At MCM Housing, our goal is to set the rental costs for our properties at a level that ensures affordability for young people. We strive to strike a balance where the rent amount allows us to continue providing housing that remains within your means.
Before offering you a tenancy, we will determine the market rent for the property and ask you some questions about your financial situation. We use this information to set the rent, so you will know in advance how much you’ll be expected to pay.
You can choose to pay your rent every week or every two weeks. If you get paid once a month, we'll make sure your rent payment fits with your monthly income. We want to make it easier for you to manage your rent payments.
In community housing, there are different ways to determine the rent you pay. At MCM Housing, we choose to set the rent based on whichever is lower:
Additionally, when calculating the rent, we include any Commonwealth Rent Assistance you may be eligible for. This is a financial support program to assist with community housing rental costs. There is also an option to apply for a rental rebate, which is a sort of ‘discount’ off the market rent. If you want to know more about how to apply for a rental rebate, keep reading below for further information.
You can view our rent setting policy here.
If the market rent for the property is higher than 25 or 30% of your household income, we’ll use your income to determine the rent you need to pay. This means that we consider how much money your household earns and calculate the rent accordingly
Market rent refers to the amount of money that your home would typically rent for in the private rental market. Basically, it's the price that people not eligible for community housing would pay if they were to rent a similar home.
To find out the initial market rent for your home, you can refer to your residential rental agreement.
We review the market rent once every year. If there are any changes to the market rent for your home following the review, we’ll send you a letter to inform you. It's important to note that changes in market rent will not necessarily affect the rent based on your income. However, if there is any impact on the amount you need to pay, we will clearly explain it in our communication with you.
Benchmark market values are amounts that the Australian Tax Office (ATO) considers fair and reasonable for basic household costs such as rental accommodation, lodging, meals, and board.
These values are inclusive of Goods and Services Tax (GST).
If you’re applying for one of our properties, you have the option to apply for a discount called a rental rebate. This can help reduce the amount of rent you need to pay.
The rebate is calculated based on the percentage of the total assessable income of all household members compared to the market rent of the property.
If your application for a rental rebate is approved, your rent will be calculated using the following percentages:
The rental rebate aims to make housing more affordable for individuals and families in social housing. To be eligible for the rental rebate, you need to file an application with us.
If you're interested in applying for a rental rebate, you'll need to prove you’re eligible based on your income. Our staff can access your Centrelink income statement if you sign the consent form allowing them to do so.
If you don't have access to Centrelink or you receive income from other sources, you'll need to provide evidence of your financial situation. This can include recent payslips from your job (at least three) and a recent bank statement that shows the money coming into your account.
It's important that each tenant signs the declaration at the end of the application form. Once you've sent us the form, our staff will assess your eligibility and contact you with the result. You'll receive a letter explaining the rental rebate you qualify for and how it has been calculated based on the information you provided.
We review rental rebates once a year or if there are changes in your income or household. This may affect the amount of rent you pay. If any changes occur, we’ll send you a letter informing you of the new cost.
If you receive a rental rebate, there might be extra costs for services like water, heating, laundry, or other amenities that are provided to you. If this is the case, this will be explained to you at the time you are given information about what your rent charge is going to be.
It’s important to us that you understand how your rent is calculated and that it accurately reflects your household situation. If you’re feeling confused, please don't hesitate to reach out and ask us to explain your rent in more detail or in a different way. We can even recalculate your rent and guide you through the process if needed.
If you want to get independent legal advice, these organisations are great resources that can provide further assistance:
Just let us know how we can support you!
If you have any questions or would like more information, please don't hesitate to reach out to us. We're here to support you throughout the tenancy process.