Renters in Melbourne could have saved $39,000 if rent controls had been permanently introduced 5 years ago, according to a new costing from the Parliamentary Budget Office.
The costing, commissioned by the Greens, found that the average renter in Melbourne could have saved over $19,000 over the last 5 years, the average regional Victorian renter could have saved over $14,000 and the average renter living in the City of Melbourne could have saved a whopping $39,000, enough to put a large dent in a first home deposit.
The Greens say these savings could have been life changing for Victorians who rent and could have been the difference between affording a house deposit or not.
The Greens have this week launched an online rent calculator allowing renters in Victoria to calculate how much they would save with rent controls. The rent calculator can be accessed at greensrentcalculator.com.
Rent controls are a key pillar of the Victorian Greens election policy plan leading up to the 2026 Victorian State election, where the Greens are tipped to win more seats from both Labor and the Liberals. The Greens policy includes:
- an initial 2-year rent freeze to give wages the chance to catch up to rents followed by a cap on rent increases to go up no more than the wage price index or CPI, whichever is lowest, in any one year.
- Tie rent increases to the property, not the tenant - so renters can't be kicked out for a landlord to put the rent up.
- A two-year ban on rent increases at the start of every tenancy, to give renters security when they move house.
As stated by Victorian Greens spokesperson for Renting, Gabrielle de Vietri:
"If we had capped rent increases, renters would be living in their own homes by now instead of funnelling more and more of their income every year into their landlord's pockets. Enough unfair, unpredictable rent hikes - it's time for rent controls."
"The rental crisis is a political choice. Labor lets property investors profit at the expense of people who just need a roof over their head. Hundreds of thousands of people are living in rental stress - another rent hike could push them into homelessness. It doesn't have to be this way."
"The Greens have a vision for the future where you can actually afford the home you live in. It starts with rent controls."
As stated by Leader of the Victorian Greens, Ellen Sandell.
"My message to renters is, Labor doesn't care about you, if they did, we would have rent controls. Labor has made their priorities very clear: property investors and their billionaire donors come before you."
