News Media Releases Cost of Living

Ballooning rents leave Victorians out of pocket

Victorian wages are failing to keep pace with skyrocketing rents, costing tenants thousands of dollars each year, a VCOSS study has revealed.

The VCOSS analysis shows average rents have grown by a whopping 110% since 2001, while wages have only increased by 75%. The basic Newstart allowance grew a measly 50% over the same period.

“Renters are often the forgotten victims of a housing market in crisis,” VCOSS CEO Emma King said.

“Increasingly, landlords are charging astronomical rents that people have little choice but to pay.”

“This is happening just as people are being shut out from home ownership and are renting for longer—including into retirement.”

The VCOSS analysis is based on ABS data for Average Weekly Earnings (Vic.), the latest Victorian housing figures (Quarterly median rents) and historical Newstart payments.

The data reinforces the need for the Federal Government to abolish tax loopholes that unfairly favour property investors, increase Newstart and lead a genuine discussion about healthy wage growth in Australia.

Ms King said it also underlines the need for stronger renters’ rights in Victoria, including minimum property standards, increased privacy protections and banning ‘no reason’ evictions.

“Every Victorian needs a home that is safe, secure and affordable.”

VCOSS is a proud supporter of the Make Renting Fair campaign

Thumbnail image: Domain