The latest figures on Sydney’s rental affordability are in, and we’ll be honest, you can probably guess where this article is going.
Sydney’s average renter is now on the precipice of “rental stress,” or the point where a full 30% of household income goes towards rent, according to the latest numbers from the Rental Affordability Index (RAI). That’s a record, by the way. A horrific record.
The numbers get worse, too: 91% of postcodes within Sydney were deemed unaffordable to median income households in 2016, up from a mere 74% five years prior. A map provided by the SGS Economics and Planning, creators of the RAI, further demonstrates how dire the situation is.
Assuming a combined household income of $90,000, the vast majority of suburbs anywhere near to Sydney proper are essentially off-limits for those seeking a three-bedroom home. Light orange zones are deemed “unaffordable”, darker orange zones are “severely unaffordable”, and you guessed it, red is “severely unaffordable.”
Basically everything else is the ocean, which seems like a much more financially-savvy option.
Let’s zoom out, shall we?
Those no-go zones now stretch far out into traditionally affordable regions, and even high-income households are being affected by rising rents.