Everyone deserves access to safe and affordable housing. In an increasingly challenging private rental market, it’s important to be aware of the support you are able to receive with regards to subsidised and affordable housing.
Watch a clip on affordable housing in Australia below
FACS defines affordable housing as accommodation that meets the needs of people on very low to moderate incomes – priced in a way that they are able to afford other basic living costs such as food and clothing.
In New South Wales and many other states, affordable housing is typically managed by not-for-profit community housing providers or private organisations. The funding of many affordable housing properties has been under the National Rental Affordability Scheme, a program which aims to reduce rental costs for low to medium income households and increase the number of more affordable rental houses.
The NRAS household income limits are a good general guide to whether you are eligible for affordable housing. Other factors which may affect eligibility include whether you are a citizen or permanent resident of Australia, whether or not you’d be reasonably able to secure adequate housing in the private, and whether you can show you’re able to maintain successful tenancy.
So how much am I going to have to pay?
According to FACS, there are two ways in which the amount of rent you will be required to pay is set.
The first is as a discount of current market rent, usually around 20-25% below market rent. “Where amount is set this way, the amount you pay will depend on the market rent for a similar property in the same area”.
The second way is setting rent as proportionate to a household’s income before tax – with households being charged between 25-30% of their income before tax for rent.
Typically, affordable housing tenants are required to enter a fixed term lease, and you will need to remain eligible for subsidised housing the whole time you are under that agreement. While still eligible for affordable housing, the lease can usually be renewed and continued.
For more information and support, check out Housing Choices Australia here.
