The average household in Australia spends $2,000 a year on rent, and renters are a prime target for low-income Australians.
But it’s not just the cost of renting that is a concern.
According to a recent survey, more than 70 per cent of renters were not happy with their rental agreements, and only 23 per cent thought they could get a decent deal.
The main issue is affordability, and it’s a problem that’s only getting worse.
Low-income renters are being hit the hardest: the survey also found that 36 per cent said they were being forced to take on extra debt to pay for their new rental, and that they are less likely to buy a house.
There’s also the issue of the landlords.
In a recent report by the National Low Income Housing Council, the number of landlords seeking to evict renters doubled in just a year, and the number seeking to renew a lease increased by 50 per cent.
And the rent can be a struggle to manage.
For many renters, getting into a new property means paying up front.
They often have to negotiate rent hikes that are more than the minimum they’re able to afford, which can leave them in a bind.
This is where affordable renters insurance comes in.
These insurance policies provide renters with affordable rent and a deposit, and give them the opportunity to refinance their lease.
But in order to qualify, renters need to have income below $100,000.
If the policy is successful, the rental will cover the full rent and mortgage payments up front, as well as the insurance and mortgage insurance.
If you’re looking to buy an apartment or buy a property, the insurance policy will also help you make the investment.
If your income falls below the threshold, the policy will cover up to 25 per cent, but it’s important to note that this is only the first step.
You’ll need to pay any other outgoings, such as the mortgage, rent, maintenance, utility and insurance, as required by the policy.
This can be quite a bit, and some people will find it hard to come up with the cash.
However, if you’re not sure what your income is, you can find out more on the Low Income Home Buyer’s Insurance website.
Read more about affordable renters policy.
What’s affordable renters?
This policy covers a large range of renters, with a minimum monthly payment of $400.
It’s not a universal policy, as some renters may be able to qualify for more, but affordable renters are the most likely to find a suitable rental.
For example, if a low-earning parent has a $500 deposit and a monthly income of $150, this policy would cover up the rest of the deposit and mortgage.
This policy also covers people who live with a partner, and who are looking for a safe and affordable place to live.
If there’s a gap in the minimum payment, the parents will have to pay an additional $200 for the first two months.
The policy will automatically deduct the rest, and will cover any costs that need to be covered up front in the first few months.
Read the Low income home buyer’s insurance guide for more information.
How to buy affordable renters’ insurance?
This will only cover the first three months of the policy, so if you want to buy it before that, it’ll be important to do so.
You can find more information on the insurance provider’s website, but here are some important things to keep in mind: You should be able take out the policy at the same time you buy the home