‘A siren’: Experts demand action on Australia’s older rental crisis – realestate.com.au

Rental stress among Australians aged over 75 has risen 116 per cent since 2013. Experts warn that without urgent reforms, 55,000 older people could face potential homelessness.

A new publication from the Property Council of Australia shows that rental stress for those over 75 is increasing at almost twice the rate of population growth.

Data from the Australian Institute of Health and Welfare (AIHW) shows that rental stress among those over 75 has increased by 116 percent since 2013, surpassing this cohort’s population growth of 59 percent over the same period.

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The data prompts the Retirement Living Council (RLC) to renew its call for urgent reform of the Commonwealth Rent Assistance (CRA).

“This isn’t a red flag – it’s a siren, and even with CRA, 55,000 older Australians remain in rental stress, while without it that figure would triple to 180,000,” RLC executive director Daniel Gannon said.

“This data reveals a deepening crisis in Australia’s suburbs, where rental stress and housing shortages collide with an escalating care challenge for older Australians.”

The AIHW also reveals that CRA uptake among those aged 65 and over has increased by 70 per cent over the same period, confirming that older Australians are now the fastest growing group relying on the program to prevent homelessness.

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The RLC urges the federal government to review the CRA settings to address this.

“This is not a matter of ‘fitting around the edges,’” Mr. Gannon said.

“Rental assistance is broken, outdated and miles behind reality, and every delay pushes more older Australians towards homelessness.”

Mr Gannon said it is clear that rent pressure is increasing exponentially every year and the way CRA is currently structured does not provide targeted assistance where it is needed most.

“Without meaningful reform, older Australians will continue to fall through the cracks as rental prices outpace assistance, care needs escalate and housing shortages worsen.” he said.

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The AIHW also shows that the use of CRA among people over 65 has increased by 70 percent

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“This is no longer a fringe issue – it is a national housing and care challenge that requires immediate federal action to prevent more older Australians from becoming homeless.

“Most at risk are older women, who are the fastest growing group of people experiencing homelessness in Australia.”

This comes at the same time as increasing pressure for credible alternatives to downsizing to respect retirees’ preferences, with National Seniors Australia identifying stamp duty, agency fees and relocation costs as key deterrents, with transaction costs often taking away much of the financial gain from the sale of downsizing businesses.

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