What is Affordable Housing?
In Australia, Affordable Housing is managed by charities and community housing providers such as Home in Place.
Affordable Housing is offered at a rebated rent to low income workers, who would otherwise experience housing stress in the private rental market.
Rents in Affordable Housing properties are capped at between 75% and 80% of the assessed market rate for the property in question.
With social housing now almost exclusively reserved for the most vulnerable members of society, affordable housing products have emerged as an alternative for low income workers. The transitional aspect of affordable housing encourages tenants to pursue real property ownership while paying reasonable rent in their present circumstances. This has delivered terrific outcomes, with tenants obtaining private home ownership through this program.
Affordable housing represents approximately 11% of the total Home in Place housing portfolio and is funded by federal and state governments under various programs including the:
- National Rental Affordability Scheme
- Building Better Cities
- Debt Equity Funding
- Social Housing Growth Fund
- NSW Government’s Social and Affordable Housing Fund
The portfolio receives additional funding directly from Home in Place through debt finance and leveraging from our asset portfolio.