Private Rental Housing: Market Roles, Taxation and Regulation

Abstract

Around one in every four Australians rent their home from a private landlord. The past two decades have seen strong growth in the private rental sector and a rising incidence of long-term (perhaps perpetual) renting, especially among younger and less affluent Australians. This chapter first describes the structure and institutions of Australia’s rental market, the private rental dwelling stock, and the sector’s residents. Tax and other policy settings affecting the form and level of private rental property investment are then explained. The focus then shifts to regulatory policy affecting the consumer experience of private rental and forms of government financial support to low-income renters. In view of the sector’s evolving significance, options for reform of present tax and regulatory policy settings are debated throughout.