Regional Queensland has the most unaffordable rental market of the regions nationally, with even average earners being pushed into rental stress, paying more than 30 per cent of their income in rent, according to new data.
The annual Rental Affordability Index (RAI) report reveals median rent in the regions is now soaring above Brisbane, despite those areas typically having lower household incomes.
Affordability is worst along the south-east coast, where the Gold Coast, Sunshine Coast and surrounding areas are classed as Unaffordable to Severely Unaffordable.
The Sunshine Coast is one of the least affordable regions in Queensland. (Getty)
A single pensioner living in regional Queensland would be required to pay 61 per cent of their income in rent, the report showed.
The situation is even more dire for single working parents, single people living on welfare and even full-time workers on minimum wage.
Perth, Sydney and regional New South Wales are also among the least affordable parts of the country.
While rents are stabilising in some cities, they are still considered unaffordable, with the exception of Canberra.
Ellen Witte, Principal and Partner at SGS Economics and Planning and the lead author of the report, said rental prices are only stabilising in the cities because renters cannot absorb any further rent increases.
“We have finally seen affordability stabilise in many places after rapid declines to record low levels since 2021,” she said.
“The stabilisation may have less to do with relief and more to do with renters reaching their limit and being unable to pay more, combined with some easing of housing supply constraints.”
Robert Pradolin, Founder and Executive Director of Housing All Australians warned key workers across the country are being priced out of living close to their jobs, putting community services under strain.
“Housing that people can afford is critical economic infrastructure, and without it, our national prosperity and productivity are being held back,” Pradolin said.