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What is homelessness? What causes homelessness?

woman sleeping on a wooden bench

What is homelessness? What causes homelessness?

As per missionaustralia.com.au, this is the explanation for homelessness.

Homelessness is a problem that goes beyond ‘rooflessness’ and a lack of access to safe shelter. The experience of homelessness includes vulnerable people living in refuges, crisis accommodation or in temporary housing.

According to the Australian Bureau of Statistics, a person will experience homelessness when there is a lack of suitable accommodation alternatives and their current living arrangement:

  • is in a dwelling that is inadequate; or
  • has no tenure, or if their initial tenure is short and not extendable; or
  • does not allow them to have control of, and access to space for social relations.

Do read the rest of the details on homelessness here: missionaustralia.com.au,

Are there homelessness in advanced economies in the world?

We can see this is an issue for many familiar cities around the world. Whether London or Melbourne to Paris and even New York. The number of people sleeping rough (simply sleeping on the streets) or sleeping in the car or tents because they could not afford a place to stay are increasing too.

Article here: https://www.bbc.co.uk/news/uk-england-london-68424945
Article here: https://www.abc.net.au/listen/programs/melbourne-mornings/homelessness-melbourne-tent-cities-merri-creek/103408156
Article here: https://www.nytimes.com/2024/07/11/world/europe/france-is-busing-homeless-immigrants-out-of-paris-before-the-olympics.html
Article here: https://www.nytimes.com/2024/06/13/nyregion/homelessness-streets-subways-nyc.html
Article here: https://www.todayonline.com/singapore/530-rough-sleepers-found-singapore-significant-decrease-last-count-msf-2157251

What are the reasons people could not find a proper shelter?

One major reason is always affordability. People in many of these cities should be able to find a job but the pay is just too low to sustain their housing rental. Landlords / Homeowners are usually not able to keep their rental low if their own cost of living is also increasing. They may also not want to when everyone in the whole neighbourhood is already increasing their rents. There is no guarantee that the rental we pay will be the same year after year. So, we just have to keep earning more in order to afford the rental increase if we are renting.

Article here: https://www.smh.com.au/property/news/people-are-being-made-homeless-melbourne-rents-soar-to-record-high-20240410-p5finn.html
Article here: https://uk.news.yahoo.com/london-rents-control-record-breaking-170027156.html
Article here: https://www.bloomberg.com/news/articles/2024-05-21/nyc-rents-are-so-high-that-only-5-are-affordable-for-the-average-salary
Article here: https://www.dw.com/en/germany-housing-is-almost-unaffordable/a-66432276

Staying ahead when we know these will likely happen

We can continue to say the government must do more in order to ensure housing remains affordable for everyone. Governments can also continue to promise and to roll out new plans to curb property price increase, to increase the supply of affordable housing and even to think of more solutions. We just need to be aware that these were also done by the governments of these advanced nations. Or are we saying their government is somehow not effective enough despite us seeing that they are supposed to be better than us here in a developing country?

When it is to be, it is up to me. Are we working and earning enough and saving so that we can buy a small and affordable place? Are we also learning how to invest properly so that our wealth also continue to increase. It’s better to learn that buying just one property may be key to staying out of never ending rental increase and subsequently poverty. Renting is forever. Only buying and owning will have a chance that it will stop at the end of the mortgage tenure. Happy knowing.

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Charles Tan The Founder The Writer Kopiandproperty
Charles Tan

Charles is Founder of kopiandproperty.com He writes from his investment experience for the the past 20 years in investments including property, stock, unit trust and more as well as readings and conversations with many property gurus in the industry. kopiandproperty.com is an independent property blog which is not affiliated to any media company, property developer or even real estate agencies.

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