As the rental market pressures intensify across Australia, Suburbtrends has unveiled a pioneering solution dubbed “rentirement.”
This strategy encourages Australians aged 67 to 77 to release their homes into the rental market while they travel or retire overseas, potentially unlocking a significant number of properties to alleviate housing shortages.
Suburbtrends’ founder, Kent Lardner, highlighted the potential of this initiative.
“Our data shows that over 137,000 homes could be released into the rental market if just 10% of the Rentirees cohort participated,” Lardner said. “This represents a substantial untapped resource that could drastically ease rental pressures.”
He stressed the need for swift and innovative solutions, pointing out that traditional methods to increase housing supply are falling short of meeting current demands.
The rentirement concept includes attractive incentives for participants, such as a five-year moratorium on the loss of the primary residence benefit, which would allow retirees to live overseas without forfeiting their pension benefits.
Southeast Asia is identified as a favourable destination due to its lower cost of living.
“Our rentirement concept is a win-win for all parties involved,” Lardner said. “Rentirees can enjoy a higher quality of life at a fraction of the cost, renters gain access to more housing, and the government can alleviate pressure on the housing market without significant expenditure.”
With just 10% participation from the targeted age group, rentirement could immediately stabilise rental prices and reduce vacancy rates, offering relief to renters nationwide.
Suburbtrends is actively advocating for policymakers to adopt this innovative approach, which promises to benefit retirees, renters, and the broader economy alike.
“We believe rentirement offers a practical and timely solution to Australia's rental crisis,” Lardner said. "It's time to think outside the box and explore every avenue to ensure a stable, affordable housing market for all Australians.”
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