Rental crisis deepens

Suburb where tenants have been slugged $4000 hike

Renters in two Hobart suburbs are paying $3640 more now compared to last year.

And in another, renters have been slugged with a $4056 year-on-year increase.

These stark figures headline PropTrack’s latest rental insights, with Sandy Bay house rents growing by $78 per week over the past year, while Battery Point houses and Blackmans Bay unit rents increased by $70 per week.

The data showed Glenorchy house rents were up $55, West Moonah $53 and Bellerive $50.

Unit rents in the suburb of Hobart increased by $45 per week, followed by Kingston $40, and Lenah Valley and Battery Point both recorded $35 upticks.

Not every suburb recorded an annual increase, with the data showing a $25 reduction in West Hobart and Hobart house rents, $20 in Mount Nelson, $18 in Primrose Sands and $15 in Lewisham.

Unit rents decreased by $63 per week in North Hobart while West Hobart remained steady at $470 per week.

Meanwhile, PropTrack figures show how deep Hobart’s rental crisis remains for those with a tight budget. Just 4 per cent of Hobart houses and 20 per cent of units are listed for rent at less than $400 per week.

PropTrack senior economist Eleanor Creagh said the rental shortage was a big driver of pressure in the Hobart market.

“The only sustainable solution is an increase in the supply of rental properties,” she said.

“This could mean encouraging participation in the market from small and larger-scale investors, the mum-and-dad investors, and the larger investors via build-to-rent property development.

“Of course, this takes time. It won’t address the shortage here and now.”

TasCOSS acting chief executive Charlie Burton said the social housing waitlist has reached record highs, and in March topped 4600 for the first time. He said there had been a 66 per cent increase over the past decade.

“Average waiting times have also increased, with Tasmanians waiting an average of 80.8 weeks for housing, up from 21 weeks a decade ago,” Dr Burton said.

“We know what must be done. There is a clear need to boost the housing supply and provide added support for renters.

“We call on the Tasmanian Government to introduce a range of measures to improve housing outcomes and ease cost of living pressures impacting Tasmanians, including: Accelerating the delivery of new social and affordable homes; introducing a cap on rent increases; introducing an empty homes levy; restricting the addition of entire homes to the short-stay accommodation market; and reviewing the Residential Tenancy Act to make renting fairer, safer and healthier for tenants.”