Rental scarcity and housing stress impact Australia and Ireland

Reports from Australia and Ireland indicate growing housing stress and rental scarcity affecting both low and middle-income earners.

In Australia, the Everybody's Home coalition's ‘Priced Out’ report reveals that middle-income earners are increasingly squeezed by rising rents. In the Hunter region, a worker earning the median national income may spend over half of their weekly wages on rent. The report notes that the crisis is no longer confined to low-income groups or metropolitan suburbs, as even households earning between $80,000 and $110,000 annually are facing significant financial pressure.

In Ireland, analysis from Daft.ie and Trinity College economics Professor Ronan Lyons suggests rental scarcity has become a national issue rather than one limited to Dublin. While market rent increases slowed to 1.4% in the second quarter following a record 4.4% rise in the first, rents in regional areas like Connacht-Ulster and Munster have risen significantly over the last six years. Professor Lyons noted that while the initial surge in rents may have been a ‘one-off reset’ due to tenancy reforms, the lack of new supply remains a critical concern outside of major cities.