By JOHN VAN KLAVEREN
A SHORTAGE of private rental properties in Geelong for low-income earners has raised “an absolute red flag”, according to a peak human services organisation.
Victorian Council of Social Service chief Emma King said the shortage of cheap accommodation was making more people homelessness.
The Independent reported two weeks ago that home repossessions were up 50 per cent in Geelong’s northern suburbs despite historically low interest rates.
Ms King said increased mortgage stress exacerbated the risk of homelessness in the region.
“One service provider, the Salvos in Geelong, has seen 1200 people across the south west with over 900 turn-aways,” Ms King said.
“Currently they know of 27 women and 56 children homeless in the Geelong region.
“Services are saying it’s increasingly common to hear stories of people sleeping on floors, living in tents in back yards, in caravans and sleeping in cars.”
Ms King said Geelong’s problem was different to metropolitan areas where tenants faced higher rates of evictions.
“Low-income tenants can’t even find the accommodation in Geelong or have to go further out to find low-cost rentals.
“This critical (shortage) … is getting worse and pushing more people into housing stress and at risk of homelessness.
“This has been exacerbated since the start of the year due to changes to the Single Parent Payment, which saw large numbers of single parents pushed onto the much-lower Newstart Allowance. This is a growing problem for young people, single mothers and unemployed people.”
Ms King said rising unemployment and businesses scaling back or closing in Geelong worsened the problem.
She said the region’s demographics were working against an increase in affordable rental housing.
“The normal turnover of houses is not coming onto the lower end of the rental market. It’s a retirement area with lots of downsizers and Melbourne buyers are taking up low-cost rental stock.”
