The Effect of Rent Increases on Housing Stress in Australia

Quoc Vu

    Research output: A Conference proceeding or a Chapter in BookConference contributionpeer-review

    1 Citation (Scopus)


    This paper estimates the impact of various rent increase scenarios on the housing stress situation in Australia and its regions from 2007-08 to 2011-12. It projects that if rent is increased by 10% per annum the rate of housing stress would increase from the current rate of just over 13 per cent to 25 per cent in 2011-12, or from over 292,000 to nearly 566,000 households. Queensland has the highest rates of housing stress, followed by New South Wale and Victoria. Tasmania, South Australia and Western Australia have the lowest rates. Overall, the rates are slightly greater in non-metropolitan than metropolitan areas. Differences in disposable income and rent levels are the main reason for the varying rates between regions. This paper reinforces the conclusions of previous studies of a range of policies to tackle the housing affordability problem, and emphasises the need for a low and stable interest rate regime and regulation of rent levels. It also calls for suitable policies at the State and local level to address the gap in housing stress rates
    Original languageEnglish
    Title of host publicationReshaping Australasian Housing Research: Refereed Papers and Presentations form the 2nd Australasian Housing Researchers' Conference
    EditorsA Jones, T Seeling, A Thompson
    Place of PublicationQueensland
    PublisherThe University of Queensland
    Number of pages15
    Publication statusPublished - 2008
    EventAHRC 07 - Brisbane, Australia
    Duration: 20 Jun 200722 Jun 2007


    ConferenceAHRC 07


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