The Student Accommodation Council said overseas students occupied just 4 percent of the private rental market, in data presented to a Senate inquiry on Aug. 26.
This equated to about 120,000 rental properties, and nearly 500,000 rooms across the country.
“Blaming international students for the housing crisis is not only unfounded but also unfair, as it misrepresents the true cause of the issue and risks damaging their perception in the public eye,” said Anu Dowling, CEO of Skate Australia Management and chair of the Student Accommodation Council.
She pointed to findings from the report, “Myth Busting Report,” commissioned by the Council, which provided the 4 percent figure.
Many of the locations were also close to the Group of Eight universities in cities like Melbourne, Sydney, Brisbane, and Adelaide.
“These students typically reside in single dwellings or shared apartments, not in suburban homes meant for families. Therefore, blaming international students for the housing crisis is not only unfounded but also unfair,” she said.
She further told the Senate inquiry that instead of focusing solely on demand, the government should prioritise increasing housing supply, as international students contribute significantly to the broader economy through spending.
Her evidence was presented to the Senate Education and Employment Legislation Committee and the impact of the Education Services for Overseas Students Amendment (Quality and Integrity) Bill 2024, which proposes to cap international student numbers.
In his budget speech, Labor Treasurer Jim Chalmers said an increase in international student enrolments has grown without being matched by the rise in student housing supply.
“This puts pressure on prices and rents, especially in our cities and suburbs. It makes finding housing harder for everyone,” he told Parliament.
Meanwhile, the hearing also heard from Council members that local interest to host students was at an all-time high in 2024.
“Properly managed, hosted accommodation not only fosters greater assimilation for international students but also promotes diversity and multiculturalism. We believe that this solution will gain broad support from the community, government, and industry,” they said.
David Bycroft, founder of the Australian Homestead Network—which claims to have over 100,000 international students in homestays across the country—said demand from international students added pressure on the domestic rental market, particularly in Sydney and Melbourne.
Bycroft, however, argued the solution did not lie with cutting student numbers, but by constructing “more purpose-built student accommodation as a long-term solution.”
He noted that the lead time for such projects is considerable, and in the interim, a more immediate solution is needed.
He suggested that using the estimated 13 million spare rooms in current Australian homes could be a viable short-term fix that could relieve pressure on the rental market.
