A new report has revealed how Airbnb rentals can be used to pay rent in the state.
The report, published by the Melbourne Chamber of Commerce and Industry (MCIC) and the Greater Melbourne Council, found that the average rent paid by renters is $5,700 per year, but that this does not account for the cost of utilities such as water and electricity.
It found that of the 12 per cent of renters in Melbourne who have rented for longer than a year, 30 per cent pay their own electricity costs, which can range from $1,000 to $10,000.
The average monthly rent for the majority of renters was $8,000, but the average cost of rent for a two-bedroom apartment in Melbourne was $1.8 million, which was higher than the average of $1 million paid by the average renter in the Sydney CBD.
The study also found that most rental properties had electricity, water, and sewerage systems.
It’s understood that the report was commissioned by the MCIC and the council to determine the viability of a “bargain house” model in Melbourne.
The MCIC said the report shows that Melbourne is an “extraordinary” city where people need to rent to survive.
“Rent is a key component of the economic and social wellbeing of Melbourne,” the MCIIC said.
“It is a common sight to see Melbourne’s rental vacancy rates rising as new developments and residents arrive in the city.”
But the affordability of rent is a fundamental factor in maintaining affordability, and the research clearly shows that it is affordable to rent for many families and not just a few.
“We recognise that the supply and demand for rental properties is constantly changing, so we are continuing to monitor the affordability and supply of rental properties, and work to ensure they remain affordable to all renters.”
The MCIID also said there were “many more renters” in Melbourne than ever before.
“There are currently a total of over 14,000 renters in the Greater Manchester region, but this represents just 0.6 per cent, which is still far lower than the national average of 6.1 per cent,” it said.
In NSW, the report found that only one in five renters had access to a credit or debit card, and only 11 per cent had a mobile phone.