Risk-assessment practices in the private rental sector : implications for low-income renters (Final Report)

This report focuses on risk-assessment practices in the private rental market, with particular consideration of their impact on low-income renters. It is based on the fieldwork undertaken in the second stage of the research process that followed completion of the Positioning Paper. The key research question this study addressed was: What are the various factors included in ‘risk-assessments’ by real estate agents in allocating ‘affordable’ tenancies? How are these risks quantified and managed? What are the key outcomes of their decision-making? The study builds on previous research demonstrating that a relatively large proportion of low-cost private rental accommodation is occupied by moderate- to high-income households (Wulff and Yates 2001; Seelig 2001; Yates et al. 2004). This is occurring in an environment where the private rental sector is now the de facto main provider of rental housing for lower-income households across Australia (Seelig et al. 2005) and where a number of factors are implicated in patterns of ‘income–rent mismatching’. These include ongoing shifts in public housing assistance; issues concerning eligibility for rent assistance; ‘supply’ factors, such as loss of low-cost rental stock through upgrading and/or transfer to owner-occupied housing; patterns of supply and demand driven largely by middle- to high-income owner-investors and renters; and patterns of housing need among low-income households for whom affordable housing is not appropriate. In formulating a way of approaching the analysis of ‘risk-assessment’ in rental housing management, this study has applied three sociological perspectives on risk: Beck’s (1992) formulation of risk society as entailing processes of ‘individualisation’; a socio-cultural perspective which emphasises the situated nature of perceptions of risk; and a perspective which has drawn attention to different modes of institutional governance of subjects, as ‘carriers of specific indicators of risk’. The private rental market was viewed as a social institution, and the research strategy was informed by ‘institutional ethnography’ as a method of enquiry. The study was based on interviews with property managers, real estate industry representatives, tenant advocates and community housing providers. The primary focus of inquiry was on ‘the moment of allocation’. Six local areas across metropolitan and regional Queensland, New South Wales, and South Australia were selected as case study localities. In terms of the main findings, it is evident that access to private rental housing is not just a matter of ‘supply and demand’. It is also about assessment of risk among applicants. Risk – perceived or actual – is thus a critical factor in deciding who gets housed, and how. Risk and its assessment matter in the context of housing provision and in the development of policy responses. The outcomes from this study also highlight a number of salient points: 1.There are two principal forms of risk associated with property management: financial risk and risk of litigation. 2. Certain tenant characteristics and/or circumstances – ability to pay and ability to care for the rented property – are the main factors focused on in assessing risk among applicants for rental housing. Signals of either ‘(in)ability to pay’ and/or ‘(in)ability to care for the property’ are almost always interpreted as markers of high levels of risk. 3. The processing of tenancy applications entails a complex and variable mix of formal and informal strategies of risk-assessment and allocation where sorting (out), ranking, discriminating and handing over characterise the process. 4. In the eyes of property managers, ‘suitable’ tenants can be conceptualised as those who are resourceful, reputable, competent, strategic and presentable. 5. Property managers clearly articulated concern about risks entailed in a number of characteristics or situations. Being on a low income was the principal and overarching factor which agents considered. Others included: - unemployment - ‘big’ families; sole parent families - domestic violence - marital breakdown - shift from home ownership to private rental - Aboriginality and specific ethnicities - physical incapacity - aspects of ‘presentation’. The financial vulnerability of applicants in these groups can be invoked, alongside expressed concerns about compromised capacities to manage income and/or ‘care for’ the property, as legitimate grounds for rejection or a lower ranking. 6. At the level of face-to-face interaction between the property manager and applicants, more intuitive assessments of risk based upon past experience or ‘gut feelings’ come into play. These judgements are interwoven with more systematic procedures of tenant selection. The findings suggest that considerable ‘risk’ is associated with low-income status, either directly or insofar as it is associated with other forms of perceived risk, and that such risks are likely to impede access to the professionally managed private rental market. Detailed analysis suggests that opportunities for access to housing by low-income householders also arise where, for example: - the ‘local experience’ of an agency and/or property manager works in favour of particular applicants - applicants can demonstrate available social support and financial guarantors - an applicant’s preference or need for longer-term rental is seen to provide a level of financial security for the landlord - applicants are prepared to agree to specific, more stringent conditions for inspection of properties and review of contracts - the particular circumstances and motivations of landlords lead them to consider a wider range of applicants - In particular circumstances, property managers are prepared to give special consideration to applicants who appear worthy, albeit ‘risky’. The strategic actions of demonstrating and documenting on the part of vulnerable (low-income) tenant applicants can improve their chances of being perceived as resourceful, capable and ‘savvy’. Such actions are significant because they help to persuade property managers not only that the applicant may have sufficient resources (personal and material) but that they accept that the onus is on themselves to show they are reputable, and that they have valued ‘competencies’ and understand ‘how the system works’. The parameters of the market do shape the processes of risk-assessment and, ultimately, the strategic relation of power between property manager and the tenant applicant. Low vacancy rates and limited supply of lower-cost rental stock, in all areas, mean that there are many more tenant applicants than available properties, creating a highly competitive environment for applicants. The fundamental problem of supply is an aspect of the market that severely limits the chances of access to appropriate and affordable housing for low-income rental housing applicants. There is recognition of the impact of this problem of supply. The study indicates three main directions for future focus in policy and program development: providing appropriate supports to tenants to access and sustain private rental housing, addressing issues of discrimination and privacy arising in the processes of selecting suitable tenants, and addressing problems of supply.

Residential sales by auction : a property type or geographic consideration

The sale of residential property by auction is a preferred sale method by real estate agents, but not always preferred by some vendors and most residential property buyers. In many residential property markets, the performance and measure of residential property market activity is based on the number of properties offered for sale by auction, auction clearance rates and the number of properties sold prior to auction. However, in many specific residential property markets, sale by auction may not be the preferred or supported method of sale. This paper will review the type of residential property sale within the Sydney residential property market and track the auction sales and clearance rates for Sydney over the past 5 months and compare these results in relation to clearance rates, passed in sales, and properties sold prior to auction This will provide a breakdown of real estate agency sale practice over a large metropolitan region to determine the impact of geographic location and socio-economic factors on the auction of residential property. In addition the paper will analyse the weekly auction sales in the Sydney residential property market to determine what areas of Sydney have the greatest number of house auctions and the performance of the auctions in relation location and socio economic factors.

What is the relationship between social governance and schooling?

The most frequently told story charting the rise of mass schooling should be fairly familiar to most of us. This story normally centres around the post-enlightenment social changes of the late 18th and early 19th centuries, and details how society slowly became more caring and more humane, and how we all decided that rather than simply being fodder for the mills, all children – including those from the working-classes - had the right to an education. The more civilised we became, the more we pushed back the school leaving age, until we eventually developed schools which clearly reflected the values and ambitions of the wider community. After all, are school not simply microcosms of society at large? In addition to this, the form that modern schooling takes is regarded as an unproblematic part of the same story. Of course we should organise our learning in the way we do, with the emphasis on formalised learning spaces, graded curricula, timetables of activities, various forms of assessment, and a clear hierarchy of authority. These features of the contemporary education merely reflect the fact that this is self-evidently the best system available. After all, how else could education possibly be organised?

From the panopticon to the playground : disciplinary practices

It is easy to take many of the practices that constitute the contemporary school for granted. Timetables, academic records, rows of desks, playgrounds, guidance counsellors now all seem a natural and inevitable part of an optimal learning environment. However, the evidence suggests that they did not appear by chance. Instead, they were put in place, albeit often in a piecemeal and haphazard way, as part of the process by which a new type of institution was constructed. By understanding the school as a disciplinary society, constituted through a variety of diverse practices, it becomes possible to re-interpret the way we have come to educate ourselves. No longer is the modern school some kind of pedagogic inevitability—simply the best and most obvious way to educate, the end result of two thousand years of trying to finally get it right. Rather, mass schooling, as we know it, is an historical by-product of changes in the way society was organised. It is a contingent collection of particular forms of government, deployed at different historical moments, often for quite different administrative and educational reasons.

'The seven things all men love in bed' : young women's magazines and the governance of femininity

Rather than passing judgment of the content of young women’s magazines, it will be argued instead that such texts actually exist as manuals of self-formation, manuals which enroll young women to do specific kinds of work on themselves. In doing so, they form an effective link between the governmental imperatives aimed at constructing particular personas – such as the sexually responsible young girl - and the actual practices whereby these imperatives are operationalised.

Introduction

The title of this book, Hard Lesson: Reflections on Crime control in Late Modernity, contains a number of clues about its general theoretical direction. It is a book concerned, fist and foremost, with the vagaries of crime control in western neo-liberal and English speaking countries. More specifically, Hard Lessons draws attention to a number of examples in which discrete populations – those who have in one way or another offended against the criminal law - have become the subjects of various forms of stare intervention, regulation and control. We are concerned most of all with the ways in which recent criminal justice policies and practices have resulted in what are variously described as unintended consequences, unforeseen outcomes, unanticipated results, counter-productive effects or negative side effects. At their simplest, such terms refer to the apparent gulf between intention and outcome; they often form the basis for considerable amount of policy reappraisal, soul searching and even nihilistic despair among the mamandirns of crime control. Unintended consequences can, of course, be both positive and negative. Occasionally, crime control measures may result in beneficial outcomes, such as the use of DNA to acquit wrongly convicted prisoners. Generally, however, unforeseen effects tend to be negative and even entirely counterproductive, and/or directly opposite to what were originally intended. All this, of course, presupposes some sort of rational, well meaning and transparent policy making process so beloved by liberal social policy theorists. Yet, as Judith Bessant points out in her chapter, this view of policy formulation tends to obscure the often covert, regulatory and downright malevolent intentions contained in many government policies and practices. Indeed, history is replete with examples of governments seeking to mask their real aims from a prying public eye. Denials and various sorts of ‘techniques of neutralisation’ serve to cloak the real or ‘underlying’ aims of the powerful (Cohen 2000). The latest crop of ‘spin doctors’ and ‘official spokespersons’ has ensured that the process of governmental obfuscation, distortion and concealment remains deeply embedded in neo-liberal forms of governance. There is little new or surprising in this; nor should we be shocked when things ‘go wrong’ in the domain of crime control since many unintended consequences are, more often than not, quite predictable. Prison riots, high rates of recidivism and breaches of supervision orders, expansion rather than contraction of control systems, laws that create the opposite of what was intended – all these are normative features of western crime control. Indeed, without the deep fault lines running between policy and outcome it would be hard to imagine what many policy makers, administrators and practitioners would do: their day to day work practices and (and incomes) are directly dependent upon emergent ‘service delivery’ problems. Despite recurrent howls of official anguish and occasional despondency it is apparent that those involved in the propping up the apparatus of crime control have a vested interest in ensuring that polices and practices remain in an enduring state of review and reform.

New routes for the field trip

As with the broader field of education research, most writing on the subject of school excursions and field trips has centred around progressive/humanist concerns for building pupil’s self-esteem and for the development of the ‘whole child’. Such research has also stressed the importance of a broad, grounded, and experiential curriculum - as exemplified by subjects containing these extra-school activities - as well as the possibility of strengthening the relationship between student and teacher. Arguing that this approach to the field trip is both exhausted of ideas and conceptually flawed, this paper proposes some alternate routes into the area for the prospective researcher. First, it is argued that by historicising the subject matter, it can be seen that school excursions are not simply the product of the contemporary humanist desire for diverse and fulfilling educational experiences, rather they can, in part, be traced to eighteenth century beliefs among the English gentry that travel formed a crucial component of a good education, to the advent of an affordable public rail system, and to school tours associated with the Temperance movement. Second, field trips can be understood from within the associated framework of concerns over the governance of tourism and the organisation of disciplinary apparatuses for the production of an educated and regulated citizenry. Far from being a simple learning experience, museums and art galleries form part of a complex of disciplinary and power relations designed to produce a populace with very specific capacities, aspirations and styles of public conduct. Finally, rather than allowing children ‘freedom’ from the constraints of the classroom, on the contrary, through the medium of the field-trip, children can become accustomed to having their activities governed in the broader domain of the generalised community . School excursions thereby constitute an effective tactic through which young people have their conduct managed, and their social and scholastic identities shaped and administered.

Youth, femininity and self-shaping

The arguments in this paper concerned the manner in which young people learn to construct specific types of relationships with themselves. The analysis of this self-making is accomplished by applying Foucault’s four-part model of self-formation, to an examination of the role of manuals such as young women’s magazines in the shaping of various aspects of the ‘youthful self’. The intention has been to provide a set of tools for approaching the issue of young women's magazines which avoids some of the problems associated with critical theory - a paradigm which translates such magazines almost exclusively in terms of social control.

Hard Lessons : Reflections on Governance and Crime Control in Late Modernity

The essays in this book catalogue a wide and varied range of instances where 'things go wrong' in the practice of criminal justice. The contributions document instances where laws, policies and practices have produced unintended consequences of the most deleterious kind, drawing attention to 'boot camps', detention centres and specific penal policies such as 'short, sharp shock' and 'three strikes and you're out'. Also examined are policing practices such as 'zero tolerance', 'saturation policing' and punitive laws in the area of drug use, sex offences, and prostitution. It will be demonstrated that in each of these cases, the objectives of government resulted in the creation of new and unforeseen problems requiring further reform to the justice system.

Youth, personhood and 'practices of the self'

In contrast to most previous research in the field, this paper argues that the concept of 'youth' is best understood as an example of the governmental formation of a specific type of person. It is constructed at the intersection of a variety of diverse problematisations, being produced by the processes of individuation/ normalisation and the regulation of relations of time. Within programs such as those pertinent to the management of sex, an array of technologies structure the practices by which individuals pattern their own conduct - thereby fashioning a kind of habitus. This forms part of a general strategy of enrolling the objects of these programs in their own self-reformation. Consequently, `youth' can be understood as `the doing of specific types of work on the self'. By utilising this framework, the paper not only seeks to identify and better understand some of the sexual subjectivities associated with the construction of youth, it also seeks to offer some new directions for research in the area.

'Anorexia Nervosa' : asceticism, differentiation, government

This paper looks at the severe fasting practices most commonly found among young women. Almost all explanations for this behaviour centre around the notion of the pathological condition 'anorexia nervosa'. However, food asceticism has a well-documented history, particularly when it concerns religious fasting. In ancient Greece, dietary asceticism constituted an important part of the means by which individuals constructed an acceptable 'self'. Ascetic fasting then later resurfaced at various historical moments and in various different places — such as amongst medieval religious women and, in a broader way, amongst contemporary young women. It is argued that these practices have traditionally formed part of the mechanisms by which differentiation by age and sex occurs. Overall, it is hoped that this analysis will permit not only a different focus on 'anorexia nervosa', but also on some of the ways in which young people become gendered.

Shaping the 'at-risk' youth : risk, governmentality and the Finn Report

The category of the `at-risk youth' currently underpins a good deal of youth policy, and in particular, education policy. Primarily, the category is centred around a range of programmes associated with the need for state intervention, intervention which largely occurs `at a distance' within domains such as the school and the family. While it is argued that in some ways, the `at-risk youth' simply replaces older characterisations used in the policing of the young, it will also be argued that the preventative policies associated with `risk' are constituted in terms of factors rather than individuals; that prevention is no longer primarily based upon personal expertise, but rather upon the gathering and collation of statistical knowledge which identifies `risks' within given populations; and that `risk' permits a greater number of young people to be brought into the field of regulatory strategies. Importantly, the category of the `at-risk youth' underpins crucial sections of policy documents such as the Finn Report (into credentialling/ education and vocational competency). In this case, youth is deemed to be `at-risk' of not making the transition to adulthood successfully. It will be argued that not only is the Finn Report significant in the administrative and cultural shaping of the category of `youth', but also by employing the notion of `risk', the Report puts in place yet another element of an effective network of governmental intelligibility covering the young. Finally, it will be argued that young women, as a specific example of a `risk' group (vis-a-vis obtaining certain types of employment), require particular forms of intervention, primarily through changing the vocational aspirations of their parents.

Rethinking youth cultures : the case of the 'Gothics'

This paper has argued that subcultural social formations, such as the Gothics, did not evolve as resistance to a dominant culture. Instead, they are a response to the governmental construction of youth as an object of knowledge—the by-product of particular forms of government, generated by specific power/knowledge relations. Accordingly, attempts to account for the phenomenon of ‘subcultures’ should begin, not with notions of a shared, resistant class/generational consciousness, but rather with detailed investigations of specific forms of government, such as those involving conventions and customs within the fashion and music industries, the distribution of technologies of marketing and consumption, the adoption of various techniques of self-shaping, the prevalence of different journalistic practices, routines of policing, and so on. ‘Subcultural style’ is not an expression of relationship between a given social class, its material conditions and its economic and cultural aspirations. Rather, it constitutes the construction of particular habitus, shaped by fashion and leisure activities, through which certain youthful personae are given their form.

The ADHD debate and the philosophy of truth

There is ongoing and wide-ranging dispute over the proliferation of childhood behaviour disorders. In particular, the veracity of the category Attention Deficit Hyperactivity Disorder (ADHD), has been the subject of considerable scepticism. With no end to the debate in sight, it will be argued here that the problem might effectively be approached, not by addressing the specific features of ADHD itself, but rather by a philosophical analysis of one of the terms around which this entire problem revolves: that is, the notion of truth. If we state: “It is true that ADHD is a real disorder”, what exactly do we mean? Do we mean that it is an objective fact of nature? Do we mean that it fits seamlessly with other sets of ideas and explanations? Or do we simply mean that it works as an idea in a practical sense? This paper will examine the relationship between some of the dominant models of truth, and the assertions made by those in the field of ADHD. Specifically, the paper will contrast the claim that ADHD is a real disorder, with the claim that ADHD is a product of social governance. The intention is, first, to place some significant qualifications upon the validity of the truth-claims made by ADHD advocates, and second, to re-emphasise the potential and promise of philosophical investigation in providing productive new ways of thinking about some obstinate and seemingly intractable educational problems.

Pathologising difference, governing personality

Recent research has stressed the integral part played by teachers in both preliminary diagnosis and ongoing treatment of a range of conduct and personality disorders. Teachers are not only required to be aware of a variety of new categories of difference (Attention Deficit Disorder, Selective Mutism, Borderline Personality Disorder, Antisocial Personality Disorder, to name but a few), but are also now lauded for extending the role of education into new areas of social management. This paper will take issue with this understanding on two counts: first, teachers have always sought to mould the personalities of students, and the pathologisation of specific forms of conduct is simply a new tactic within a very old and familiar strategy. Second, schools do not simply discover disorders such as ADD as objective facts of nature. Rather, they are part of the process through which such differences are created, and by which individuals can be more effectively governed.