Brutal reality of Australia's housing crisis laid bare

A report has laid bare the brutal reality of Australia's housing crisis, revealing two in three Australians are experiencing housing stress.

Defined as spending more than 30 per cent of income on housing, the sharp rise in housing stress is pushing ordinary Australians to the brink as more are forced to abandon their dreams of housing security.

Renters appear hardest hit, with more than four in five experiencing rental stress, according to a report released on Monday by the national housing campaign Everybody's Home.

The campaign, launched by a coalition of housing, homelessness and welfare organisations, found the overwhelming majority of those surveyed worried about their financial security, mental health and well-being.

Spokeswoman Maiy Azize said the human cost of the housing crisis and government inaction was grim.

"People are forced to abandon their dreams of providing security and stability for themselves and their loved ones, to rent and even share house well into their retirement years, and to live with a constant fear of price hikes or eviction," she said.

"Renters now face a housing market that has never been less affordable or more volatile as they are forced to spend record amounts to keep a roof over their heads."

Ms Azize said the 750 people surveyed included women with children considering sleeping in their cars or on the streets, unable to find an affordable home.

"Even those who are the system's winners are filled with worry about what the future holds for the next generation," she said.

"More and more are missing out on the dream of a home."

The housing campaign said the government would need to create 25,000 homes a year to meet the social housing shortfall.

"Social housing is the best way to free up cheaper rentals and boost the supply of affordable homes," Ms Azize said.

Australian Associated Press