Australian renters require an annual income of at least $130,000 to afford an average rental unit, with many individuals earning six-figure incomes experiencing housing costs that exceed 30% of their income in major cities and various regional areas. According to the 2025 Priced Out report by the housing advocacy group Everybody’s Home, a single person needs to earn a minimum of $130,000 per year to comfortably cover the median weekly rent for a unit, which is currently $566.

With the average salary in Australia standing at approximately $98,000 per annum, and the median salary at about $72,592, there is an extension of rental stress across different income brackets. The report examined rental affordability for Australians earning between $40,000 and $130,000 yearly, revealing that rental stress, defined as individuals spending over 30% of their income on rent, has now surpassed low-income earners and is affecting a broader demographic.

In order to avoid rental stress in capital cities, a salary well over $130,000 is necessary, as cities such as Sydney and the Gold Coast rank among the most expensive rental markets in the country. Individuals earning $70,000 a year would need to allocate over half of their income (52%) towards renting a unit at the national median rental price. Those with an income of $100,000, which is higher than the national median income, are also experiencing difficulties, as they spend 38% of their earnings on rent.

Maiy Azize, a spokesperson for Everybody’s Home, highlighted the struggle individuals with a $100,000 salary face, labeling those who earn this amount as having “secure incomes that are now at risk due to exorbitant rental prices in both urban and regional areas.” For those with lower incomes, the situation is especially dire, with some individuals earning $40,000 annually facing rental costs that could exceed 119% of their income.

In response to these issues, Everybody’s Home advocates for an increase in social housing and the abolition of tax benefits for investors, such as negative gearing and capital gains tax discounts. Azize stated, “It is inequitable to spend billions subsidizing investors and increasing costs when individuals with low and middle incomes are left struggling to afford housing.”

Source: https://www.theguardian.com/australia-news/2025/mar/18/staggeringly-high-australian-renters-need-130k-income-to-afford-average-property-report-shows