The latest interest rate hike won't bode well for Perth renters in an already tight and unaffordable market, as new analysis highlights the extremely low rental vacancy rate.
National housing campaign Everybody's Home has analysed the latest SQM Research Weekly Rents Index, finding asking rents in Perth have increased by $65 to $124 per week over the past year.
Tenants in south-west Perth are paying $88 extra a week in rent compared to a year ago.
Rents have risen by up to $46 a week over the last three months alone.
Perth's residential vacancy rates are among the tightest in the country at 0.4% overall.
Community |
Vacancy rate Oct 22 |
Asking rent Nov 22 |
Rolling quarter change in weekly rent |
Annual change in weekly rent |
North West Perth |
0.4% |
$663.36 |
$46 or 7.4% |
$124 or 23% |
Perth City |
1% |
$589.40 |
$17 or 2.9% |
$107 or 22.2% |
South West Perth |
0.3% |
$575.62 |
$27 or 5% |
$88 or 18% |
South East Perth |
0.3% |
$491.25 |
$25 or 5.4% |
$71 or 16.8% |
North East Perth |
0.3% |
$518.87 |
$23 or 4.7% |
$65 or 14.4% |
*week ending 4 December 2022
Everybody's Home national spokesperson Maiy Azize said renters were absorbing the costs of inflation.
"Rents have been on the rise well before interest rates climbed, but every rate increase adds more pressure to an overheated and unaffordable housing market.
"Another interest rate hike means renters will be worse off if their landlord passes on an increase. This will deepen housing stress for thousands of people.
"To deal with the rental crisis, the Federal Government must invest in social housing. We're calling on them to build 25,000 homes a year to end the shortfall, help thousands of people at risk of homelessness, and pull even more out of rental stress. At the same time, we'll be freeing up lower cost rentals for people who need them.
"Building social housing would be the most powerful way to tackle the rental crisis and give Australians the secure, stable homes they need and deserve.
"If we don't act, people will be pushed deeper into housing stress and even homelessness.
"We're calling on the government to take action and make sure everyone has a place to call home."
