TU releases new Rent Tracker, highlights insecure renting
Published on Tue, 24/10/2017 - 15:32
The Tenant's Union has released the latest version of Rent Tracker. Alongside movements in rent prices, in this issue we've also established a new measure of the level of insecurity in renting – the percentage of churn of rental bonds.
We found that only one in every eight bonds lodged with the bond board represents additional tenancies or an actual increase in supply. The rest are most likely people moving around within the private rental sector.
Highlighting the insecurity of renting, 1 in every 3 bonds held by the Rental Bond Board at the beginning of 2016-17 year were churned over the following year - 271,000 bonds representing 400,000 people, dwarfing the additional 37,300 bonds which were added to the total over the period.
This research has implications for supply-side solutions to renting affordability because the potential impact of any new supply on prices is lessened where there are so many people almost perpetually house hunting.