Queenslanders call cars and caravans home as rental crisis worsens, vacancy rates drop

Young families are being forced to live in caravans, tents or cars, as leasing agents are forced to cap rental inspections as vacancy rates creep lower across the state.

Turfed tenants have turned to caravans, young families are sleeping in cars, and leasing agents have been forced to cap inspections as vacancy rates creep lower across Queensland which is gripped by a rental crisis.

Rapidly rising rent, returned expats and interstate migration has created the perfect storm for renters desperate for a stable home.

New data from the Real Estate Institute of Queensland revealed the market had grown even more competitive in the June quarter as more tenants squeezed into Brisbane.

The vacancy rate in the state’s capital dropped to 1.7 per cent from 2.1 per cent in the previous quarter as 22 of Queensland’s 35 local government areas recorded their lowest vacancy rate, or equalled it, in 11 years.

REIQ CEO Antonia Mercorella said the COVID-19 phenomenon of lifestyle purposes luring people north was still having an impact on vacancies.

“With more people taking the opportunity of working remotely and not having to commute regularly to their offices, they are succumbing to the lure of moving to a region where they can enjoy a sea or tree change lifestyle,” Ms Mercorella said.

“This could be reflected in regions around Brisbane such as the Gold and Sunshine Coasts and even further afield, where people can work remotely and commute to the capital city when necessary.”

Kristi Smith has resorted to living in a caravan with her two sons after failing to find a suitable and affordable rental property.

The most recent data from the Australian Bureau of Statistics showed Queensland recorded a net gain of 9800 interstate migrants in the December quarter – the highest of any state or territory.

Greater Brisbane also recorded the highest net internal migration rate of any capital city with 4800 arrivals.

“By comparison, Sydney and Melbourne lost 9300 and 8500 people respectively,” Ms Mercorella said.

Half a million Australian expats have also returned since the beginning of the pandemic.

Real estate agents in the Greater Brisbane region have increasingly witnessed the fallout of low vacancy rates which was previously more evident across the Sunshine Coast and Gold Coast.

Leasing consultant with Ironfish David Melville said hopeful tenants had shown the most interest in houses in more affordable suburbs.

He recently started capping his inspections to 30 people after 60 to 70 people began consistently showing up to view rentals.

“I’m in the trenches everyday and the situation is certainly getting worse. It’s heartbreaking,” Mr Melville said.

“I’m getting calls on a weekly basis from people with nowhere to go and in some cases they are crying down the phone for help.

“The marginalised groups are worst affected. It’s impossible for people on some type of pension to compete with others who have a household income of $200,000.”

Mr Melville said the struggle to secure a rental had also extended to candidates who were typically picked first by landlords.

“We had an application from a couple last week who had been forced to live in their car with their three children,” he said.

“They had a combined income of $140,000, no pets and a good rental history.

“This shouldn’t be happening.”

The family who reached out to Mr Melville have since found accommodation but other southeast Queensland residents have faced a longer wait for a roof over their heads.

Kristi Smith has resorted to living in a caravan with her two sons after failing to find a suitable and affordable rental property.

Kristi Smith has been shivering through the nights in a pop-top caravan in the Sunshine Coast hinterland for almost three months since she was pushed out of the rental market.

The mother-of-two had been in the same Coolum Beach home for seven years before a surge in property prices prompted the owners to cash out in April.

Ms Smith, who is on a disability support pension, said she scrambled to find nearby accommodation to match the $500 per week she was paying in rent but there was nothing of the sort.

“I have been through hell and back trying to find a rental on the Sunshine Coast and I’ve realised there is no point,” Ms Smith said.

“Every property I applied to view online was gone before I could view it and most of the houses are out of the budget.

“We were so desperate that we went and stayed in a caravan park for a week.”

Ms Smith rented a patch of land 30km south west of her former home and sleeps in thermals each night in a borrowed pop-top caravan.

She said she had “totally given up” on finding an affordable rental and planned on finding a warmer caravan she could park up for the long term.

Originally published as Queenslanders call cars and caravans home as rental crisis worsens, vacancy rates drop