National rental prices consume half of average Australian income, report finds

Renting an apartment in Australia now consumes over half of a single worker's median income in every capital city, according to a new report. The "2026 Priced Out" report by housing advocacy group Everybody's Home reveals that the average apartment nationally costs $614 per week. This figure represents 56% of the take-home pay for someone earning $70,000, which is close to Australia's median income of $74,100.

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crisis that continues to get worse for the country's renters

Everybody's Home spokesperson Maiy Azize described the situation as a "crisis that continues to get worse for the country's renters." She highlighted that individuals earning high incomes are still spending more than a third of their salary on rent. Even those earning $130,000 annually find themselves exceeding this threshold in some areas. "If you are earning an average income between $70,000 and $80,000 and living in a capital city, you are spending two-thirds of your income to afford the average rent," Azize stated, emphasizing that renters nationwide are experiencing significant financial strain.

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We now see people earning really high incomes are still spending more than a third of their income on rent. If you are earning $130,000 a year, you are still spending more than a third on rent.

The report identified the northern Gold Coast and Sydney as the most expensive rental markets, followed by the Sunshine Coast and Perth. While Sydney has long been a focal point of the crisis, Perth has emerged as the most expensive capital city this year. The Gold Coast has seen consistent annual increases in rental costs, making it difficult to afford even with an income of $130,000, suggesting that only couples or multi-income families can manage the rent there.

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If you are earning an average income between $70,000 and $80,000 and living in a capital city, you are spending two-thirds of your income to afford the average rent. "We are seeing across the board renters can't avoid rental stress anywhere in the country, which is dire."

Azize criticized government predictions that recent housing policy changes would only result in a $2 weekly rent increase, stating that renters experience annual surges of around 10%. However, she welcomed changes to negative gearing and capital gains tax, calling them positive steps toward a fairer housing system, particularly for renters aiming to save for a home purchase. Despite these positive policy shifts, the report's findings underscore the ongoing severity of the rental affordability crisis across Australia.

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For a long time Sydney was ground zero for the crisis and it is still really bad news, shocking if you are a renter in Sydney. This year one of the most expensive – the most expensive capital city in the country is Perth and WA across the board has some really dire results.