Rental affordability hits people on six-figure salaries, according to new research by Everybody’s Home

Landlords have again been warned that tenants have hit their affordability peak as a new report claims people earning $100,000 a year are struggling to pay the rent. While renters on six-figure incomes were very comfortable only years ago, these days they would feel the pinch from disproportionately high rents, with 43 per cent required to pay the rent on a Perth unit. According to new research by a group called Everybody’s Home, those on a $100,000 annual wage, with a take-home pay of $1484, would have to pay 43 per cent of their income for the rent on a $638 per week unit, leaving them $846 to cover all other weekly expenses. Everybody’s Home spokesperson Maiy Azize said the report exposed the alarming shift in the housing market, with rent no longer a struggle for low-income families alone. “Rental stress is no longer confined to those on lower incomes — it’s affecting professionals, essential workers and middle-income families who simply can’t keep up with soaring rents,” she said. “This crisis is stopping people from being able to live and work in their communities, leading people to delay major life choices, and threatening social cohesion. “A $100,000 salary used to be considered a secure income, but our research shows people on this wage are struggling in both cities and regional areas because rents are so staggeringly high.” The Priced Out report shows the average income earner on $80,000 a year would pay more than half their income, or 52 per cent, for rent on a unit in Perth. You would have to be a high income earner on $130,000 to comfortably afford a unit, which would cost 34 per cent of a $130,000 annual income. Someone on $40,000 would have to pay 93 per cent of their income for a unit, leaving them only $50 a week to spare. The national report shows affordability is lowest in the north of WA, including the Kimberley and Pilbara, where 55 per cent of a $100,000 salary is required for rent. This is followed by the Gold Coast (54 per cent) and Sydney (48 per cent). Perth comes in fifth on the national ladder, with the South West of WA at number 11 on the tally board.