Vulnerable residents struggling with Canberra’s high cost of housing
Like many cities, Canberra is grappling with the stubbornly high cost of housing. Many of the factors behind that are outside the control of the ACT government. What it can control is the types of properties added to Canberra's supply to cater for our growing population.
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00:00More and more Canberrans are living like Aaron Cheer.
00:14The 29-year-old bought this one-bedroom apartment in Braddon last year.
00:19I was just looking for a place that was quite central to the city because I don't really
00:25like to commute very much.
00:26I quite like having a low-maintenance area to live in and it feels a bit more secure
00:32to me, having a bit more of a communal feel to it.
00:35This part of the city has been ground zero for medium and high-rise development, especially
00:40in the years since the light rail began running.
00:44For Aaron, home ownership has been reasonably affordable, something he fears would have
00:49been different without more units on offer.
00:52I'm not sure if I would have been prepared for it or if I would be able to work in other
00:58opportunities because I'd have to chase a higher salary.
01:02It's not surprising someone like Aaron has taken well to high-density living.
01:07Experts like Dr Melissa Miminovich say one cohort dominates the capital's apartment blocks.
01:15It's young adults starting into their professional lives, they're either living alone or they're
01:24living with their partners.
01:26It's really sad to see that we're not offering a lot more diverse apartments for different
01:33age groups and different people.
01:36The ACT's population is expected to crack half a million within the next term of government
01:41and three quarters of a million by 2060.
01:45To meet this growth, some in the Assembly are pushing for more densification while others
01:50want to speed up land releases on the city's outskirts.
01:54But whichever vision the next government pursues, it might come too late for people already
01:59struggling to keep up.
02:02Father of two Steve Herbert refinanced his mortgage on this house in Richardson when
02:08he and his wife separated.
02:10His fixed rate period ended last December when he fell off the so-called mortgage cliff.
02:17His monthly repayment has gone up more than $1,000.
02:21Income comes in, you pay your expenses and then you wait for your next pay packet.
02:26So effectively it's basically evaporated my disposable income.
02:31Steve considered downsizing, at least temporarily, but it would have almost certainly meant leaving
02:37the area.
02:39So he cut costs in other ways like going without health insurance and picking up extra work.
02:45To be able to stay in this property for myself and for the kids, this is their community
02:49and their friends are nearby, their school's nearby.
02:53So at the moment we've found a way to manage.
02:55Steve considers himself lucky.
02:57The community sector is warning vulnerable Canberrans have almost never done it tougher.
03:03You now need a six-figure income in this town if you want to rent a detached house
03:09with a front and back yard and not be in rental stress.
03:14That breaks the academic definition of housing stress.
03:17Travis Gilbert says better planning and more urban density is essential to building the
03:22right homes for low-income households.
03:25Inclusionary zoning has delivered upwards of 30% of affordable and social housing properties
03:31in the inner boroughs of London.
03:33If London can do it, hopefully Canberra could do it.
03:38Planning for a future where every Canberran can afford a place to call home.