Secure occupancy in rental housing: a comparative analysis

Summary

More Australians are renting for longer periods but their ability to create a home is constrained by cultural norms, housing market conditions and policy and legal settings that discourage secure occupancy. A comparison with rental systems in other countries suggests ways that this issue could be addressed in Australia.


Project Number: 50565
Research Theme: Private_rental, Social_wellbeing
Project Leader: Hulse, Kath
Funding Year: 2009
Research Centre: Swinburne-Monash

Description

This project sought to review and assess international models for providing periods of secure occupancy for households who rent their housing, in particular lower-income and vulnerable households.

This research argues that secure occupancy refers to the capacity of households to:

  • participate effectively in rental markets;
  • access and remain in adequate, affordable and appropriate housing with protection of their rights as consumers and citizens;
  • receive financial and non-financial support from governments or other social service agencies if and when necessary to obtain and/or sustain a tenancy; and
  • exercise a degree of control over their housing circumstances and be able to make a home, to the extent that they wish to do this.

Australia appears to have the weakest provisions for secure occupancy in the private rental sector of any of the jurisdictions studied. Provisions for secure occupancy are stronger where rental systems are larger and more integrated, as in Germany, The Netherlands and Austria. In these countries, secure occupancy is supported by past and present policy, including supply subsidies, housing allowances, and strong regulation of residential tenancies.

Policy could foster a more integrated rental sector with a range of investment, ownership and management options that promote more choice and stability for households who rely on renting:

  • More stable and long-term tenancy for rental housing could be achieved by encouraging greater private investment in the social rental sector (as in Austria and The Netherlands).
  • Some changes to regulation could be considered to improve secure occupancy for tenants, including initial tenancy provisions that can convert into longer term tenancies if successful (as in Ireland and Flanders).
  • The option of enhancing Rent Assistance, as identified in the Henry Review, could also be considered to assist vulnerable households to access rental housing and sustain their tenancies. For best effect, this would link the provision of additional rent subsidy to achieving more secure tenancies for low income households.

More Information

Download now Final Report: No. 170: Secure occupancy in rental housing: conceptual foundations and comparative perspectives
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