Rents and mortgages squeeze incomes: Census 2011

Data just released from the 2011 Census confirm what we already know: that rents and mortgages in Australia have grown faster than incomes, squeezing household budgets.

“The Census shows that housing costs in Australia have outstripped income growth, with the median mortgage repayment increasing 39 per cent and the median rent increasing 49 per cent. By comparison the median household income increased just 20 per cent between 2006 and 2011” said Australians for Affordable Housing campaign manager Sarah Toohey.

“As the single biggest household expense, increases in the cost of rents and mortgages put pressure on every other item of household spending.”

“Rents have risen much faster than even mortgage repayments. This makes it harder for people who are renting to save for a home, and for or low income households who are renting, it’s harder than ever to make ends meet.”

“The Census also shows an increase in the percentage of households in the rental market, and a decrease in people who own their homes outright. This is a worrying trend in the Australian housing market.

“If Governments don’t start to take housing affordability seriously, we’ll continue to see increasing numbers of people locked out of home ownership or burdened with a mortgage they can’t afford.”

“We need all levels of government to work together on a National Housing Plan to deliver housing that’s affordable for all Australians.

% change in median income, rent and mortgage repayment 2006-2011