A new study from the University of South Australia has debunked claims that international students are driving Australia’s rental crisis.
The research, based on data from government departments and the Australian Bureau of Statistics, found no significant link between the number of international students and rising rental prices across major cities.
Lead Researcher Professor Michael Mu said the study, covering 2017 to 2024, found that there was no link between the rise in international students post-COVID and increased rental costs.
“There was no statistically significant correlation between international student numbers and rental costs in any of the capital cities we researched,” Mu said.
Who’s behind Australia’s rental and migration crisis?
As Australia grapples with the cost-of-living crisis, housing and immigration have become hot topics ahead of the upcoming federal election.
On the latest episode of The Briefing, Veteran Finance Journalist Alan Kohler argued that while critics have unfairly blamed international students for driving up rents, the real issue lies in a lack of housing supply.
“We need to build more houses to keep up with population growth,” he said.
“But if we don’t have the infrastructure in place, whether it’s roads, schools, or housing, immigration will always put pressure on the system,” he added.
Kohler pointed out that the government made it easier for foreign students to become permanent residents, which not only boosted the influx of international students but also contributed to the overall rise in immigration levels.
“The process of transitioning from a student visa to permanent residence became much more transparent and accessible.”
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