Another hit for renters

TASMANIA’S housing squeeze is facing another wave of tightening with almost 1500 affordable rentals to be stripped from the National Rental Affordability Scheme, as the controversial program is phased out.

The new pinch comes at a time when Hobart is now the least affordable capital city in Australia when it comes to renting, and finding suitable long-term accommodation almost anywhere across the state becomes more of a challenge for many families and working professionals, not just those on a low income.

More than 120 rentals will exit the market this year alone, with the remaining properties under the NRAS to progressively exit until June 2026. This means the hit won’t initially come hard but without swift action addressing supply, demand and suitability, the state faces a flurry of punches that many will be unable to endure.

The final report of the House of Assembly Select Committee on Housing Affordability, released last week, recommended a sweeping review of the state’s more than 20-year-old residential tenancy rules to consider caps on rent increases, spot checks on properties and to make it easier for tenants with pets.

The report also recommended a freeze on the number of permits for short-stay accommodation in areas with housing shortages, a cap on the number of nights short-stay properties were on the market and tougher rules for operators.

IT IS ALL WELL AND GOOD TO HOPE FOR COMPASSION AMID FEARS OF UP TO 20 PER CENT RENT HIKES, BUT WHAT PEOPLE WANT WHEN IT COMES TO HOUSING IS CERTAINTY

This is in response to the committee’s key concern that a greater number of lower income Tasmanians will be forced from the private rental sector and into social and community housing. This is exactly the fear that will be realised if all 1492 properties are lost from the NRAS to the private market.

While Community Housing Limited, one of the not-for profits that owns some of the scheme’s homes, has confirmed it will continue to rent them at affordable rates, many tenants will be left to the mercy of the mum and dad investors who would be well aware of the lucrative prices on offer to sell or rent on the open market.

It is all well and good to hope for compassion amid fears of up to 20 per cent rent hikes, but what people want when it comes to housing is certainty.

Any new homes and developments, proposed by governments or under consideration by local councils for approval, must be well targeted and well located to meet people’s needs.

If nothing else, the list of where the NRAS homes will be lost should provide a blueprint for exactly where the demand is and will be needed.

With many people under the scheme likely to have lived in their homes for the medium to long-term, they would be very familiar with the area, have children in the local schools or friends nearby.

With suburbs in Hobart and Launceston facing the biggest hits, the quick-fix cannot be shifting these residents to the outer suburbs or regional areas.

Strategic planning at all levels of government are required to ensure a smooth transition out of this scheme, as well as rapid action to address the Housing Affordability report’s recommendations as another review looms.

Responsibility for all editorial comment is taken by the Editor, Jenna Cairney, Level 1, 2 Salamanca Square, Hobart, TAS, 7000