Concerns State Government foray into Broome housing market could plunge renters further into crisis

The State Government is mulling a foray into the Broome housing market detractors argue could further exacerbate the town’s rental shortage. The Department of Communities has not denied it is considering purchasing existing homes in town to house government workers as the public service deals with Broome’s rental crisis. It comes after Liberal Member for Mining and Pastoral Neil Thomson said the State Government had missed a golden opportunity to invest in new housing stock in its first term and was now paying the price. “We had several years from 2017 when the Labor Government got elected through to the COVID situation where there were so few houses built in Broome,” he said. “There was a real downturn in the economy in the Kimberley and I think that was an opportunity missed by the Government where there could have been some stimulation through development of GROH housing. “There are lots of smart ways you can rollover existing stock and create new housing — and that is something the Government should have been doing in the past few years.” The department has 413 government regional officers housing properties in Broome. Six are vacant due to ongoing maintenance. The Broome Advertiser understands the department has approached a number of Broome real estate agents seeking to increase its housing stocks. “Where there is not suitable existing housing available, leasing and/or purchasing opportunities are sourced through the private property market, in line with requirements across the Housing portfolio,” he said. The department offers an average discount of 24 per cent on market rent to government tenants, raising fears private tenants would be priced out the market by an increase in GROH stock. Real Estate Institute WA Kimberley chairman Tony Hutchinson said an increase in government housing stock was inevitable. “It will tighten the market up, it’s going to add to the rental issues,” he said. “I agree with Mr Thomson, the State Government has been caught out by the strength of the market buoyed by COVID. “Obviously that’s pretty hard to predict but they have had a policy of just renting over the past 10 years and now they’re paying for it. Mr Hutchinson said with plenty of land in town to build on, the government should not purchase from Broome’s limited supply. Housing is offered to government staff to attract and retain employees in regional locations. There are more than 5500 GROH homes in WA.