Will a national rent freeze fix Australia’s housing crisis? Depends on who you listen to | Cameron Murray - eviltoast

In the face of rapidly rising rents in Australia’s capitals, the Greens are calling for the federal government to work with states on a national rent freeze to protect tenants from the “bill shock” of sudden rental increase of 20%, 30%, or more when they renew their lease.

Yet the actions of landlord and property lobby groups against any such change to tenancy laws would have you thinking that limiting the rate of rent increases amounts to “bombing a city” as economist Assar Lindbeck described rent controls back in 1971. Supply will dry up. Landlords will sell. Houses will disappear.

In fact, some economists have gone so far as to say that rent controls will backfire and raise housing rents and prices in the future.