Author Archives: Lead Organiser

WA debates rental option fees

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Reprinted from The West Australian.

Minister pans Labor’s vow on rent fee

The Government accused Labor yesterday of failing to do its homework after promising to abolish a real estate fee that is set to drop dramatically from April 1.

Opposition Leader Mark McGowan pledged, if elected, to get rid of the rental option fee to make house-hunting more affordable for lower and middle-income families.

The rental option fee – usually equivalent to a week’s rent – is collected by landlords and real estate agents and credited as rent if the applicant wins the tenancy but refunded in full if it is not awarded.

Landlords keep the fee to cover the cost of checking references if an applicant is awarded the tenancy but rejects it to rent elsewhere. Continue reading →

Thanks to Minister O’Connor as he moves to a new portfolio

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With Prime Minister Julia Gillard’s cabinet reshuffle last weekend, the Housing sector loses Minister Brendan O’Connor to the immigration portfolio.

In light of this change, Save Tenant Services wants to once again thank Minister O’Connor for his support last year. Minister O’Connor understood that access to our services sometimes means the difference between having a home or becoming homeless.  Three weeks before the state government was to withdraw all funding the the Tenants’ Union of Queensland and the 23 local/regional tenant advice services across the state, Minister O’Connor announced a rescue package.

His intervention – providing interim funding to the end of this June – allowed all 24 services to remain open and continue assisting tenants with their tenancy issues.  We have a battle to win with the state government between now and June to reinstate a tenant advice program in Queensland.  However, we are hopeful that Minister O’Connor’s intervention may be the game changer we needed.

Minister O’Connor has also been trying to embed a requirement on the states and territories to provide tenant advice services as part of a new funding agreement for homelessness services.  This is also due to be finalised by the end of June.  We will be pursuing this with the new Minister for Housing and Homelessness, Minister Mark Butler.

Thank you Minister O’Connor for your foresight, your support and good luck with your new portfolio. And welcome Minister Butler.

Is the company tenant doing a disservice to the average renting household?

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The articles linked below seem to imply that it’s easy for tenants to break leases without liability by falsely arguing the lessor is in breach of the agreement. That’s certainly not the experience of the average tenant.  If there is any truth in these claims, perhaps big companies are more able to risk paying out large sums of money in compensation if they can’t prove their case whereas the average tenant is not.

If a party to a dispute believes the claims of the other side are unfounded, the current system allows arbitration at the Queensland Civil and Administrative Tribunal (QCAT) where both parties get to make their case

Renters Claim Defects Jan 31
Balance Sought in Lease Dispute Feb 4

A tenant’s tale of the landlord from hell

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Reprinted from the ABC’s the Drum Opinion, by David M Green. Read this story, along with readers’ comments, directly from the ABC website here.

Who hasn’t had to deal with a bad landlord at some point? From sparking heaters to pen-operated doors, David M Green shares his own experiences with a less-than ideal landlord.

Being a landlord is like being a parent. No qualifications are necessary. Anyone can become one, no matter what your level of complete incompetence.

And unfortunately if you’re the tenant, you’re the child in this relationship. If your landlord says you can’t dig in the backyard or hang that poster of your favourite band on the wall, those are the rules.

When we think of landlords, it conjures images of Victorian era dandy fops with stovepipe hats, grumbling about the price of coal. But the modern reality is landlords are just regular people. Regular people who own property.

What attracts someone to the wondrous world of landlordism? Continue reading →

Minister issues press release about flood affected tenancies

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The following is a press release from State Housing Minister, Tim Mander, about flood affected tenancies.  We note there is no mention of the great services provided by the Tenants’ Union of Queensland (TUQ) and the Tenant Advice and Advocacy Services.  The TUQ has an excellent fact sheet for tenants.  To see it click here.

The following press release was issued today by the Miinster’s office.

Cleaning   flood damaged rental propertiesHousing   and Public Works Minister Tim Mander has urged tenants and landlords to work   together to arrange the cleaning and repair of rental properties damaged   during this week’s floods.   

“We know that a lot of people are going to be wondering where they stand and who is  responsible for what when it comes to the clean-up process,” Mr Mander   said.   

“At times like this it’s particularly important that tenants and landlords communicate, either directly or through a property manager, about the clean-up and any repairs that are needed.”  Continue reading →

The case against the case for negative gearing

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This article is reprinted from The Brown Couch, blog site of the Tenants’ Union of New South Wales.  (Read it directly here).

Negative gearing is an issue that is rather close to our hearts. We’re not the biggest fans of this tax break for landlords, and we’ve talked about it a fair bit over the last couple of years. We understand that many landlords don’t feel the same way about it – about 1.12 million of them, in fact. Whenever the question of its efficacy gets a run in the press, we start to see many of its supporters pointing to the calamity of 1985-1987, after the Hawke government trimmed it a little.

(Bob Hawke and Paul Keating
had a bit of a go at negative gearing in 1985)
 
During that time, rents went on a bit of a rampage. It is often claimed that this is because investor sentiment was so damaged by the restrictions to negative gearing (losses could only be offset against rental income, not other income) that landlords simply started to abandon the market. In the face of serious pressure from the propertied classes, the government capitulated, and negative gearing was reinstated in full.
 
We’ve always thought that this was a bit of old hokum, and we’re not the only ones. In April 2011, while the world was gearing up for the National Tax Forum, Saul Eslake pointed out that it was extremely low vacancy rates in Sydney and Perth, and not a nationwide landlord strike, that pushed the national rental yield into the doldrums. More recently Tim Lawless, head of RP Data’s research and analytics team and friend to all Australian property speculators, has published a spiel that appears to support the idea that the great rent rise of ’85 was not the result of changes to negative gearing. Continue reading →

Victorian tenant advocates raise overcrowding concerns

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Victorian tenant advocates seek changes to the law following the sad death of three International students.  Reprinted from the Age, January 24.  Read it from the website here.

Packed share houses pose risk for international students

International students are at grave risk of house fires with overcrowding and  a lack of understanding about smoke alarms among major problems, housing groups  say.

The Tenants’ Union of Victoria and Homeless Persons’ Legal Clinic raised  their concerns in a recent submission to Coroner Peter White over the deaths of  three Indian students in a house fire in Footscray.

Sunil Patel, Jignesh Sadhu and Deepak Prajapati died after a computer monitor  short circuited in their room. Another Indian student also often slept in the  room but was not home when the house caught fire in January 2008. Continue reading →

Assistance for flooded Gold Coast and Logan area residents

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Today Minister announces more regions covered by assistance packages.

Residents affected by ex-Tropical Cyclone Oswald and associated rainfall and flooding in the Gold Coast City Council and Logan City Council areas can now access assistance from the Queensland Government to help their recovery.

Communities Minister Tracy Davis said disaster relief arrangements had now been activated in these affected areas.

“Personal Hardship Assistance Scheme (PHAS) grants are now available to support those families experiencing personal hardship, by covering the immediate, unexpected basic costs of essential items such as food, clothing and accommodation due to the extreme weather,” Ms Davis said.

“A grant of up to $180 per person, up to a maximum of $900 for a family of five or more, is available to eligible people experiencing genuine hardship.”

Essential Household Contents Grants, Structural Assistance Grants and Essential Services Safety Reconnection Scheme Grants would also be available for individuals and families affected by the flooding caused by ex-Tropical Cyclone Oswald. Continue reading →

Residents of additional flooded areas now accessing assistance

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A further press release from Tracy Davies, Minister for Communities, Child Safety and Disability Services issued yesterday afternoon.

Residents of additional local government areas affected by ex-Tropical Cyclone Oswald and associated rainfall and flooding can now access assistance from the Queensland Government to aid in their recovery.

Communities Minister Tracy Davis said disaster relief arrangements had now been activated for residents in the following local government areas:

 ·     Brisbane City Council

 ·     Ipswich City  Council

 ·     Lockyer Valley Regional Council

 ·     Redland City Council

 ·     Scenic Rim Regional Council

 ·     Somerset Regional Council

 ·     South Burnett Regional Council

 ·     Southern Downs Regional Council

 ·     Toowoomba Regional Council

 ·     Western Downs Regional Council Continue reading →

Assistance for flooded Moreton Bay, Sunshine Coast, Gympie, Fraser Coast and North Burnett area residents

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This press release dated Monday January 28 was issued by the Minister for Communities,Child Safety and Disability Services, Tracy Davis.

Assistance for flooded Moreton Bay, Sunshine Coast, Gympie, Fraser Coast and North Burnett area residents

Residents affected by ex-Tropical Cyclone Oswald and associated rainfall and flooding in the Moreton Bay, Sunshine Coast, Gympie, Fraser Coast and North Burnett Regional Council areas can now access assistance from the Queensland Government to aid in their recovery.

Communities Minister Tracy Davis said disaster relief arrangements had now been activated in these affected areas.

“Personal Hardship Assistance Scheme (PHAS) grants are now available to support those families experiencing personal hardship, by covering the immediate, unexpected basic costs of essential items such as food, clothing and accommodation due to the extreme weather,” Ms Davis said.

“A grant of up to $180 per person, up to a maximum of $900 for a family of five or more, is available to eligible people experiencing genuine hardship.” Continue reading →

I am a renter

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I am a renter. I have been a renter for all of my adult life, since I first moved out of home at 18. For the most part, this has suited me fine. I’m not in love with the idea of having such a huge amount of debt that it takes me thirty years to pay it off, nor am I in love with the idea of paying back over $890,000 for a loan of just $380,000. Unfortunately, it doesn’t matter what my preference would be, because my husband and I simply cannot afford to pay a mortgage on a house. Even if we bought the cheapest house currently available in our suburb, we literally could not afford the $2,400 in repayments each month – at least, not if we still wanted to eat. We also don’t have $40,000 in the bank for a deposit, another $15,000 for stamp duty, and another couple of thousand for bank and legal fees. In fact, most banks won’t even give us a home loan, because one of us stays at home to look after our two young children, and therefore we are a one income family. So, buying is out of the question, and that means that we may well be facing a lifetime of renting. Of itself that isn’t a huge problem, but it certainly does cause a few problems.

Several weeks ago, while I was accompanying my oldest daughter’s preschool class on an excursion, I received a phone call from the property manager of the house we currently rent. The owner of the house is moving back to Canberra, and in to this house, so we have eight weeks to move out. This is the third time in four years that we’ve had to move simply because the owner’s plans have changed. Continue reading →

State owned Woombye and Lazy Acres Caravan Parks to be run by NFP sector – Minister

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Residents of both Woombye and Lazy Acres Caravan Parks will be feeling relief today as the Minister for Housing, Tim Mander, announced neither caravan park will be sold.

On Tuesday Housing Minister Tim Mander announcement that the Monte Carlo Caravan Park will be run by a not for profit housing provider (but remain in state ownership) which, in return, will have to develop new social housing in targeted areas.

Today Minister Mander announced the same deal for the other two state owned parks that were to be sold.  Woombye Caravan Park on the Sunshine Coast and Lazy Acres in Torquay on the Fraser Coast are to be run by a not for profit housing provider after a select tender process.  This will bring some relief to residents of these parks who have been concerned what may happen to the parks if sold, as announced by the government last year.

Save Tenant Services congratulates the Minister on the decision not to sell these parks.

Lazy Acres Caravan Park residents contemplate their future

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Yesterday the Housing Minister, Tim Mander, announced the government has changed its mind and will no longer sell the Monte Carlo caravan park in Brisbane as announced last year.  However, the future for the other two state owned caravan parks – Lazy Acres, Fraser Coast and Woombye, Sunshine Coast – is still unclear.  In this Fraser Coast Chronicle report, residents of the other parks are urged to keep pressure on the state government to deliver a similar announcement and keep the parks in state ownership. Read the article here.