I am not sure if you may have watched Alan Kohler on the ABC trot out some bullet points on the rental crisis. If you missed it; long term rentals available for occupancy across the nation stand at 53,092 dwellings. Migration is this year tipped to be over 400,000 or greater than 1000 people per day meaning the rental market will be picked clean in one month. There are 300,000 short term rentals and rent has increased 22% in the last year across the nation.
Yes, I understand that we need more people to do the work to check the wage spiral and we need to get them from overseas. However, 400,000 people will all require accommodation, and doesn’t this contribute to the rising rental spiral fuelling inflation? Couple this with housing starts for new dwellings down 46% to one of the lowest levels in post war Australia and I cannot see this rental crisis and the accompanying inflation abating.
Further, it will add to the already sky-high property prices forcing the Reserve Bank of Australia to once again resume interest rate increases.
Conflicting policies where the left hand doesn’t know what the right hand is doing – what do you think?