Housing crisis: Frontline workers priced out of Cairns

The frontline workers who helped Cairns recover from the wettest cyclone in Australia’s history are being priced out of the housing market, new data reveals.

The frontline workers who helped Cairns recover from the wettest cyclone in Australia’s history are being priced out of the housing market, new data reveals.

Data from the Queensland Government Statisticians Office, REIQ and CoreLogic shows essential workers are among those hardest hit by the worsening housing crisis due to a growing divide between the cost of housing and what the average Queensland household can afford.

Property Council of Australia Queensland executive director Jess Caire said the situation was especially concerning for single income households.

“For a full-time nurse and ambulance officer on a combined income of $149,358, Cairns’ median house price is deemed unaffordable, requiring 30 per cent of their household income,” Ms Caire said.

“New house and land packages are also beyond their reach, requiring well over 50 per cent of their household income.

“If you’re a police officer in single income household with a salary of $85,000, home ownership is beyond reach and even unit ownership is unaffordable, exacerbated by the lack of new supply coming into the market.

“These are the same people we rely on to save lives and fight crime, and it will be the Far North’s loss when they are forced to choose a new career or state to live because they can’t afford to live here.”

Frontline workers including paramedics are being priced out of the Cairns housing market. Picture: Brendan Radke

The Beyond Reach Report applied average household incomes for childcare workers, teachers, nurses, police and public servants and measured them against the median price for new and established homes and apartments.

The first report published in 2007 predicted Queensland would face a housing crisis of dire proportions without pragmatic policy solutions.

Fast forward 17 years, and Ms Claire said the warnings have proven accurate.

“Queensland’s prevailing policy settings are exacerbating the housing crisis,” she said.

“Every new tax on property, regardless of the intended recipient, inflates the cost of housing and is ultimately paid for by Queenslanders.

“Housing is more expensive than it needs to be, red tape is making it more difficult to deliver, and the slow pace of infrastructure delivery has made it harder to unlock new sites.

“We will be calling on the newly-formed government, post the October election, to commit to a thorough evidence-based review of the impact taxation has on the delivery of new homes in Queensland.

“It’s time for political bravery and real industry consultation. We need decisive action to change the policies and tax settings that punish growth and punish home buyers.”

The situation is no better for renters with the vacancy rates at 0.7 per cent, according to SQM Research.

The weekly asking rent for an average three-bedroom home is sitting at $559 and $450 for a two-bedroom unit.

Originally published as Housing crisis: Frontline workers priced out of Cairns