Australia’s rental crisis: Is immigration really driving rents up?

Matt Grudnoff attributes Australia’s rental crisis to inflation and economic pressures, not migration, as rental growth slows down

Australia Institute economist Matt Grudnoff has rejected claims that migration is a major cause of Australia’s rental crisis, arguing the pressure on households is being driven by broader economic conditions.

Grudnoff points to inflation, high energy costs and wider financial pressures as key factors affecting household budgets and the housing market.

He also says rental price growth has already slowed, suggesting there is limited evidence of rents continuing to rise at the rapid pace seen in recent years.

His comments come amid ongoing debate over the role of migration in Australia’s housing affordability crisis, with policymakers and economists divided over the factors driving rental demand and supply.