³Ô¹ÏÍøÕ¾ housing campaign Everybody’s ³Ô¹ÏÍøÕ¾ says a growing number of renters are reaching breaking point, with new analysis revealing some Melburnians are paying as much as $165 extra per week in rent compared to a year ago.
Everybody’s ³Ô¹ÏÍøÕ¾ has analysed the SQM Research Weekly Rents Index for combined units and houses in Melbourne.
Over the past year, asking rents have increased between about 11 per cent and 36 per cent. Meanwhile, vacancy rates across Melbourne are sitting well below 2 per cent.
The figures show tenants in Inner East Melbourne are set to fork out more than $8,500 extra per year in rent at the current asking price, while Mornington Peninsula renters will be $4,200 worse off.
Region | Asking rent Feb 23 | 12 month change in weekly rent | Vacancy rate Jan 23 |
Inner East Melbourne | $622 | $165 or 36.2% | 1.3% |
Melbourne City | $622 | $157.51 or 33.9% | 1.5% |
Bayside | $629 | $134.59 or 27.2% | 1.3% |
Eastern Melbourne | $559 | $108 or 23.9% | 0.9% |
Melbourne North | $498 | $76 or 18.1% | 1.1% |
Mornington Peninsula | $539 | $82 or 17.9% | 0.9% |
South West Melbourne | $496 | $66 or 15.4% | 1.5% |
South East Melbourne | $492 | $65 or 15.2% | 0.9% |
Western Melbourne | $448 | $55 or 13.9% | 1.6% |
North West Melbourne | $453 | $45 or 11.1% | 1.3% |
*week ending 28 February 2023
Everybody’s ³Ô¹ÏÍøÕ¾ spokesperson Maiy Azize said the consequences of government inaction will only worsen.
“More renters in Melbourne are being priced out of having their basic need for a home. Many are being forced to skip meals, avoid going to the doctor, and get into debt spirals just to pay the rent.
“There’s only so much people can afford to pay in rent. Right now, there’s no end to the housing crisis in sight. Politicians can’t keep leaving it to chance, hoping we’ve reached a tipping point. The sad reality is rents will keep climbing without government action.
“With interest rates set to rise again this week, renters could be faced with another increase and unlike landlords, they don’t get tax handouts to help them stay afloat.
“We also need the Federal Government to make a major investment in social housing. Australia needs to build at least 25,000 new social homes each year to end our shortfall.”
