The real estate industry is struggling to contain rising rents, and it is becoming increasingly difficult for renters to access affordable accommodation.
Renters in Sydney, Melbourne and Brisbane are the highest-paying workers in the country, and in many places they are paying more than half their incomes to cover the costs of their accommodation.
Key points:Some Sydney landlords have seen their occupancy rates fall as rents have risenIncreasingly, many rental properties have become unaffordable for people on low incomesRealtor prices have gone up in NSW and Queensland, particularly in SydneyThe median rent in Sydney is $2,836, up $2 on the same time last year, while in Brisbane the median is $3,638.
But it is not just the higher prices that have made life more difficult for many renters.
Rents in some suburbs in Sydney have risen more than 20 per cent since 2016.
And rents in Brisbane are now the highest in Australia, according to the Real Estate Council of Australia.
Rental properties in the suburbs are often in areas where there are more than one apartment building, making it difficult for those tenants to find an affordable home.
But realtor Kevin Murphy says there is a solution.
“You can make the rental market a little bit better,” he said.
“The landlords, because they are the ones making the decisions, they have got to make sure that if you are not getting a mortgage they are getting a fair deal.”
In Queensland, where the median rent is $1,600, there is also some evidence that prices have risen.
But rents in Sydney and Brisbane remain the highest.
Renting property in Sydney was the second highest in the state last year and is now the second most expensive in Australia.
In Queensland the median apartment rent is now $3.85 million.
In Sydney it is $5.28 million.
Realtor Andrew Stoklasa has seen the same trend in Sydney.
“I’ve been in the industry for 30 years and I’ve never seen prices go up that much in the last two years,” he told ABC News.
“In the first three months of the year, we were still a little higher than we were in the first quarter of last year.”
He said that is due to a number of factors, including the fact that rents are increasing faster than wages.
Realty and Property Council of Queensland director John Loyce says that in NSW there are also a number other factors affecting the affordability of renting properties, including inflation and the cost of building housing.
“There are a number factors that we see, like rising fuel and electricity costs, and that means that we are seeing more of the supply of apartments going into the market,” he explained.
“And then we are also seeing that there are a lot of vacancies and that is putting pressures on the supply, because there is no one available to take those apartments.”
The Government says it is doing its bit to tackle the problem.
Mr Loyces said it is also working to improve access to affordable accommodation, particularly for families and single people.
“We’re doing a lot to encourage people to get into the rental sector,” he added.
“So we’re encouraging people to be renters, and to be aware of the rental property issue, but also the affordability issue.”