Dubbo real estate agents are concerned new tenancy reforms announced by the state government may favour tenants over landlords.
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The reforms aim is for tenants to make their houses feel more like homes by allowing them to make alterations to the property they are renting.
REINSW Orana Division Chair Adam Wells said protecting both parties in a rental agreement is of paramount importance.
“There seems to be quite a grey area around the ‘minor alterations’ that a tenant can make to a property they are leasing, along with a number of other reforms that the government are looking to make,” he said.
“The government needs to acknowledge that there is always a risk involved in a person leasing a property and there remains a need to continue to protect both parties to the tenancy agreement not swing in favour or one of the parties.”
But Minister for Better Regulation Matt Kean said almost a third of the NSW population is renting, and with that number growing each year, these reforms will give them a huge boost.
“Under these common-sense changes, renting families will be able to make minor alternations such as installing a picture hook to hang their family photos and will benefit from a new set of minimum standards to ensure properties are in a liveable condition,” Mr Kean said.
The minimum standards include basic access to electricity and gas, structurally sound buildings, adequate natural or artificial lighting, as well as ventilation; and, adequate outlets for lighting, heating and appliances.
The Minister said the reforms also give security to tenants by restricting rent increases for periodic leases to once every 12 months, and include set fees for breaking a fixed-term lease.
Dubbo real estate agent Bob Berry said the reforms are a prime example of government meddling in the open market and don’t offer any security to tenants.
“Landlords should be able to negotiate with a tenant a rental price because it is already legislated that a tenant can challenge any unfair rent increase,” he said.
“These reforms don’t give security to a tenant at all, because if an owner can’t get a rent increase to whatever the current market value is they can just give the renter a no grounds notice to leave which would allow them to let the house to another renter at the market value rent the owner wants.”