Multiple families living together because they can't afford the rent

Date
    January 20, 2015 
    The Age


Multiple families are cramming into single homes in Melbourne's suburbs because they cannot afford the rent by themselves.      :(

This comes as a rising number of Victorian renters worry about losing their homes, in a real estate market where the median metropolitan rent has hit $365 a week.

In the past financial year, about 30,000 private renters asked the state's homelessness agencies for financial help to stay in their home – an annual increase of almost 30 per cent, the Council to Homeless Persons said.

"More and more people are really struggling," council  chief executive Jenny Smith said. "High rents are pushing people to the brink of homelessness."

Low-income families in the western suburbs of Melbourne are among those finding it hardest to bounce back from unexpected bills and shocks.

The west has high rates of rental evictions, yet the region recently lost $100,000 in funding to assist the homeless and those facing eviction because of unpaid rent, the council said.

UnitingCare Werribee Support and Housing chief executive Carol Muir said some families and single people in the west could no longer afford to live on their own.

Ms Muir said up to three families were crowding into single properties, including Iranian and Afghan asylum seekers attempting to survive on reduced government welfare payments.  She said some migrants from New Zealand and the Pacific islands were also living together, pooling limited incomes, because they are not eligible for government assistance.

UnitingCare Werribee Support and Housing does not normally provide meals or food for its clients. But in a concerning trend, Ms Muir said people were turning up on its doorstep hungry.

"More and more people are saying, 'I haven't eaten in a day or two, is there something that you can give me now?' " she said.      :(

Homelessness services remain concerned the federal government is yet to commit funds to the next round of the National Partnership Agreement on Homelessness.

The Andrews government said it would pilot an inclusionary zoning scheme requiring land sold by the Victorian government to include public or affordable housing.

Meanwhile, Housing Minister Martin Foley has promised to "fix the mess" in social housing. "We're stopping the selloffs and are focused on building and upgrading our housing stocks," he said.

The Council to Homeless Persons has asked the state government to bring in an affordable-housing strategy to increase Victoria's social housing stock to the national average of 5 per cent. It is expected more than 24,373 new homes would be needed to meet this target.

Ms Smith said more funding was needed to assist those who fell behind in their rent because of an unexpected crisis such as a car accident or relationship split.

"It's not in the interest of the community to have women and children sleeping in cars, kids not able to go to school and parents dropping out of study and work because they need to worry about having a roof over their head," she said.

There are 34,600 people on the public housing waiting list in Victoria. A Werribee mother said she was recently told she would have to wait 26 years before she would have access to a property.      :(

"I thought, why should I put my name down," she said, "I'll be dead before that."

Want me to post links to elderly people unable to afford turning on their air-conditioning because Gillard's carbon tax made it unaffordable, leaving them to suffer in the extreme heat or cold?

Still waiting for the $550 a year better off.      :(

The old and frail can't afford the power increases since the Abbott government took over. They have to find a shady spot under a tree with a Chinese paper fan to keep cool.

I thought electricity costs were going down.....another Abbott lie.

Where is their $550 refund Tony?

Armchair_Politician wrote on Jan 21^st, 2015 at 6:56am:

Want me to post links to elderly people unable to afford turning on their air-conditioning because Gillard's carbon tax made it unaffordable, leaving them to suffer in the extreme heat or cold?

Good luck!

Prices were sky-rocketing before the carbon tax, and have continued to do so since it went.

The carbon tax had little to no effect on people's bills.

Why not blame the REAL culprits - privatisation, and the greedy bastards who profited from it.

The market is being artificially inflated by investors who sit on vacant housing and don't bother to rent it out. Some new residential developments in the Melbourne CBD area have a 30% vacancy rate with some apartments having never been lived in.

This failure of the market needs to be addressed.

Bam wrote on Jan 21^st, 2015 at 8:57am:

The market is being artificially inflated by investors who sit on vacant housing and don't bother to rent it out. Some new residential developments in the Melbourne CBD area have a 30% vacancy rate with some apartments having never been lived in. This failure of the market needs to be addressed.

Bull shyte  ..  >:(

Bam wrote on Jan 21^st, 2015 at 8:57am:

The market is being artificially inflated by investors who sit on vacant housing and don't bother to rent it out. Some new residential developments in the Melbourne CBD area have a 30% vacancy rate with some apartments having never been lived in. This failure of the market needs to be addressed.

this is utter garbage, investors dont buy properties in order not to get income.

Armchair_Politician wrote on Jan 21^st, 2015 at 6:56am:

Want me to post links to elderly people unable to afford turning on their air-conditioning because Gillard's carbon tax made it unaffordable, leaving them to suffer in the extreme heat or cold?

haw haw. They must be dying in droves since Abbott took over , I thought I heard a little less whinging around the place.

Kat wrote on Jan 21^st, 2015 at 8:26am:

Armchair_Politician wrote on Jan 21st, 2015 at 6:56am: Want me to post links to elderly people unable to afford turning on their air-conditioning because Gillard's carbon tax made it unaffordable, leaving them to suffer in the extreme heat or cold? Good luck! Prices were sky-rocketing before the carbon tax, and have continued to do so since it went. The carbon tax had little to no effect on people's bills. Why not blame the REAL culprits - privatisation, and the greedy bastards who profited from it.

;D ;D ;D  PUSSIEKAT  says it was labor fault   ;D

ian wrote on Jan 21^st, 2015 at 9:00am:

Bam wrote on Jan 21st, 2015 at 8:57am: The market is being artificially inflated by investors who sit on vacant housing and don't bother to rent it out. Some new residential developments in the Melbourne CBD area have a 30% vacancy rate with some apartments having never been lived in. This failure of the market needs to be addressed. this is utter garbage, investors dont buy properties in order not to get income.

They do if what they are interested in is the negative gearing aspect!

Having tenants just degrades the units, lowers the NG gain and lowers the selling price on which the scum pay little capital gains tax.

There are LOTS of properties bought or built and never rented out.

Ex Dame Pansi wrote on Jan 21^st, 2015 at 7:18am:

The old and frail can't afford the power increases since the Abbott government took over. They have to find a shady spot under a tree with a Chinese paper fan to keep cool. I thought electricity costs were going down.....another Abbott lie. Where is their $550 refund Tony?

To be honest, it's not only the Abbott lot - price hikes have been going on under all 'governments' for a long while how, and it is all entirely due to privatisation and the extra costs of feeding so many extra mouths to provide a simple utility - some of those mouths being mates and cronies in 'board' and 'ceo' positions in these new-founded suppliers...

A totally unwarranted extra impost on the end use, and in reality nothing more than legitimised theft from the general public.

Straight enough talk for yez?

ian wrote on Jan 21^st, 2015 at 9:00am:

Bam wrote on Jan 21st, 2015 at 8:57am: The market is being artificially inflated by investors who sit on vacant housing and don't bother to rent it out. Some new residential developments in the Melbourne CBD area have a 30% vacancy rate with some apartments having never been lived in. This failure of the market needs to be addressed. this is utter garbage, investors dont buy properties in order not to get income.

Shows how little you know.

Vacant homes contributing to housing shortage

Quote:

Research by a pro-land tax property think tank suggests that vacant homes are contributing strongly to the apparent shortage of housing that is driving up prices and rents. The Prosper Australia research, using Melbourne water usage data, estimates that up to 4.4 per cent of homes in Melbourne may have sat unoccupied for most or all of 2012.

Quote:

Many owners are holding onto empty properties because the net return from rent is so low as to make it not worth the time and effort, while the real profit's to be made from rising property values.

If a new property can receive a premium on resale (because it's new) that is greater than the net income that would be received from renting it out, it may as well be left vacant. Some property investors are simply cashing in on capital gains and have no intention of leasing the property.

Bam wrote on Jan 21^st, 2015 at 11:05am:

ian wrote on Jan 21st, 2015 at 9:00am: Bam wrote on Jan 21st, 2015 at 8:57am: The market is being artificially inflated by investors who sit on vacant housing and don't bother to rent it out. Some new residential developments in the Melbourne CBD area have a 30% vacancy rate with some apartments having never been lived in. This failure of the market needs to be addressed. this is utter garbage, investors dont buy properties in order not to get income. Shows how little you know. Vacant homes contributing to housing shortage Quote: Research by a pro-land tax property think tank suggests that vacant homes are contributing strongly to the apparent shortage of housing that is driving up prices and rents. The Prosper Australia research, using Melbourne water usage data, estimates that up to 4.4 per cent of homes in Melbourne may have sat unoccupied for most or all of 2012. [quote]Many owners are holding onto empty properties because the net return from rent is so low as to make it not worth the time and effort, while the real profit's to be made from rising property values.

If a new property can receive a premium on resale (because it's new) that is greater than the net income that would be received from renting it out, it may as well be left vacant. Some property investors are simply cashing in on capital gains and have no intention of leasing the property.
[/quote]

So what's wrong with that it's their money FFS

:) :)

St George of the Garden wrote on Jan 21^st, 2015 at 9:11am:

ian wrote on Jan 21st, 2015 at 9:00am: Bam wrote on Jan 21st, 2015 at 8:57am: The market is being artificially inflated by investors who sit on vacant housing and don't bother to rent it out. Some new residential developments in the Melbourne CBD area have a 30% vacancy rate with some apartments having never been lived in. This failure of the market needs to be addressed. this is utter garbage, investors dont buy properties in order not to get income. They do if what they are interested in is the negative gearing aspect! Having tenants just degrades the units, lowers the NG gain and lowers the selling price on which the scum pay little capital gains tax. There are LOTS of properties bought or built and never rented out.

you can only claim negative gearing if the property is making an income or loss ...

if your claim were true these evil investors would just rent a shop out in the sticks and leave it empty and they'd still have their deposit money to do with as they wish. :D :D

I have told the govt time & time again that a massive public housing building program is one of the infrastructure projects this country needs.

But do they listen? No.

I can do no more.

Bam wrote on Jan 21^st, 2015 at 11:05am:

ian wrote on Jan 21st, 2015 at 9:00am: Bam wrote on Jan 21st, 2015 at 8:57am: The market is being artificially inflated by investors who sit on vacant housing and don't bother to rent it out. Some new residential developments in the Melbourne CBD area have a 30% vacancy rate with some apartments having never been lived in. This failure of the market needs to be addressed. this is utter garbage, investors dont buy properties in order not to get income. Shows how little you know. Vacant homes contributing to housing shortage Quote: Research by a pro-land tax property think tank suggests that vacant homes are contributing strongly to the apparent shortage of housing that is driving up prices and rents. The Prosper Australia research, using Melbourne water usage data, estimates that up to 4.4 per cent of homes in Melbourne may have sat unoccupied for most or all of 2012. [quote]Many owners are holding onto empty properties because the net return from rent is so low as to make it not worth the time and effort, while the real profit's to be made from rising property values.

If a new property can receive a premium on resale (because it's new) that is greater than the net income that would be received from renting it out, it may as well be left vacant. Some property investors are simply cashing in on capital gains and have no intention of leasing the property.
[/quote]


I wouldn't be cheering over that data, it's mainly guesswork based on water usage.

How can they tell individual water usage in buildings where one meter services multiple premises? Or if the premises didn't use water during a particular period because people were away on holidays? or that the property uses tank or bore water?

bogarde73 wrote on Jan 21^st, 2015 at 2:10pm:

I have told the govt time & time again that a massive public housing building program is one of the infrastructure projects this country needs. But do they listen? No. I can do no more.

the biggest doners to local and state govt.s are usually building companies  ... govts of any persuasion don't want to upset this cash cow

bogarde73 wrote on Jan 21^st, 2015 at 2:10pm:

I have told the govt time & time again that a massive public housing building program is one of the infrastructure projects this country needs. But do they listen? No. I can do no more.

They cannot back a plan that reduces the affordable housing crisis, that would be counter productive to their own interests and the interests of the real estate industry. The last decade or two has practically been financed by the housing and mining booms, the mining boom has busted, they won't purposely stick a pin in the real estate industry, otherwise they'd abolish negative gearing.

John Smith wrote on Jan 21^st, 2015 at 2:13pm:

Bam wrote on Jan 21st, 2015 at 11:05am: ian wrote on Jan 21st, 2015 at 9:00am: Bam wrote on Jan 21st, 2015 at 8:57am: The market is being artificially inflated by investors who sit on vacant housing and don't bother to rent it out. Some new residential developments in the Melbourne CBD area have a 30% vacancy rate with some apartments having never been lived in. This failure of the market needs to be addressed. this is utter garbage, investors dont buy properties in order not to get income. Shows how little you know. Vacant homes contributing to housing shortage Quote: Research by a pro-land tax property think tank suggests that vacant homes are contributing strongly to the apparent shortage of housing that is driving up prices and rents. The Prosper Australia research, using Melbourne water usage data, estimates that up to 4.4 per cent of homes in Melbourne may have sat unoccupied for most or all of 2012. [quote]Many owners are holding onto empty properties because the net return from rent is so low as to make it not worth the time and effort, while the real profit's to be made from rising property values. If a new property can receive a premium on resale (because it's new) that is greater than the net income that would be received from renting it out, it may as well be left vacant. Some property investors are simply cashing in on capital gains and have no intention of leasing the property.

I wouldn't be cheering over that data, it's mainly guesswork based on water usage.[/quote]
It is guesswork because actual statistics on occupancy and usage are not readily available.


Quote:

How can they tell individual water usage in buildings where one meter services multiple premises? Or if the premises didn't use water during a particular period because people were away on holidays? or that the property uses tank or bore water?

That's why we need to take these particular statistics with a grain of salt. Another issue with these statistics is that they do not count those properties that do not have accounts with one of the water companies. I take them as indicative but not definitive.

What is clear though is that there are vacant properties that are not available for rent. If vacant, habitable properties were taxed, the people who selfishly force up the price of rents would be made to pay the full price for their unslaked greed.

John Smith wrote on Jan 21^st, 2015 at 2:15pm:

bogarde73 wrote on Jan 21st, 2015 at 2:10pm: I have told the govt time & time again that a massive public housing building program is one of the infrastructure projects this country needs. But do they listen? No. I can do no more. the biggest doners to local and state govt.s are usually building companies  ... govts of any persuasion don't want to upset this cash cow

Which is why we need to reform political donations at all levels of government.

Bam wrote on Jan 21^st, 2015 at 2:40pm:

John Smith wrote on Jan 21st, 2015 at 2:15pm: bogarde73 wrote on Jan 21st, 2015 at 2:10pm: I have told the govt time & time again that a massive public housing building program is one of the infrastructure projects this country needs. But do they listen? No. I can do no more. the biggest doners to local and state govt.s are usually building companies  ... govts of any persuasion don't want to upset this cash cow Which is why we need to reform political donations at all levels of government.

I agree 100% ... bring in govt. funded elections campaigns