark that is a useful measure of housing affordability stress.
The raw numbers are just as eye-watering for home ownership. The cascading price pressures mean first home buyers are finding it harder to save for a deposit.
There is an urgent need for housing reform to overcome the affordability and accessibility challenges. There is no shortage of options available to policymakers.
Michelle Cull, Associate Professor, Western Sydney University.
theconversation.com.au
