INDUSTRY NEWSNationalReal Estate News

Share house demand surges across the country

Rapidly rising rents and a lack of rental properties are forcing renters to return to share houses in a bid to save money and secure a place to live.

According to flatmates.com.au, 69,400 people joined the house-sharing platform in May, with demand having โ€œsignificantly increasedโ€, as the rental crisis worsens.

Demand for the platform was up 36.6 per cent from a record April and also 103 per cent higher than May 2022.

Around the country, WA had the two suburbs where demand for rooms was the highest.

East Perth saw an incredible 255 people seeking a room with just one available, followed by Northbridge which had 164 people looking for a single room.

In Sydneyโ€™s CBD, 133 people were trying to secure a room, however, there were none available. 

Cremorne, in Victoria, had 120 people hunting for a room, with none currently available, while Holland Park was the tightest location in Brisbane with 119 people seeking just one available room.

Source: Flatmates.com.au

Flatmates.com.au Community Manager Claudia Conley said there had been a significant increase in demand for share accommodation across Australia over the past six months. 

โ€œTraffic started to increase in October last year on flatmates.com.au and has not died down, even after our usual peak season ended at the end of February,โ€ Ms Conley said.

“Month after month, weโ€™re breaking new records on flatmates.com.au and in May, we welcomed almost 70,000 new members, the highest number of new monthly members on record.”

Ms Conley said the demographics of people using the platform are also shifting. 

โ€œWhile our core demographic is still members aged 25-34, members under the age of 35 have decreased 10 per cent in the past year and members aged 45-65 have increased 10 per cent,โ€ she said.

โ€œFor our younger demographic who have the option, many are choosing to stay at home for longer due to the rising cost-of-living. 

โ€œOur older demographic may be looking to rent out their spare room for extra cash as the cost-of-living bites.โ€

According to Ms Conley, an older demographic also look for shared housing for reasons other than financial. 

โ€œCompanionship, fighting loneliness, the safety of having someone around and someone to share household chores with are just some of the many benefits associated with shared living,โ€ she said.

โ€œHomeowners and empty nesters renting out their spare rooms could also help take some pressure off the rental crisis.”

Show More

Rowan Crosby

Rowan Crosby is a senior journalist at Elite Agent specialising in finance and real estate.