ER Conference 2013 Housing Affordability the crisis facing Western Australians on low incomes Chris Twomey, Director Social Policy

Are we the Last Generation of the Australian Dream?

The Baby Boomers grew up in an Australia where the average working family could own their home. Generation X are on the cusp of rapid change in housing affordability. Home ownership is now mostly out of reach for Gen Y… Are we the Last Generation of the Australian Dream?

Between 1996 and 2011, the percentage of Australians who own their home outright fell from 60% to 46%* *Total owner occupied major city dwellings owned outright Home Ownership “The alarming drop in home ownership exposes many Australians to domestic and financial insecurity.” Australians for Affordable Housing

Source: NATSEM The Great Australian Dream? AMP Wealth Report 2011

Affordability in Perth 2001 vs 2011

Source: Dodson and Sipe, Griffith University Unsettling Suburbia: The New Landscape of Oil and Mortgage Vulnerability in Australian Cities

Source: ABS. Ratio of 3.47 people to house building approvals Social Infrastructure

WA population growth vs New dwellings completed ABS (2013) Australian Demographic Statistics, Sep 2012 ABS (2013) Building Activity, Australia, Dec 2012 Based on ABS Household Expenditure Survey * “New dwellings needed” calculated by dividing the population growth by WA average household size (2.5 people). [3] [3]

Overall Median Rent (Perth) vs Average Weekly Ordinary Time Earnings (WA) REIWA (2013) Historic Rental & Vacancy Data ABS (2013) Average Weekly Earnings

Overall Median Rent (Perth) vs WA State Minimum Wage REIWA (2013) Historic Rental & Vacancy Data. Department of Commerce, Western Australian Minimum Wage Rates ,

Average Weekly Ordinary Time Earning (AWOTE) Adults Employed Full-Time & State Minimum Wage 2012 AWOTE Min. Wage Pension NewStart

Growing Inequality – Gini coefficient WA

Comparative Inequality – Gini coefficient

Affordable rental accommodation available to working Western Australians Job Type Affordable rent per week (30% of income) Number properties available % of market available Number properties available % of market available 1 bedroom not sharing 1 bedroom in a share house/unit Pre-school teacher$ %511.4 % Qualified hairdresser$ %481.3 % Baker$1890- %361.0 % Shop assistant$1840- %361.0 % Cleaner$1730- %190.5 % Food processing worker$1700- %190.5 % Bricklayer, plasterer or carpenter $1921- %411.1 % Nursing assistant (1 year) $1820- %361.0 % Dental technician$1911- %411.1 % AnglicareWA (2013) Rental Affordability Snapshot

If you were a qualified hair dresser looking for a property to rent without being in housing (on 13 April 2013), there was only properties in that you could afford to rent (by yourself), the whole of Perth 2 stress! For more #rentalsnapshot Affordable Housing

shop assistant or baker looking for a property to rent without being in housing (on 13 April 2013), there were properties in Perth that you could afford to rent (by yourself), ZERO stress! For more #rentalsnapshot If you were a cleaner, Affordable Housing

Social Housing – Unmet Demand

- that the provision of safe, affordable and secure housing is a fundamental, first step in being able to address disadvantage and other areas of need being faced by many Western Australians. Community service organisations recognise the ‘housing first’  principle Affordable Housing

The Panel: Barry Doyle Community Housing Coalition of WA Chantal Roberts Shelter WA Genevieve Errey Department of Housing Anne Maroni Uniting Care West Shane Hamilton Community Housing Ltd Chris Twomey WACOSS