Student Innovation: Co-op Housing as the New Solution to Skyrocketing Rent (video)

A group of 30 Canberra university students has adopted a unique approach to address the high costs of student accommodation by living in a housing cooperative. The cooperative, managed by and for students, offers a more affordable living option compared to traditional student housing.

Affordable Living Solution

At the end of their first year, students facing financial challenges found the cooperative to be a cheaper alternative. Rent is set at $187 a week and is indexed to youth allowance, making it financially manageable. In addition to rent, residents contribute $60 monthly to a shared fund for groceries and expenses.

Community and Governance

While some might associate cooperatives with communes, residents describe the setup as a series of share houses where everyone collaborates to achieve common goals and support each other. Each member has a vote in the cooperative’s governance, ensuring a democratic process.

Growing Demand

As traditional student accommodation becomes more expensive, the demand for cooperative housing is increasing, particularly among disadvantaged students from low-income backgrounds. Many students find financial relief and stability in the cooperative model, which prevents their bank accounts from being drained.

Potential for Growth

There are only a few hundred housing cooperatives in Australia, primarily in the social housing sector. However, in some Scandinavian countries, cooperatives represent about 20% of housing stock, indicating significant growth potential for such models in Australia. Advocates believe that not only students but also older people, single-parent households, families, artists, the LGBTQIA+ community, and various cultural groups could benefit from cooperative housing. The model is appealing to those interested in governance participation and reducing environmental impacts.