The housing crisis, along with cost of living, are the number one issues facing families in Western Australia today.
It’s the Australian dream to own your own home. But for many across Australia, making ends meet and simply being able to afford rent as well as the cost of groceries, fuel and other essential living costs, is becoming more difficult.
Along with cost of living, the housing crisis is one of the biggest issues facing families in Western Australia today. Several years of increasing population and declining housing availability, combined with persistently high interest rates, have escalated rents and mortgage payments.
In Perth, the median weekly rental price has risen to $755, up 75 per cent since April 2020, while wages and income support have only been raised minimally and remain significantly below the poverty line.
Anglicare WA’s annual Rental Affordability Snapshot showed that there are 59 per cent fewer properties across the state than were available at the start of the pandemic.
The number of people accessing government-funded homelessness services in WA has increased by 39 per cent over the past five years.
“Many families are struggling to pay their bills and put food on the table, let alone find a place to call home,” Anglicare WA CEO Mark Glasson explained to Business News.
“There’s no excuse for this crisis in WA. We are the richest state in one of the richest countries in the world. It’s time to ensure people have access to safe, secure, and healthy homes that are affordable for everybody."
Meanwhile, housing supply has reduced significantly, with a lack of social housing, issues with new home constructions, very low rental vacancy rates, and an increased number of properties being used as short-term holiday lets.
“Our priority in this market is to keep people housed where they are, whether renting or paying a mortgage," Mr Glasson said.
“There’s no excuse for this crisis in WA. We are the richest state in one of the richest countries in the world." Anglicare WA CEO Mark Glasson
“The trend to shared housing is another sign of Western Australians struggling to make ends meet. It’s a concern to us, because we know this means more people will be forced into unsuitable or unstable accommodation, and people will go without medical treatments, prescriptions, and even food to keep a roof over their head."
The state government is making moves to address the issue, including the WA Rent Relief Program, Residential Tenancy Act Reforms, and more investments in social housing construction, spot purchasing, and private rental supply.
"These are welcome changes but more needs to be done at scale and pace to ensure Western Australians can access a safe, secure, and healthy home," Mr Glasson said.
The WA Rent Relief Program, a $24.4 million package, provides one-off rent relief payments to help eligible tenants at risk of eviction because their rent is in arrears to negotiate with their landlords to extend their tenancy.
“In the short term we’d urge the government to redouble their efforts for non-inflationary cost of living relief. For the longer term, we need more private and social housing supply, including a government commitment to a 6 per cent social housing stock.
"For rentals, we call for stabilisation or capping, a removal of no-grounds evictions, minimum standards, and continued investment into the WA Rent Relief Program."
Anglicare WA chief executive Mark Glasson.
Homelessness in WA's South West
Lack of housing continues to be an issue throughout the South West. Cost of living and increasing complexities such as mental health and family domestic violence continue to be the primary reason for individuals and families experiencing homelessness or becoming at risk.
Community services organisations are working at capacity, leading to long wait times for specialist services to support individuals and families. Homelessness providers in the South West such as Accordwest are supporting people for longer periods of times, due to the lack of housing availability and affordability, resulting in an inability to meet the growing demand for services.
"More housing is a significant need, though so is increased funding for critical support services that provide wrap-around supports to help individuals maintain their accommodation into the future," Accordwest CEO Evan Nunn explained.
Symposium 100, held in May 2024, marking the start of a bold target to design, fund and build at least 100 new social houses through local community partnerships across the South West, continues to bring together communities to seek housing development opportunities.
Three new transitional houses in Collie are expected to be ready for occupancy on 7 March, and a new homelessness service will commence in Manjimup, funded by the Department of Communities. The Manjimup Accommodation Support Service will provide both accommodated and unaccommodated homelessness supports within the Shire of Manjimup commencing in March and will be supported by a case worker based in Manjimup.
Accordwest is calling on increased funding of all key support services and increase efforts into building or provision of housing.
"Efforts need to go beyond main community centres to include regional towns who are also experiencing an increase in people requiring homelessness supports," Mr Nunn said.
"Individuals and families need to stay within the communities they have grown up in for ongoing support and connection."
Financial struggles
Foodbank WA's branches across the state offer fresh fruit, vegetables, meat and other pantry staples at a fraction of the supermarket costs, with many Western Australians relying on the services to help make ends meet and put food on the table for their families.
"We are the safety net that people need when individuals and families hit hard times," Kate O'Hara, Foodbank WA's CEO, explained.
"Western Australia is experiencing a severe housing crisis, with rapidly increasing property prices, skyrocketing rental costs coupled with low rental availability and the cost of food, groceries and utility bills pushing many into homelessness.
"We want people to come to us before their circumstances dictate that they are in trouble of losing the roof over their heads or that they have to turn their electricity off or not change the tyres on their car."
Foodbank WA and Anglicare WA partners with the Financial Wellbeing Collective, providing a wrap-around service for people who are struggling financially.
"We not only offer very affordable and nutritious food for families that are on a shoestring budget, we partner with Financial Wellbeing Collective who can provide a referral to shop with us on the spot and provide access to other organisations who provide further assistance in other areas if required," Ms O'Hara added.
Many Western Australians are experiencing financial stress due to rising rent payments and cost-of-living pressures. Rent or mortgage payments are the largest living expense for the clients the Financial Wellbeing Collective supports, General Manager Helena Jakupovic explained.
“Housing stress is certainly one the biggest contributors of financial hardship for the people we serve," she said.
"It kicks in when 30 per cent of your income goes to accommodation costs. On average, 43 per cent of our financial counselling clients’ income is spent on housing. Three years ago this sat at 32 per cent."
Serving some of the most financially vulnerable in the state, the Financial Wellbeing Collective provides financial hardship services including financial counselling, and emergency relief and utility grant access.
The Financial Wellbeing Collective provides financial hardship services including financial counselling.
“What we know is that in this tight housing market our clients are prioritising their accommodation costs to avoid homelessness, but large rent and mortgage prices are impacting their ability to afford other life essentials such as food, medication, utilities and transport," Ms Jakupovic said.
“Many in our community are forced to make very difficult decisions every day, as the gap between wealth and poverty continues to widen in our state.
"We urge anyone struggling with today’s cost of living to please reach out to the support services that are available."
The Financial Wellbeing Collective has seen a 45 per cent increase in mortgage holders accessing emergency relief in the last three years, clients who are reaching out for food support which is delivered in collaboration with Foodbank WA.
"This cost-of-living crisis shows no sign of letting down any time soon. If you are skipping meals and struggling to make ends meet, we are here to help. For so many we are the difference between eating and not eating. Please reach out if you are struggling," Ms O'Hara said.
“The food and grocery budget is usually the first thing most people cut leading to a fast-growing problem of food insecurity. It can affect anyone and could be your next-door neighbour, a family member or a friend and it is not necessarily obvious. It is an issue that remains hidden due to the stigma attached to reaching out for help.”
