Kylie
In a reassuring update for thousands of Australians, Services Australia has confirmed that Centrelink payments will not be affected for those living permanently in caravans, boats, or relocatable homes.
With over 58,000 Australians counted as permanent caravan dwellers in the 2021 Census, and the number growing rapidly, this clarification brings relief and clarity to nomadic Australians navigating the Centrelink system.
This announcement emphasizes the importance of understanding how assets are assessed—especially for those whose home isn’t a traditional house.Here’s everything you need to know about how Centrelink payments apply to mobile homeowners in 2025.
Centrelink and Non-Traditional Homes: What You Need to Know
Services Australia treats boats, caravans, and mobile homes differently from brick-and-mortar properties when it comes to Centrelink assessments.
If you own the caravan or boat but not the land or water it’s on, you are still considered a homeowner, and your home is exempt from the assets test.
Why There’s ‘No Impact’ on Centrelink Payments
According to Services Australia’s community services officer, Justin Bott, the logic is simple:\
“You own the home, but not the land it’s on or the mooring the boat is at. So for Services Australia, you’re considered a homeowner.”
This means your caravan, boat, or relocatable home does not count as an asset that would reduce your Centrelink payments.
Who Is Affected?
According to the 2021 Australian Census:
| Dwelling Type | Number of Residents |
|---|---|
| Caravan | 58,155 |
| Cabin or Houseboat | 29,369 |
| Recreational Vehicles Registered | 800,000+ |
| Annual Caravan Travellers | 1.5 million |
With more families choosing full-time travel, especially post-pandemic, understanding these payment rules is more important than ever.
Eligibility for Rent Assistance
If you live in a caravan, houseboat, or mobile home and pay site or mooring fees, you may also qualify for Commonwealth Rent Assistance (CRA).
However:
- If you own the land or water, up to two hectares of that property is still exempt from the assets test, but you will not qualify for CRA.
This distinction ensures that payments like the Age Pension are not reduced, but CRA eligibility depends on tenure status.
What Is Counted as an Asset?
Even if your mobile dwelling is exempt, Services Australia does consider other possessions as assessable assets, including:
| Asset Type | Included in Assessment? |
|---|---|
| Caravan, Boat, Relocatable Home | Exempt (if not on owned land) |
| Home Contents and Personal Effects | Yes |
| Vehicles | Yes |
| Financial Investments | Yes |
| Real Estate (non-primary residence) | Yes |
| Income Streams and Superannuation | Yes |
| Business Assets (Sole Trader, etc.) | Yes |
If your caravan is on a retirement-style site or park restricted to over-55s, you may be subject to different rules, so it’s advised to check with Services Australia for specific assessments.
Growing Trend of Caravan Living in Australia
The popularity of mobile living has surged in recent years due to a mix of post-pandemic lifestyle shifts, rising housing costs, and a desire for freedom.
“There is a lot more families on the road permanently,” said Jan Coleman, a regional tourism operator in South Australia. “They’ve given up their home, pulled their kids from school, and are homeschooling while traveling.”
Whether motivated by financial necessity or lifestyle choice, thousands are finding home in a caravan, motorhome, or boat, and they’re entitled to the same social security support as any other citizen.
For the growing number of Australians living life on the road or water, the confirmation from Services Australia that Centrelink payments remain unaffected is welcome news.
If you live in a caravan, boat, or relocatable home, and don’t own the land or mooring, your dwelling is exempt from the assets test.
That means you’re still eligible for full Age Pension, Disability Support Pension, or Commonwealth Rent Assistance, depending on your situation.
As the trend of mobile living continues to rise, the government’s clear guidance helps protect the financial stability of thousands embracing a non-traditional way of life.
FAQs
Will living in a caravan affect my Centrelink payments?
No, if you own the caravan but not the land, it is considered your home and is exempt from the assets test.
Can I get Rent Assistance if I live in a caravan?
Yes, if you pay site or mooring fees and don’t own the land, you may qualify for Commonwealth Rent Assistance (CRA).
What if I live in a retirement village or over-55s park?
Rules may differ for these types of locations. You should contact Services Australia for an assessment tailored to your specific arrangement.