The warning about the rental crisis is clear – if you’re renting, you need to prepare now for the future. As the data on new apartment approvals plunges to its lowest levels in decades, it’s evident that the supply of rental housing is not keeping up with current demand.
Urban Development Institute of Australia national president Max Shifman warned that the decline in new approvals will only cause rental prices to continue to grow. The only solution, he believes, is for state governments to simplify planning approvals, reduce any unnecessary local politics, and streamline time frames.
This will help to improve certainty for the development sector, which is vital to building the housing people need. Additionally, alertness surrounding this problem is especially important when it comes to rental stress corridors. These areas have been identified as needing investment to battle the rental crisis and include electorates such as Greenway and Werriwa in western Sydney, Blair in regional Queensland, Lalor and Hawke in outer Melbourne.
Experts are predicting that the rental supply situation will only worsen before it gets better. In combination with record-low multi-residential housing approvals, this news adds to the requirement to plan strategically for the future.
Director of RedBridge Group Australia Kos Samaras advised renters to think wisely about where they want to live and work long-term in order to cope with the eventual lack of rental options. It’s already difficult for some Australians to rent, but the situation will only worsen as apartment approvals data continues to plunge to its lowest levels in decades.
State governments must act now to streamline the planning process and incentivise developers to invest their time and money into increasing the rental housing supply. Renters should also take this warning on board and plan ahead for when the lack of rental options becomes even more apparent in 2026.