Supply alone will not solve Sydney's rental crisis

Wednesday, November 23, 2016 | Jenny Leong

The third Rental Affordability Index (RAI) released today shows that Sydney remains Australia's least affordable city for renters and makes it clear that significant change is needed to address this crisis.

NSW Greens spokesperson on Housing and Member for Newtown Jenny Leong MP said:

"It is clear that any attempt to deliver housing affordability can't start and end with supply alone. What we need is an increase to affordable supply. Unless there are mandated significant targets for affordable rental housing in new developments, rents will continue to soar."

"The intense growth of our housing market over the past decade means there have been big winners and big losers. It's clear from these latest results that the 40% of households in NSW that rent are clearly the losers. The system needs to be reformed so that it's fairer for everybody."

"As rents increase, more low and average income earners are being pushed out of their homes, away from their communities and the services they depend on."

"The diversity of our inner city suburbs is at risk. How do we maintain vibrant and thriving communities if artists, creatives, and low income earners get priced out of the areas they've long called home?"

"It appeared to be a positive step when the Greater Sydney Commission recognised that inclusionary zoning has a role to play in addressing Sydney's housing affordability crisis and proposed 5-10% affordable rental housing targets. However, even with this far from ambitious target, there is a massive loophole in their draft plans which states that targets are 'subject to viability'."

"With some 27,000 new homes proposed as part of the Parramatta Rd Urban Renewal there is the potential to deliver over 8000 new affordable rental homes if the target was set at a more ambitious 30%. It's this kind of shift that is needed if we are ever going to achieve a solution to this serious problem."

Background:

The Greens have a plan for protecting renters rights which includes:

Limiting rent increases to one per year and in line with CPI.

Remove 'no grounds' evictions that allow landlords to evict a tenant without giving any reason.

Ensuring that landlords meet their responsibilities around maintenance and repairs.

Ensuring renters understand and can enforce their rights by increasing funding to tenants' advice and advocacy services.

You can find more detail on our campaign for renters' rights here.

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