New figures from the 2016 census reveals that nearly one in 10 homes in the Inner West are currently vacant, prompting calls for a crackdown on investors who leave their properties unoccupied.
A record 10,525 homes were left vacant in the Inner West, Canada Bay, Burwood, and Strathfield council areas on census night, an increase of 1,525 homes from 2011. An analysis conducted by The Courier shows these vacant properties could accommodate the 5,100 people in the region’s social housing waiting list - twice over, as average wait times now top 10 years.
According to experts, a number of factors are exacerbating this phenomenon, including laws that encourage investors to keep their properties empty, developers who’re waiting for rezoning approvals, and homes in transition between sales.
Laurence Troy, research fellow at the UNSW City Futures Research Centre, noted that “the driver in property investment [is] no longer rental income but capital gains”.
“Investors might keep a house untenanted because it’s easier to resell in future if they don’t need to wait for the end of a lease,” Troy said. “Some owners choose not to … rent it out when they can quickly sell and pocket the capital gains.”
Census data indicates that the Inner West Council had the highest number of empty homes (6,080), followed by Canada Bay (2,659), Strathfield (915), and Burwood (883).
The Inner West Council has launched an investigation into these figures, following a motion by former councilor John Stamolis. “We need to find out why vacancies are increasing before charging headlong into building more units,” he said.
The NSW Federation of Housing Associations (NSWFHA) has proposed slamming long-term vacant properties with higher council rates.
“If you’re not using the home as a place for people to live ... in this crisis — it’s reasonable there’s an extra charge,” said Wendy Hayhurst, CEO of the NSW Federation of Housing Associations.
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