Key points
Rent-to-income ratio is calculated as the ratio of the median annual rent paid in each area to the median annual income for households paying rent in that area. The amount of rent paid by households for the dwelling they occupy is a significant component of housing affordability. As well as giving an insight into the financial burden of rent payments, this indicator explores the ability of the housing market to provide adequate rental properties for all sections of society, regardless of income. Affordable housing should leave enough residual income to cover other basic living costs, as well as allowing households to save for irregular but unavoidable costs such as medical and dental care.
- The New Zealand average rent to income ratio in 2001 was 28.%, while the average rent to income ratio in the Waikato Region was 26.6%. This has increased for the both New Zealand as whole and the Waikato Region in the last decade.
- The rent to income for Waikato District in 2001 was 24.0%, below both the regional and national average.
Rent to Income Ratio (percentage) for households paying rent for the private dwellings they occupy 1991, 1996, 2001 – Waikato Region and territorial authorities
| Area |
1991 |
1996 |
2001 |
| New Zealand |
22.4 |
28.4 |
28.1 |
| Waikato Region |
19.9 |
24.3 |
26.6 |
| Franklin District |
18.6 |
25.5 |
28.4 |
| Thames-Coromandel District |
23.0 |
28.0 |
30.6 |
| Hauraki District |
19.4 |
25.5 |
27.8 |
| Waikato District |
18.5 |
21.1 |
24.0 |
| Matamata-Piako District |
17.2 |
20.5 |
21.1 |
| Hamilton City |
24.7 |
30.2 |
33.0 |
| Waipa District |
18.8 |
23.9 |
26.0 |
| Otorohanga District |
11.0 |
14.9 |
18.2 |
| South Waikato District |
16.1 |
22.0 |
22.5 |
| Waitomo District |
13.8 |
18.0 |
17.7 |
| Taupo District |
21.0 |
23.7 |
25.0 |
| Rotorua District |
23.4 |
26.5 |
28.2 |
Source: Statistics New Zealand Census
Note: Calculated as ratio of median annual rent to median annual household income for each area (ratio of medians for each area).
What agencies are doing
Information currently being collated.
What you can do to help
Information currently being collated.
More information
More detail on this indicator, including how and where this information is collected, is available here.
What we want to achieve
The community outcomes we are seeking to achieve by reducing the rent to income ratio are:
- Maori enjoy the same quality of health, education, housing, employment and economic outcomes as non-Maori.
- We have a choice of healthy and affordable housing that we are happy to live in and that is close to places for work, study and recreation.
- Maori have the ability to live on ancestral land in quality, affordable housing.