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Community housing

Why do we need it, and how does it work?

NSW has a shortfall of 132,600 social and affordable homes

That’s a huge number of people in NSW who can’t afford to rent a home. The social housing waitlist alone has ballooned to around 70,000 households who have turned to the government for social housing, only to face a wait that’s estimated at 10 years or more for some areas. Meanwhile many people on modest incomes (such as retail, hospitality and care workers) aren’t eligible for social housing, but simply can’t afford to rent near their work on the private market.

And behind the headline numbers are human stories: perhaps a lost job meaning that rent can’t be paid; chronic ill health causing a mortgage default; or a relationship ending, with drastic impact. Sadly, domestic violence is a common thread (according to the Australian Institute of Health and Welfare, two in five people helped by specialist homelessness services in 2024-25 had experienced family and domestic violence).

Tile impacts of community housing 1

How does community housing help?

Community housing is safe, secure and affordable housing that’s made available both to people on the social housing waitlist and to people eligible for affordable housing.

It’s delivered by Community Housing Providers (CHPs) — not-for-profit organisations that reinvest every dollar back into homes, services and communities. Unlike private landlords, CHPs exist to help people, not make a profit. CHPs are registered under government regulatory frameworks and are regularly assessed against service, governance and financial performance standards. And CHPs provide more than just a roof: other services help support community, health and wellbeing.

By combining safe and secure housing with long-term support, community housing creates lasting social and economic value — helping people thrive while strengthening communities across Australia.

A “profound” impact

And these benefits can be quantified: affordable/social rent tenants see a cost-of-living relief of $10,100 per dwelling per year, while the delivery of 40,000 dwellings planned over the next 40 years will deliver $4.4bn in societal benefit. (For more, see SIGMAH, a tool developed with Swinburne University of Technology, Australian Community Housing and others, to help social and affordable housing providers quantify social and environmental benefits.)

Community housing FAQs

CHPs are not-for-profit charities (rather than for-profit businesses) and they often manage government-owned properties under contract. They are independently regulated and their tenants have the same rights under the Residential Tenancies Act 2010 as anybody else.

141 NFP community housing providers, 67,000 plus homes owned or managed, 8,800 plus hmes built in NSW since 2012, 81% overall resident satisfaction

Community housing is a broad term for housing owned or managed by community housing providers for people who cannot afford to rent or purchase a home in the private market. It includes social housing and affordable rental housing. Community housing providers also deliver other types of housing including boarding houses, Specialist Disability Accommodation, supported housing, and crisis accommodation.

Community housing provides stable, affordable homes for people at different stages of life and in a wide range of circumstances. This includes people working in lower-paid jobs who cannot afford market rents, including many workers who provide essential services to our communities. It also includes people whose health, support needs or life circumstances make it difficult to access suitable housing in the private market.

Social housing provides secure housing, often with additional support services, for very low- and low-income households that meet eligibility criteria set under NSW Government policy.

Social housing can be managed by community housing providers, Aboriginal community housing providers, or NSW Government agencies (public housing). In NSW, around one-third of social housing is managed by community housing providers.

Regardless of who manages the home, the same NSW Government eligibility rules apply, and all applications are managed through Housing Pathways, the state’s shared social housing waiting list. Social housing rents are set at 25% to 30% of a household’s income, plus 100% of any Commonwealth Rent Assistance entitlement.

To access social housing, eligible tenants apply to join the social housing wait list.

Affordable rental housing provides homes for people on low and moderate incomes who cannot afford market rents in the area where they live or work.

This includes many essential workers and people employed in lower-paid occupations.

Rents are typically set at least 20% to 25% below market rents and may be adjusted based on household income to improve affordability in high-cost areas.

Affordable rental housing is delivered through a range of local, state and national programs and policies, including planning requirements.

Most affordable housing is managed in accordance with the NSW Affordable Housing Ministerial Guidelines, which set out income eligibility and rent-setting requirements.

Community housing providers build and own housing in their own right. They also manage housing on behalf of other owners, including the NSW Government (social housing), local councils and private organisations (affordable rental housing).

Community housing providers are independently regulated to ensure they deliver quality services, manage housing effectively and remain financially sound.

In NSW, registered providers are monitored by the NSW Registrar of Community Housing and are regularly assessed against tenancy satisfaction, asset management and financial performance standards. Community housing providers must submit regular reports to demonstrate compliance with these requirements. The Registrar has powers to investigate concerns and take enforcement action where necessary.

In addition, most community housing providers are registered charities and are subject to oversight by the Australian Charities and Not-for-profits Commission.

Data sources:
CHIA NSW Community housing supply and investment tracker
ACH and CHIA NSW National Community Housing Industry profile 2025 (PDF),
NSW Homelessness strategy
Housing All Australians’ Give Me Shelter (PDF)