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Landlords can calm down as tenants must prove COVID-19 income loss

The QLD government has said there will be NO blanket rent waivers for tenants.

The Palaszczuk Government has attempted to quash rent fear and outrage with a message to Queensland landlords that they are listening to concerns and are working to provide the best possible outcome for owners, property managers and tenants within the new temporary COVID-19 tenancy measures.

This news follows concern from landlords and property managers about the fairness of new rent proposals from the peak body for real estate in Queensland, REIQ.

The government launched the Special COVID-19 Protections for Residential Tenants and Owners on April 9, revealing a set of relief packages that sent shockwaves through the industry. The package includes frozen evictions, rental support and landlords being prevented from ousting tenants at the end of their lease along with being forced to offer an extension to the lease.

On his Facebook page QLD Housing and Public Works Minister Mick de Brenni stated: “There’s been misinformation going around about how we’re supporting tenants, property managers, and landlords through the COVID-19 crisis so I want to make something clear— Only tenants that can prove they have been affected by income loss due to coronavirus can ask to negotiate a temporary and fair rent reduction – this isn’t a blanket rent waiver for tenants. These measures will be supported by an independent conciliation process to ensure that no party gets ripped off.”

In an open letter last week REIQ appealed for urgent help from the industry, stating: “As a landlord, you will ultimately foot the bill if changes are not made to proposed amendments in their current form.”

In a call to action REIQ CEO Antonia Mercorella told us: “It takes thousands of voices to communicate a single message. When it comes to real estate, everybody matters. That’s why it’s important everyone is recognised equally when it comes to the Palaszczuk Government’s special COVID-19 proposed measures which, in their current form, will harm over 600,000 property owners who provide the vast majority of rental housing supply to 35 percent of Queensland’s population who rent.

“In addition, it’s certain to have a devastating impact on the future of the property market and broader Queensland economy. As the peak body for real estate in Queensland, The REIQ supports the need for tenant protection during COVID-19 however, we are fundamentally opposed to some of the proposed measures. With your help, we are calling on the Palaszczuk Government to amend their propose measures before they are introduced into Parliament next week on Wednesday, 22 April 2020 so as to achieve a better balance for everyone involved – tenants, landlords and real estate professionals. I urge every member to visit our campaign online.”

On Friday, De Brenni clarified: “Guidelines are still under development to resolve any concerns before Parliament considers the residential tenancy package. The underlying purpose of the moratorium is to sustain tenancies during the COVID-19 pandemic period as this is the best possible outcome for owners, property managers and tenants. The Guidelines for Residential Tenancies Impacted by COVID-19 will be published to provide further clarity to the industry.”

On Friday, Ms Mercorella reacted to the developments telling ABC: “I think what’s been announced today is far fairer and more balanced and does take into account property owners as well as tenants.”

But she did not think everyone would be happy.

“I’m sure there will still be some owners who will take the view that it’s not their job to bear the loss and I’m sure on the other side there will be some tenants that will also be disappointed,” she said.

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