Keep focus on housing
HOBART’S economic success unfortunately comes at a cost and one of the biggest issues facing residents is housing. Today the Mercury reveals that rents in Hobart suburbs Taroona and West Moonah have risen by 20 per cent or more in the past year.
Brighton, Lutana and South Hobart also recorded large rental price increases of between 13 per cent and 17 per cent in the past 12 months.
Experts say strong rental demand at the peak rental time here coupled with low vacancy rates — below 1 per cent — we will see rents pushed higher. And that’s at a time Hobart is already being recognised as the most expensive capital city for renters.
It’s not even a question of housing affordability, it’s actually about housing availability, which doesn’t discriminate between affluent and more socially disadvantaged residents. If the top end is being squeezed, downward pressure will only make things worse for those already in precarious situations.
The latest vacancy rate figures showed Hobart had the lowest rate of the capital cities at 0.6 per cent in December. The national rate is 2.5 per cent.
This week Mercury staff visited two open homes and found the faces of Hobart’s rental crisis.
University students Carol Guo and Leo Yang have been forced to live out of Airbnb properties while they try to find a permanent place to call home. So far they have had 21 applications rejected.
One property they inspected had up to 200 people viewing it.
Meanwhile, expectant parents Zachary Snell and Nikki Fischer have been applying for properties all over the greater Hobart region desperate to find a place to settle their family.
For property owners, the success in the real estate market has been a good news story.
It’s a badge of honour that our market has been a top performer and it’s indicative of a very successful economic period.
It’s just that success comes at a cost. For those who aren’t lucky enough to own their own property staring down the barrel of homelessness is a frightening experience.
The Mercury has long been championing this issue, aiming to find solutions and mid-last year launched the Give them Shelter campaign which saw the Federal Government set aside Tasmania’s historical $157 million public housing debt.
Hobart City Council helped install temporary accommodation last year and planning applications show developers are frantically trying to build to meet the need.
The public discourse has now turned to regulating short-term holiday rentals.
There is no one solution to the problem but it is crucial that we keep it on the public agenda.
We know that housing woes lead to further growing pains for Hobart.
Those seeking a place to stay will be pushed farther from the centre, which in turn makes it more difficult for them to access services and jobs and ultimately leads to more traffic problems.
With the next premier of Tasmania set to be a northern MP, it’s crucial these issues remain front of mind. While party members busy themselves with internal politics in coming days, the best type of leader Tasmanians can hope for is one whose pitch is more externally than internally focused, and that the leader selected represents the best interests of the whole state.
Responsibility for all editorial comment is taken by the Editor, Jenna Cairney, Level 1, 2 Salamanca Square, Hobart, TAS, 7000