A REGIONAL study has found an alarming lack of affordable rental properties for people on low incomes in country South Australia.
The Rental Affordability Snapshot, based on private rentals advertised for rent in March, found no properties available for single adults on Youth Allowance or JobSeeker in the Limestone Coast, Riverland or Murraylands.
In a worrying finding, the study found young adults on Youth Allowance were even locked out of the share house rental market following a housing boom in regional areas over recent months.
Meanwhile, only 2pc of 123 rental properties on the market were affordable to single people on the age and disability support pensions.
ac.care chief executive officer Shane Maddocks said it was concerning to see renters on low incomes continued to be left behind and forgotten in the private rental market.
He said the looming end of eviction moratoriums on May 31, together with removal of the right in South Australia to defer rental payments, would place vulnerable people at risk of homelessness.
“On top of it all, cuts to JobSeeker, Youth Allowance and other payments came into effect at the beginning of April as the coronavirus supplements were wound back,” Mr Maddocks said.
“Renters on low incomes are facing the perfect storm as incomes reduce and protections disappear, while the private rental market continues to fail them.”
He said the shortage of affordable rentals would condemn people to make difficult decisions to keep a roof over their head.
“Some will be turning to ac.care or other services in our region to make the rent.”
Meanwhile, families out of work are facing a difficult situation. The study found an out-of-work couple with two children can afford twenty percent of rentals. Single parents out of work face even tougher odds, with affordability at just ten percent.
“This helps explain why the rate of JobSeeker is such a critical factor in child poverty – one in six children now lives in poverty, with those growing up in households that depend on JobSeeker at much greater risk,” Mr Maddocks said.
“This year’s Rental Affordability Snapshot, conducted nationally by Anglicare Australia and partner agencies, again shows how brutal the rental market is for young and vulnerable people.”
The study found a person on Youth Allowance looking for a sharehouse could not afford any rentals across ac.care’s regions.
“Youth Allowance is the lowest of all government payments, and year after year, we find young people are at the bottom of the affordability ladder.”
The report also found people with disabilities faced unique challenges in the rental market, with Disability Support Pension recipients able to afford just two percent of rentals at the time of the snapshot and even then, some of these properties may not meet their needs.
“All of this is a wake-up call that it is time for action to make housing more affordable,” Mr Maddocks said.
He urged the Federal Government to raise payments for people on the nation’s lowest incomes to lift them out of poverty and housing stress.
“Raising the rate of JobSeeker and related payments above the poverty line will give badly needed relief to the people on the lowest incomes.”
“This year’s Rental Affordability Snapshot, conducted nationally by Anglicare Australia and partner agencies, again shows how brutal the rental market is for young and vulnerable people.”
– ac.care chief executive officer Shane Maddocks
ac.care has also called for greater investment in affordable housing, increases to Commonwealth Rent Assistance to keep pace with the skyrocketing cost of renting and a plan to end homelessness.
“People who are homeless need safe, secure homes to help them get back on their feet,” Mr Maddocks said.
“Being stuck indefinitely in temporary emergency accommodation is not the answer.
“We need a plan to end homelessness that tackles the causes of homelessness, including the lack of affordable housing, poverty, and family violence, together with funding and support to rehouse people who are homeless, helping them keep a roof over their head.
“Nobody should be forced to make impossible sacrifices just to keep a roof over their head. It’s time to take real action, and make sure that everyone can have place to call home.”
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