New Cotality data shows rental affordability is at a record low as rents rise 2.5 times faster than wages, while ABS data today shows investor lending continues to skyrocket to record levels.
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Cotality monthly housing data shows that national rents have risen 2.5 times faster than wages over the past five years, with renters in deep housing stress spending an average of 33.4% of their income on rent.
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ABS data published today shows that investor lending is up 23.6% over the year. In the first three months of Labor's 5% deposit scheme, investors have received $43 billion to invest in their housing assets, more than double the amount going to first-home buyers. An unsustainable increase of 31.8% over the year.
The Greens say this is further proof of Labor making the housing crisis worse, with explosive expansion in wealthy property investor spending and more and more renter stress. Labor needs to stop prioritising wealthy property investors over renters and first-home buyers.
As stated by Greens spokesperson for finance, housing and homelessness Senator Barbara Pocock:
"The ABS data shows the biggest winners of Labor's 5% deposit scheme are property speculators who rushed into the market, certain that the government's policy was going to push up property prices and they were right.
"Double the amount of lending has gone to property investors than first-home buyers in the first three months of Labor's scheme - a frankly unbelievable $43 billion in three months.
"Property investor lending increased by 31.8% over the year, the clearest sign yet that the worst of Australia's housing crisis is yet to come.
"Renters are footing the bill for a market stacked in favour of investors, while their wages can't keep up.
"Australia is in a national housing crisis that is spiralling out of control and renters are being squeezed dry in a landlord-driven market.
"Amid rising cost-of-living pressures, renters are having to fork out more than one-third of their income just to keep a roof over their heads.
"How is it fair that renters are bearing the brunt of the housing crisis while investors profit from tax incentives such as the capital gains tax discount?
"Across the country, renters are in deep financial strife while governments hand out huge tax perks to property hoarders. Labor must scrap these tax breaks.
"Labor's policies, such as the changes to the 5% deposit scheme and $181 billion tax breaks for wealthy property investors, are pushing house prices up and up, forcing rents to skyrocket.
"For decades, successive governments have turbocharged house prices and driven up rents, putting billions of dollars in the pockets of property investors, property developers and the banks.
"Rather than giving billions of tax breaks to wealthy property investors, the government needs to cap rents and invest directly in social and affordable housing, renting it to people who need it at prices they can actually afford."
