University Housing Crisis: Sky-High Rents!

Key Highlights:

• International students in Melbourne pay up to $500 a week for shared apartments.
• Plans to limit international student numbers and require universities to build more housing.
• Calls for increased transparency in university housing costs and improvements in living conditions.

Newly arrived international students in Melbourne are often faced with spending $500 a week for a room in a four-bedroom shared apartment if they choose student housing. While international students have been blamed for the student housing crisis, new research reveals they only account for 4% of the market.

As per the student housing news, the Australian government plans to limit the number of international students next year to promote sustainable sector growth and alleviate housing demand. Universities wishing to exceed these caps will be required to provide new purpose-built accommodation. However, international students in Melbourne argue that building more student accommodation won’t significantly ease the student housing crisis and pressure, citing concerns over price and quality.

May Zhang, a teacher and recent University of Melbourne graduate, lived in university accommodation until last year, paying $500 per week for a small studio room during the COVID-19 pandemic. “My parents thought living on campus was better for safety concerns,” she said. Despite cultural activities and parties, she didn’t see many local students living there. “It was basically all international students,” Zhang noted.

Rent for the same types of studios has now increased to $592 per week, including utilities and Wi-Fi, according to the University of Melbourne’s website. A room in a four-bedroom, four-bathroom apartment in the same building costs between $493 and $503. By comparison, the median rental price for a one-bedroom apartment in the nearby suburb of Parkville is $420, according to realestate.com.

Some universities offer ‘college’ style accommodation, including meals, but at a higher price. Zhang believes the new requirement for universities to provide more accommodation will be really big trouble.” She said, “Even if the university manages to provide accommodation to the students – students may not be able to afford it. Asking the universities to solve the student housing crisis may not be a good idea. Being able to choose where to live is best for the students.” 

A University of Melbourne spokesperson stated they ‘continue to welcome international students warmly’ but didn’t explain the high cost of student housing compared to other rentals. The spokesperson expressed concerns about the proposed cap on international students in Melbourne. In addition to university-provided accommodation, commercial companies like Yugo also offer student accommodation. Patricia Marcella, an Indonesian student at the University of Adelaide, lived in a Yugo property in Adelaide’s CBD for two years. Her rent initially was $250 a week, which increased to $270 and then to $350 a week. “The new price was insane, so she moved out and now lives with friends.”

Despite their prime locations, Marcella said student apartments are not worth the cost due to issues like poor air circulation and lack of cleaning. “Students often had to pay to get things fixed,” she added. Yugo declined to comment on these complaints, highlighted the student housing news.

Evan Zhang, another international student, lived in commercial student housing in Melbourne for two years. “It’s convenient, but I would only recommend it to someone who can’t be bothered house-hunting,” she said, noting that most international students she knew eventually moved out due to high costs.

Zhang’s university accommodation was about the same price as her current shared apartment but was only 7 square metres with little natural lighting. Yeganeh Soltanpur, President of the Council of International Students Australia, expressed concerns over the expense and quality of student housing. “Universities need to increase transparency around costs and how the fees being paid by the students are being spent,” Soltanpur said. “Students should know what they are paying for and see tangible improvements in their living conditions.”

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