The newest illustration of Australia’s out-of-control property market is a Sydney landlord who has listed his balcony as a room for rent for $300.
The landlord, who stipulated the tenant must be ‘one boy’ and must name their nationality, said the tiny room, which is barely big enough to contain a single bed, had attracted ‘a lot of interest.
“New, quiet, and clean flat,” reads the odd advertisement. World Square is nearby, and Town Hall Station, China Town, UTS, Paddy’s Market, Coles, and Woolworths are all within a five-minute walk.
All bills, quick NBN WiFi, rice, and other cleaning and cooking supplies are included.
The landlord then demands that the tenant pay a $800 deposit and provide a “$200 bond key” in addition to staying in the small room for at least four months.
Photos of the room reveal that the landlord created it on his own, dividing it from the rest of the flat with tarps and curtains.
The controversy is merely the most recent twist in Sydney’s exploding rental market.
In Australia, the median weekly rent has increased 6.7% to $495, but the situation is significantly worse in major cities.
Unit rents in Melbourne and Sydney increased by 9.3% while house rents increased by 8.3% due to increasing post-Covid demand for fewer homes.
According to the annual Rental Affordability Index, which was released in October, low-income tenants who are single parents, pensioners, or job searchers are most at risk and need more immediate assistance.
The national housing deficit is a growing concern for Anthony Albanese’s administration, and one significant charity has called for it to be designated a “national emergency.”
According to housing specialists, official records don’t reveal a comparable lack of rental housing since the 1930s Great Depression.
According to new research, the picture for the next year seems much worse, with double-digit rental price increases now expected for 2023 and investment landlords prepared to reap the rewards while tenants suffer with exorbitant expenses.
According to “every available indicator,” Australia is experiencing a national emergency, according to Emma Greenhalgh, CEO of the housing organization Shelter.
She told Daily Mail Australia, “It’s not just capital cities and huge metropolitan areas that are in danger.”
It also exists in rural and regional locations. The problem of housing costs and vacancy rates affects the entire nation.
Competition is a huge problem that puts many individuals at danger of becoming homeless.
She claimed that more and more individuals are being compelled to live in cramped apartments, often with many people per room, or even in tents or automobiles.
She continued by saying that the National Housing and Homelessness Plan, which vowed to construct more homes for low- and middle-income earners, was urgently required in order to bring housing supply and demand more closely together and stabilize prices.
This article on social and affordable housing is a wonderful start. She stated that we require large and ongoing investment.
There is a problem with the overall housing supply that affects the entire housing system. The Commonwealth of Massachusetts is attempting to resolve that.
The need for tenancy reform is essential for private tenants.
We need to limit rent increases to make them more reasonable and stop forcing evictions. Households cannot realistically maintain increases.
“Cities aren’t the only place this happens.” We have exceptionally low vacancy rates in rural locations.
According to the housing expert, the problem won’t get better “anytime soon” because the pandemic has caused people to relocate to rural areas, thus reducing the housing supply.
“That takes time to design and bring online; we don’t expect there to be a solution immediately,” the speaker said.
According to recent Domain research, rents have increased by an average of 10.3% in Australia since the beginning of 2022, and the country’s rental vacancy rate is at a record-low 0.9%.
Due to the excessive price of homes in big cities, a significant portion of the issue is that more individuals are being compelled to rent rather than buy.
The present cycle of interest rate increases has made everything more unaffordable, and even if they slow down or stop, the asking prices will continue to grow.
When interest rate increases are stopped in 2019, it is anticipated that Sydney home prices will increase by 8 to 13%, Melbourne home prices by up to 6%, and Perth home prices by up to 13%.
Leo Patterson Ross, the chief executive officer of the Tenants’ Union of New South Wales, earlier stated that although while the overall economic climate was very different 90 years ago, the comparison to the Great Depression was still relevant given the rising cost of rent.
According to the survey, rents are rising faster than salaries nationwide, and residents of both capital cities and rural areas are finding it difficult to obtain affordable housing.
Increased rents were also a result of low vacancy rates, interstate movement, and problems with the world’s supply chains.
0.9 percent is a record low for the nation’s rental vacancy rate, according to statistics from Domain research.
A Melbourne landlord was recently called a “nutcase” for renting out a tiny room for $300 per week with strict rules prohibiting potential tenants from using their phones or inviting company over.
The tenant would have access to a filthy spa bath tub in addition to the room, which also had an unfurnished and exposed wooden wall, but only on the weekends.
Photos of the space startled potential residents, who saw a cramped, filthy space just big enough for a single bed.
An image recently captured in Bondi, in eastern Sydney, showed candidates lining up outside a house to view it.
A Perth home that had so many problems that potential buyers had to flee and scream during inspections has apparently received many offers.
After receiving 13 offers from purchasers eager to climb on the housing ladder, the Perth property that its agent called the “worst he’s ever seen” has been sold.
The three-bedroom house sold at the higher end of its asking price, between $450,000 and $500,000. This is despite being so filthy that purchasers cannot discern the color of the tiles or carpet.
According to housing specialists, official records don’t reveal a comparable lack of rental housing since the 1930s Great Depression.
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