Canberra and Sydney are the most expensive cities for renters with the median unit price coming in at $550 per week, followed by Darwin ($520 per week), Brisbane ($465 per week), and Hobart ($462.50 per week).
Rents are at a record high across Australia, report finds
Analysts say open borders and increased migration have driven demand for real estate – and increases in rental prices.
The rental agreement states whether the rent will be paid weekly, fortnightly, calendar monthly or at another agreed time. Once a rental agreement has started, rent is due on the agreed date by the agreed payment method.
The average U.S. renter now spends 30% of their income on rent, a new all-time high.
The average yearly salary in Australia is 90,800 AUD (USD 60,355). Let's go through a few key indicators of the average earnings in Australia so you can fully understand salary statistics and trends in the country.
It's cheaper to rent than buy a house in 90% of Australian suburbs.
Canberra remains Australia's most expensive capital city in which to rent a house at a median cost of $690 per week, ahead of Sydney on $660, according to the Domain Rent Report March 2023 Quarter released today.
Perth has taken the crown from Adelaide as most affordable capital in Australia. Image: Canva. A new report has officially declared Perth as the most affordable capital city in Australia.
Many renters like to rely on the 30% rule, which means a maximum of 30% of your income goes to rent. An ideal amount is about 20%, but 25% is also a good target to aim for. However, this isn't always feasible on a low income, as average rents in your chosen area may well be above 30% of what you're earning.
While there's no consensus on what rents will do exactly in 2023 — go up a little, go down a little, or stay flat, according to three forecasts — what's clear is they are expected to return to more normal growth patterns, instead of the unsustainable, record rates seen in 2021 and 2022.
Two years into the pandemic, Australian's housing preferences' have shifted to regional areas as they seek affordability and a beachside or nature-bound lifestyle. This has made the search for a rental a lot easier in some parts of inner Sydney and Melbourne.
Meanwhile, collaborative database Expatistan estimates the current cost of living in Australia is roughly $3,803 per month for a single person or $7,064 per month for a family of four, just for the bare essentials.
But how expensive is it? Australia currently has the 12th highest cost of living in the world, with the USA and UK well behind at 21 and 23rd place respectively. The overall cost of living in Australia is 9% higher than the USA, but 10% cheaper than London.
It doesn't stop at affordability though. The report's authors said Australia was one of the hardest places in the developed world to be a renter. The biggest problem, they said, was insecurity: long-term leases are rare, and renters live with constant uncertainty about whether they'll have to move.
Between the 2016 census and this census in 2021, the share of Australians owning their homes remained steady at about 66%. The proportion renting also changed little, climbing from 30% to 30.6%.
Investing in property can be a good way to build wealth – but there are several factors you need to consider. The potential tax benefits and wealth generation make real estate an attractive investment option for many Australians, but it is not without any drawbacks.
$40/hour works out at around $79,000/year before tax and is at the low end of average earnings. If you're single (or don't have a working partner) and don't live in Sydney or Melbourne, you will manage but you won't be living the high life.
From 1 July 2022 you may be eligible for the low income tax offset only, if you earn up to $66,667. Between 2018–19 and 2021–22, you may have been eligible to receive one or both of the: low income tax offset – if you earn up to $66,667.
Almost 2.75 million Australians will receive a pay rise of 5.75% from 1 July after the Fair Work Commission announced its decision for those on minimum and award wages. The annual wage review decision, released on Friday, indicates the minimum wages will increase to $882.80 per week or $23.23 per hour.