Qld renters face crisis as state least affordable in the country

Regional Queensland has overtaken all other states for rental unaffordability, forcing even full-time workers to spend a third of their income on housing.

Q Shelter CEO Fiona Caniglia

Queensland’s regional rental market has become the least affordable in the country, shocking new analysis has revealed.

The latest Rental Affordability Index released on Monday by National Shelter and SGS Economics and Planning shows regional Queensland has become the most unaffordable regional market in Australia, with tenants now paying an average of $648 per week or $33,716 annually.

While Brisbane has shown the first signs of stabilising after years of sharp declines, affordability in the capital also remains low – approximately $33,301 a year or $604 per week.

Greater Brisbane’s RAI score has fallen 14 points since 2015 – from 117 to 103 – classifying the city as moderately unaffordable, with renters spending about 29 per cent of their income on median rents.

The rest of the state has deteriorated faster, plunging 27 points to an RAI of 94, meaning the average household spends 32 per cent of their income on rent.

If a low-income household spends more than 30 per cent of its gross income on housing, it’s considered to be in housing stress.

Q Shelter CEO Fiona Caniglia said with vacancy rates remaining at a stagnant 1 per cent in Queensland, both low and middle income earners would suffer.

“Key workers and families who have never struggled before are now at risk of homelessness,” she said.

A single person relying on JobSeeker now faces critically unaffordable rents in both Brisbane and the regions.

Earning an average yearly income of just $25,821, they would need to use 107 per cent of their income to afford a median rental or 97 per cent if renting in areas outside Greater Brisbane.

Single pensioners earning just over $41,000 per year fare only marginally better and remain in extremely unaffordable territory, often spending up to three-quarters of their income on housing.

A minimum wage couple on a combined salary of $95,254 can no longer afford to rent in Greater Brisbane or regional Queensland, while full-time hospitality workers on $71,685 are being forced to spend at least 41 per cent of their income for a median one-bedroom apartment in Brisbane.

Housing All Australians founder and executive director Robert Pradolin said the rental crisis was negatively impacting Queensland’s economy.

“From cafes and hotels to hospitals and childcare centres, businesses across Queensland are struggling to find staff because there’s nowhere affordable for them to live nearby,” he said.

While rents have stabilised in Brisbane, most areas across the city are still defined as “moderately unaffordable” or “unaffordable” with tenants increasingly looking towards Ipswich or Logan for affordable options.

Originally published as Qld renters face crisis as state least affordable in the country