Renters gain new rights in Victoria

New changes will give tenants more rights, will allow them to stay on longer leases and make bonds smaller and fairer.

Rental Agreement

Rent costs soar up Source: Getty

29-year-old Himanshu Bansal arrived in Melbourne as an international student and his rented accommodation in Melbourne turned out to be a 'huge nightmare'.

'One day I found mice as I woke up 2 am in the night. They were eating my food in the kitchen. I told the owner about the problem instantly. Hearing about the problem, he knew what needed to be done because this was a historical problem it seemed.'

'I didnt care much after that thinking it will be resolved. Few days later, one early morning, just before I woke up, I realised something touched my bare feet as I got up from my bed.'

'I found mice in my room. I was totally shocked by what happened. I asked owner again and he told me that there were some secret passages in this house which mice knew of. He closed those holes and problem apparently got resolved," Bansal said.

But the relief was short-lived.

Soon Bansal faced a sewage problem in the house he was renting.

Bansal is among thousands of Indian migrants who arrive in Melbourne who work or study and in their initial years, start with rented accomodation.

A recent survey by Choice revealed how renters in Australia have had to face issues like pests, cockroaches, mould to leaks, flooding and living in properties which are way too difficult to keep cold or warm.

The survey revealed that renters' in Australia have experienced widespread anxiety, insecurity and discrimination in the rental market.

  • One in five renters live in a home with mould, flooding or leaking.
  • One in four suffer ongoing problems with pests, including cockroaches, moths and ants.
  • Eight per cent live in properties in need of urgent repairs.
  • But half of renters in Australia live in fear of being blacklisted on a bad tenants register, meaning they often do not ask for the vital repairs needed for fear of retaliation by their landlord.
The Victorian Government on Sunday brought in a package of tenancy reforms for those who rent in the state.

As owing a home becomes more difficult and expensive, more than one in four Victorians are now living in rented accommodation.

With an aim to provide better protection and fairness to renters, the state government has introduced a slew of reforms allowing renters in Victoria to live on longer leases, making bonds smaller and cracking down on dodgy landlords.

Victorian Premier Daniel Andrews said, “Everyone deserves the chance to have a safe, secure and affordable home – whether you own it or not.”
Minister for Consumer Affairs Marlene Kairouz said, “More people are renting than ever before and for longer – that’s why tenants need a fairer deal.”

“These changes will crack down on rental bidding, make it easier and faster for renters to get their bond back, and will better hold landlords and agents to account for their actions.”

Here’s the list of reforms coming for renters:

1. No bidding on rent & rent increase only once a year:

The Government will crack down on rental bidding – a scourge that forces would-be tenants to out-bid each other on rent – and will limit rent increases to once a year to give renters more financial stability.

2. Must specify reason to vacate and long-term leases:

Renters will get better long-term security by abolishing ‘no specified reason’ notices to vacate, and new restrictions will be placed on ending leases without a reason at the end of a lease when that lease has lasted more than one fixed term.

This will help tenants secure a long-term lease.

3. You can own a pet:

Every tenant will have the right to own a pet, and while landlords will still need to provide consent, they will only be able to refuse in certain circumstances.

4. Modify your property:

It will be easier for tenants to make minor modifications to the rental property, such as installing hooks for picture frames – and there will be faster reimbursements for tenants who pay for urgent repairs.

5. Bonds will be smaller:

Bonds will be capped at one month’s rent where the rent is twice the current median weekly rent – currently equivalent to $760 per week or less, covering the vast majority of Victorian rental households. This will also apply to rent that is paid in advance.

6. Bond refund will be faster:

New reforms will be mean faster release of bonds at the end of a tenancy. Under the reform, tenants will be able to apply for the release of bond without written consent from their landlord, who will have 14 days to raise a dispute before the bond is repaid automatically.

7. Crack down on dodgy landlords:

There will be a crack down on dodgy landlords with the introduction of a landlord and estate agent blacklist available to renters. False, misleading, and deceptive claims by landlords will also be outlawed.

Visit rentfair.vic.gov.au for more information.

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By Mosiqi Acharya

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