From Bega to Shoalhaven: South coast mayors’ impassioned pleas for rental relief

In the Bega Valley, vacancy rates have plummeted despite rising levels of homelessness while house prices continue to soar. The mayor has issued an impassioned plea to nonresident ratepayers in a bid to turn it around.

Bega Valley Shire Council mayor Russell Fitzpatrick has called on nonresident ratepayers to relinquish their AirBnBs and short-terms lets into the rental market in an impassioned letter, the third of its kind this year from a south coast mayor amid a worsening housing crisis.

In the letter, Mr Fitzpatrick urges out-of-town homeowners, including those with holiday homes, to considering instead releasing their properties into the longer-term rental market, as the region faces plummeting vacancy rates, from Bega to Eden.

“We offer one of the best places in Australia for people to visit during their holidays,” Mr Fitzpatrick said. “But, on the flip side, we have a lot of vacant properties throughout the year and a growing homelessness problem.

“Many people unable to find a place to call home have a steady job and income, but increasingly this is not enough to secure a rental property.

“Put simply, there are not enough houses to rent for the people who live and work here and who contribute to our society and economy.”

Bega Valley Shire Council Mayor Russell Fitzpatrick said the region was facing new levels of homelessness. Picture: Facebook

Mr Fitzpatrick said the Bega Valley was witnessing unprecedented homelessness, with families sleeping in cars, at temporary accommodation centres, or on friend’s couches, despite what he called an “abundance” of vacant properties throughout the state’s far south coast.

Since the outbreak of Covid in early-2020, the rental and housing markets across the south and far south coasts have changed dramatically, with the median house price in Bega rocketing up by more than 50 per cent, according to Real Estate Investor Australia.

Currently, the regional hub has a vacancy rate of just 0.29 per cent, with only seven properties available to rent for a population of more than 30,000. In nearby Eden, the situation is similar: six properties are available to rent, with a vacancy rate of just 0.35 per cent.

Vacancy rates recorded by realtors do not account for AirBnbs or holiday homes, many of which are empty for most of the year.

Further north, residents in the Eurobodalla Shire face a similar situation.

The crisis there has forced many people into temporary accommodation, including at “primitive campsites” and caravan parks. At North Head campground, near Moruya, as many as 50 families have been living in tents throughout the winter months while looking for accommodation.

In June, Eurobodalla Shire Council Mayor Mathew Hatcher (pictured) wrote to the region’s 85000 nonresident ratepayers. Picture: Nathan Schmidt

In June, the Eurobodalla Shire Council mayor Mathew Hatcher garnered national recognition when he wrote to the region’s more than 8000 nonresident ratepayers – many residing in Sydney and Canberra – to request they consider releasing their homes as rentals.

“We appreciate investors have a right to their holiday rental income, but until the state and federal governments invest in social and affordable housing these are the options available to councils trying to support their communities,” he said.

“Local councils have limited powers to assist residents impacted by a lack of affordable housing, but we are doing our best with a range of practical and advocacy measures to address short and long-term housing needs.”

Months later, Shoalhaven City Council followed suit after a vote introduced by mayor Amanda Findley passed, allowing the mayor to pen her own letter to the region’s nonresident ratepayers. Their demand was the same: “consider releasing your home into the rental market.”

Ms Findley said as many as 20,000 homes in the region were currently unoccupied.

“There are remarkable stories of homelessness happening across the Shoalhaven,” she said.

“We know that hospitality industry here is in desperate need of chefs and baristas. Our nursing staff will also need somewhere to live when the new, half-a-billion-dollar hospital is erected. I don’t want to be cynical about this, I want to try.”

Earlier this month, the Safe Shelter Shoalhaven homeless centre in Nowra closed its doors due to a lack of funding.

Its CEO, Peter Dover, said the use of homes as AirBnBs and short-term lets were forcing people onto the street.

Mr Fitzpatrick said the success of the campaign in the Eurobodalla was a motivator for the council to pen its own letter.

Mr Hatcher told The South Coast News in August at least 10 homes had been released so far, with many more ratepayers contacting the council.

The campaign also comes as the Bega Council pushes ahead with its Affordable Housing Strategy, which promotes affordable housing projects.

An early version of the program considered a cap on AirBnBs and short-term lets, but this was later removed.

“These (measures) take time and won’t help families needing help right now,” Mr Fitzpatrick said.

“Writing to property owners for short-term assistance reaffirms our position that a statewide housing crisis cannot be addressed in isolation — it needs collaboration from all tiers of government as well as the business and private sectors.

“This impacts just about everyone in the Bega Valley because business owners and community service operators are unable to fill vacancies, which affects everything from your morning coffee to the provision of vital health services.

“If you receive a letter from us asking for your help, please consider how placing your vacant property on the long-term rental market will assist families who need your help right now.”