An article by the Australian Broadcasting Corporation (ABC) suggesting that older Australians could rent out their spare rooms to help ease the housing crisis has ignited a fierce online debate.
The proposal, while seemingly a practical solution to a complex issue, has drawn backlash from many who argue that curbing the country’s record-high migration would be a more effective way to address the housing shortage.
Australia is currently experiencing its highest levels of net migration, with over half a million people arriving each year. This influx has contributed to increased demand for housing, exacerbating the rental market crisis.
For the past four years, the rate of migration has far outpaced housing construction, resulting in a significant shortfall in available homes. Many online commentators have questioned why the government continues to push migration policies while Australians are struggling to find affordable housing.
Comments across social media platforms have expressed frustration with the government’s handling of both immigration and housing. One user posted, “This is written as if Australia needs to run some sort of war-time humanitarian program, putting up millions of strangers in spare bedrooms. No, the government is running an unhinged, untargeted mass immigration Ponzi scheme.” Another noted, “Maybe ease migration first. Australians are vulnerable due to a failure of government policy.”
Critics also point out the potential financial ramifications for older Australians who choose to rent out rooms. Rent received would need to be declared as income, which could affect pension eligibility. One commenter explained, “They want to stop paying pensioners the pension. They tell them to rent out their spare rooms, then they have to declare the rent as income, and the government stops their pension.”
Beyond the financial impact, there are concerns about the personal risks involved for older Australians, many of whom may be vulnerable or living alone, especially women. Opening their homes to strangers poses potential safety concerns, as many would-be tenants are unknown to the homeowner.
“What tenant assessment, protection for the vulnerable, or workable tenancy agreements might be needed?” questioned one user, highlighting the lack of safeguards that may be necessary to protect older individuals in such arrangements.
While renting out rooms may help alleviate some housing pressures in the short term, it is not without its challenges. Ensuring that the arrangement benefits both the older homeowner and the renter would require rigorous tenant assessments, legal protections, and tenancy agreements that safeguard vulnerable individuals from exploitation or abuse.
The current housing crisis in Australia is multifaceted, but migration has undoubtedly intensified the strain on housing supply. According to AMP deputy chief economist Diana Mousina, “The high pace of immigration is not compatible with the level of housing supply that we have in this country. We’re just not building enough homes to keep up with our population growth.”
The Grattan Institute has also noted that migration contributes to rising rents. The Institute’s modelling suggests that migration modestly increases house prices and rental costs. With temporary migrants making up a significant portion of new arrivals—many of whom are renters—the already tight rental market is struggling to meet demand.
While the Albanese government has announced changes to migration policies aimed at reducing overall numbers, migration will still remain at historically high levels. Critics argue that these changes, which include reducing migration to 375,000 next year and 250,000 in 2025, are too little, too late. The housing market remains under immense pressure, and without significant new housing developments, rent prices will likely remain high.
The backlash against the ABC article reveals a broader dissatisfaction with the government’s handling of housing and migration. Pausing migration to ease housing demand may not be a perfect solution, but many argue it is a more viable option than asking older Australians to take on the risks and complications of opening their homes to strangers.
Unfortunately this Government fails to understand that modest policy changes are inadequate. A temporary limit of total immigration of 250,000 per year for the next 5 years and ensuring people over staying their Visas leave, is the minimum response needed. When the voting starts the current Goverment will be blamed eventhough the previous Government has lot to answer for.