What’s happening with rent caps around Australia

Australian Community Media

As rents continue to rise across Australia, several states have debated or introduced limits on how much landlords can increase rent. This video includes ACM-produced voiceover powered by AI.

Transcript

00:00Renters now make up a third of Aussie households and with a housing crisis to contend with,

00:05rent caps have become an important topic.

00:08The idea is simple, limit how much landlords can increase rent each year to help renters

00:14stay afloat, but each state and territory is handling the issue differently.

00:19The ACT currently has the strictest cap limiting rent hikes to 110% of inflation unless justified.

00:26Do you think it's not working in the ACT or it is working in the ACT?

00:30Well, all of the evidence that I've read around the ACT says what's working is adding to supply,

00:35which is what we're being told the solution is right across the country.

00:38Queensland briefly explored similar measures before backing down due to pressure from property

00:43groups.

00:44Victoria has ruled them out entirely for now, while New South Wales and South Australia

00:50continue to debate the pros and cons.

00:53Rent caps support say they provide relief and reduce housing insecurity and stop aggressive

00:58rent gouging.

01:00But critics argue they discourage investment in rental housing and could worsen supply issues.

01:06Landlords are not super wealthy people.

01:09It's not really fair on them if they've invested in their property in good faith to then have

01:14their rights removed.

01:16At the federal level, the Albanese government has instead focused on other measures to address

01:20housing affordability.

01:22In the latest federal budget, it increased the maximum rent assistance rates by 10% and

01:28has additionally committed to a $33 billion housing investment plan aimed at building more

01:33homes more quickly and making them easier to buy.

01:36What we've done is provide the incentive to state and territory governments to make sure those

01:41approvals happen, to make sure homes and units get built because there's a financial incentive

01:48for them to achieve their targets.

01:55information, to make sure there's no support.

01:57Later on in the last quarter, we're going to make sure there's a financial incentive out there.

02:00That's right.

02:01That's right.

02:02Certainly.

02:03I'm going to...

02:05To be a part of our channel, we're going to make sure there's a financial incentive

02:06that's going to be harder.

02:07That's right.

02:08My hardest thing is to go into the other side of the path

02:10to make sure that there's no exception.

02:12There is no exception for the cause of the purpose.

02:15This time is the exception of the exception for the exception of the exception of the rule.

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