Metro Melbourne surpasses $1m mark for the first time
While it has lagged behind other capital cities in post-pandemic recovery, Melbourne has now cemented its resilience, re...
The Real Estate Institute of Queensland (REIQ) has declared the Greens’ “Renter’s Rights” policy as detrimental to the rights of landlords. If implemented, they believe the market would be damaged.
The policy is said to introduce “reasonable grounds” for evictions, a 12 months’ notice period for evictions, granting tenants termination rights with three months’ notice for no reason, granting tenants the right for certain renovations without permission, giving landlords the ability to raise rents every two years by an amount determined by the Residential Tenancy Authority, and granting renters an unlimited lease, giving them the right to continue living in the property even if it is sold.
“Our plan will fix the rigged system that puts the profits of real estates agents and investors over the rights and dignity of everyday Queenslanders,” a statement by the Queensland Greens stated.
However, the REIQ believes this policy would give renters too much power, and could irrevocably damage the market.
Antonia Mercorella, CEO of the REIQ, said by giving rights to tenants and removing them from landlords, the property market would weaken, driving away investors.
“The Greens would have you believe that landlords are not accepting applications from tenants who want to secure their tenure, but it’s absolutely not the case and this simply demonstrates how out of touch the Greens are with Queenslanders and the Queensland rental market,” Ms Mercorella said.
“It’s simply unrealistic to expect that landlords will continue to invest in real estate if they are faced with untenable arrangements that don’t allow them to protect the value of their asset and strip them of fundamental rights.”
“Investors have a range of options open to them, including shares and other asset classes. If their rights to manage their property are removed, they’ll simply choose to invest elsewhere.”
Ms Mercorella continued, saying that a framework that supports both sides is ideal, “and it won’t be found if the Greens have their way”.
Currently, Queensland’s regional conditions favour the tenant, according to the REIQ, as vacancy rates are high, with Rockhampton having a vacancy rate of 7.2 per cent, while Gladstone is at 6.5 per cent and Mackay at 4.5 per cent, which is allegedly indicative of a weak market, a situation that the REIQ says gives tenants plenty of power.