SACOSS’ latest Cost of Living Update released today shows the extent of the rental crisis in regional South Australia with limited availability of new properties and the cost of new rentals increasing and simply unaffordable for those on low incomes.
For those looking to rent in the June Quarter in regional SA, state government rental bond data shows, on average, most rents in regional areas were well above the “30% of income” affordability threshold for single people on JobSeeker, the Age Pension and even the minimum wage.
Over the last 12 months, prices for those looking to rent in regional SA increased by 10.6% for a two-bedroom unit, and by 12.5% for a 3-bedroom house – although there were significant regional variations.
The full Cost of Living Update is available on the SACOSS website.
Table 1: Changes in regional rent prices in the last year:
|
Housing type / region |
June Quarter 2022 |
June Quarter 2023 |
Percentage Change |
|
2 BR Unit |
|
|
|
|
Regional SA Total |
$235 |
$260 |
10.6% |
|
Adelaide |
$370 |
$410 |
10.8 |
|
3 BR Houses |
|
|
|
|
Adelaide Hills |
$420 |
$480 |
14.3 |
|
Fleurieu and KI |
$380 |
$410 |
7.9 |
|
Eyre and Western |
$280 |
$330 |
17.9 |
|
Far North |
$300 |
$328 |
9.3 |
|
Barossa |
$370 |
$420 |
13.5 |
|
Murray and Mallee |
$300 |
$350 |
16.7 |
|
Yorke and Mid North |
$290 |
$305 |
5.2 |
|
Limestone Coast |
$308 |
$360 |
16.9 |
|
Regional SA Total |
$320 |
$360 |
12.5% |
|
Adelaide |
$450 |
$505 |
12.2% |
Table 2: Number of new rentals, June quarter 2013 and 2023, by region:
|
Region |
2013 |
2023 |
% Change |
|
Adelaide Hills |
430 |
335 |
- 22.1% |
|
Fleurieu and KI |
500 |
320 |
- 36.0% |
|
Eyre and Western |
525 |
330 |
- 37.1% |
|
Far North |
245 |
240 |
- 2.0% |
|
Barossa |
520 |
340 |
- 34.6% |
|
Murray and Mallee |
640 |
405 |
- 36.7% |
|
Yorke and Mid North |
690 |
320 |
- 53.6% |
|
Limestone Coast |
635 |
440 |
- 30.7% |
Quotes attributable to SACOSS Director Policy and Advocacy Rebecca Tooher:
“Our report shows that the rental crisis is as bad in regional South Australia as it is in Adelaide, with similar price increases and levels of unaffordability. There is also a real lack of available rentals with 35% fewer properties let in regional South Australia in the June Quarter this year compared to a decade ago.
“The state government needs to move quickly to address the failure of the rental market to provide stable and affordable housing in regional South Australia. This would begin by immediately capping rent price increases to CPI, but the government also needs to increase investment in public and community housing even beyond the modest proposals already announced.
“Finally, given the impact of short-stay AirBnB type accommodation taking properties out of the residential market, both the state government and local councils should look at imposing vacancy taxes or rate surcharges on properties standing idle.”