Aussie renters gaslit on migration impacts

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Recall the latest rental affordability report from PropTrack, which showed that rental affordability was the worst on record in Q4 2024, with lower-income earners hardest hit.

This collapse in affordability has been driven by the 48% surge in asking rents since the beginning of the pandemic.

Median advertised rents
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ABC’s Q&A featured a question from a father, Morgan Cox, who works two jobs and whose family was hit with a $10,000 yearly rent increase. He cannot find another rental home and faces the possibility of his family becoming homeless.

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Cox asked why the government continues to run a high migration policy when there are not enough homes to accommodate the new migrants:

“I recently got a rent increase notice for an additional $180 a week, which works out to be about $10,000 a year”.

“I tried to find a cheaper place and there just aren’t any. What little is available, there’s dozens of people lined up. Lots of them are immigrants and they have plenty more money than I can possibly get”.

“I’m already working two jobs. One more rent increase and my family, my one-year-old baby, we’re facing homelessness and we’ve got nowhere to go. My family has already been forced out of Sydney for the same reasons”.

“I want to know is the government going to cut immigration to match housing availability or are we just going to keep going until every regular working Australian is homeless?”

The answers from the panel were pure gaslighting:

Federal health minister Mark Butler claimed:

  • The government has “been working very hard to get migration levels, immigration levels down to something we think the country can manage”, even though Labor deliberately ramped immigration to record levels following the 2022 Jobs & Skills Summit.
  • “Migration has been an important part of keeping our economy going. We also have a very tight labour market with lots of skill shortages”.
  • “We need more houses, we just need to get building more houses”.

Former NSW Treasurer turned climate change alarmist and propagandist, Matt Kean, claimed:

  • The issue was “more complex” than immigration, and a lack of supply was blamed instead.
  • “The reality is that we need more housing supply. More supply into the system means more availability for renters, for homeowners – more choice”.
  • “There’s way too much red tape and green tape that is stopping housing developments whether it’s Sydney, Melbourne or right across Australia”.
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Windbag journalist Joe Hildebrand claimed that we need migrants to build homes for migrants. Even though very few migrants work in construction. Therefore, immigration adds much more to housing demand than supply.

Migrants working in construction

The blunt reality is that the federal government has imported massive numbers of people into Australia without considering how they would be housed.

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The Treasury’s Centre for Population projects that the nation’s population will balloon by 4.1 million over the coming decade, with the major cities receiving most of the growth.

Capital city forecasts
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The Treasury’s latest Intergenerational Report also projected that Australia’s population would balloon by around 13 million over the next 38 years to 40.5 million, driven by endless mass immigration.

Australian net overseas migration

Such massive population growth will require huge volumes of housing, infrastructure, water, energy, and services and will strain Australia’s natural environment immensely.

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Australia’s renters will be hurt the most.

About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.