A new report has revealed that capping international student visas would lead to only a 0.8% reduction in metropolitan rent prices – approximately $5 a week – indicating minimal relief for renters, Property Council reported.
International students currently comprise about 6% of the rental market, and limiting their numbers would only reduce this share by 0.6%.
Research by Mandala for the Student Accommodation Council indicated that projected visa restrictions would lower international students’ rental market presence from 5.4% to 4.8% by 2026, a shift unlikely to meaningfully impact rental availability.
According to the report, the average weekly metropolitan rent would only decrease by about $5, a change that may not affect family-dense suburban areas.
In Victoria, international students make up 7% of renters, the highest percentage nationwide, with New South Wales and Western Australia following closely at 6%.
Since 2015, the growth in purpose-built student accommodation (PBSA) has kept pace with the increase in international students.
Torie Brown (pictured above), executive director of the Student Accommodation Council, argued that “student visa caps will have a very real economic impact, but have very little impact on rental availability.”
Brown emphasised the need for increased housing supply over restrictive caps.
Brown also calls on the government to expand PBSA to absorb more students, helping to free up general housing.
“Instead of unfairly blaming international students for the rental crisis, governments at all levels need to work together to expedite and accelerate student-only housing,” she said, adding that an estimated 8,000 PBSA beds were available this year alone.
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