The tent city that has appeared in one Australian urban park amid the housing crises - and what one man is doing about it

A 'tent city' has popped up in Brisbane's south as struggling renters increasingly find themselves without a roof over the head amid a dire shortage of affordable housing. 

In Musgrave Park, adjacent to the city's idyllic Southbank tourist precinct, more than 60 tents litter the grass filled with people seeking permanent accommodation.

When the city's Paniyiri Greek Festival begins next month, traditionally held in the park, the 'residents' will have to pack up and move - but they have nowhere to go.

Jimmy and his bulldog became homeless for the first time last week due to the rental crisis and a gap in employment. He said the lack of a proper place to stay has made it harder for him to find new work.

'I found out the rent (the new tenants) are paying is like double what we were,' he told A Current Affair.

'You need the house to be able to work and then the work to be able to pay for the house ... without both it's hard to get out of the situation and move forward,' he said.

The rental vacancy rate across Australia is at a staggering 1 per cent meaning the demand for home is through the roof and but the supply just isn't there.

Paul Slater, who runs Northwest Community Group, has been setting up support services in Musgrave that dozens of residents claim are changing their lives for better.

'I'm really passionate about everyone deserving a place to sleep at night,' Paul said.

'I think we're in the kind of perfect storm at the moment with the cost-of-living crisis, housing crisis.

'It sort of woke up a fire in me and made me want to, instead of talking about it, just do it.'

Twice a week Mr Slater sets up stalls providing free food, toiletries and second hand clothing he has painstakingly managed to collect through donations.

He provides tents to those new residents who turns up at the park which he cleans an recycles for the next needy person when the occupier gets on their feet. 

Joel was one of those Mr Slater helped and he credit him for helping find permanent accommodation. 

'I can't believe where I'm at now, I spent most of my life in the cold, sleeping in the cold. I don't have to do that no more,' Joel said.

Brisbane City Council and the State Government are both aware of the situation and said they are working towards a solution.

The Department of Housing regularly send a team to check on the welfare of those at the park and let them know when public housing is available, which is not often. 

Council suggested the Pinkenba quarantine facility which is sitting unused could be repurposed into temporary accommodation.

The latest PropTrack report from December found rents are expected to continue on an upward trajectory.

But PropTrack economic research director Cameron Kusher says the intensity of increases are expected to ease.

'While we expect rents to continue to rise this next year, it's likely the rate of growth will slow,' he said.

'The already higher cost of renting and overall increase in the cost of living will limit rent price increase moving forward.'

In Australia's capitals, annual rent growth slowed from 17.8 per cent in 2022 to 13.2 per cent in 2023, while slowing from 11.6 per cent to 4.2 per cent in the regions.

Mr Kusher maintains there will be no meaningful change to the market without additional housing, particularly in capital cities where there is a 'critical need' for more dwellings.

Across the nation, property investors have left the market and while there has been a rebound it is not enough to replenish depleted levels of housing stock.

As a result, rental vacancies have remained near record lows at 1.1 per cent, down from 1.3 per cent in December 2022, forcing prices upwards.

Even those hoping to transition into home ownership will find the pivot even more difficult as rents and interest rates continue to rise.

'Rental conditions are likely to remain challenged,' Mr Kusher said.

'Serious consideration needs to be given to the financing of these projects and the capacity to build the volume of housing we need.'

Single Australians, in particular, are bearing the brunt of the rental crisis according to a report from Victoria's peak body for community housing.

Community Housing Industry Association (CHIA) Victoria has revealed 85 per cent of new applications to the state's social housing waitlist are from single-person households but less than a third of public housing is one-bedroom.

Sarah Toohey, chief executive of CHIA Victoria, says raising the rate of JobSeeker to $78 per day would help fund much-needed housing.

'Social housing is a lifeline for singles - it delivers affordable rent, at no more than 30 per cent of income,' Ms Toohey said.

'However, because JobSeeker is so low, 30 per cent of a single person's income makes it challenging to cover the cost of building and maintaining homes.

'That's holding back the community housing sector from delivering more homes to those who most desperately need them.'