Victorian rental law review reveals tensions between tenants and landlords

A call for submissions into a review of Victoria's tenancy laws has laid bare the tensions between renters and their landlords.

Half a million Victorians households rented, Consumer Affairs Victoria (CAV) director Simon Cohen said, while 350,000 Victorians were landlords.

Mr Cohen said the State Government's Plan for Fairer Safer Housing included a "root-and-branch" review that would look at the rights and responsibilities of both parties.

"We're trying to understand what the right balance is there," Mr Cohen told 774 ABC Melbourne's Patricia Karvelas.

But finding that balance may be difficult, if the response from listeners is any guide.

Rental repairs cause disagreement

"There are some quite specific rules around urgent repairs, such as gas leaks or burst water services or blocked lavatories, that they have to be done without delay," Mr Cohen said.

However he said complaints from both tenants and landlords showed there was "significant room for disagreement".

"We're particularly interested in understanding how disputes about repairs can be dealt with more quickly," he said.

The issue prompted a number of text messages to 774 ABC Melbourne, including one from a listener who had recently leased a property in Preston through a real estate agent.

"The owner insists on doing a lot of the maintenance themselves, which sounds great, but he has no skills. Everything is shabby and rundown," the text said.

A landlord said fixing problems caused by tenants had meant they were still losing money on their investment property despite having owned it for 15 years.

"My tenants have wrecked my house. They damage, and I pay for repairs."

"Dogs are on premises when lease agreement says no pets. Value of house decreased. I can't really afford major repairs."

Another listener had no sympathy for landlords who cried poor.

"If a landlord states that he/she can't conduct a repair because it's just too expensive (such as replacing a leaking roof) they shouldn't be allowed to let the property."

NDIS raises renovation concerns

Mr Cohen said CAV research showed that more than a third of Victorian tenants have been renting for 10 years or more.

"Victorians are renting for longer ... and people are staying in the same house for longer periods as well," he said.

He said people who lived in a home for a long time naturally wanted to make changes to the property, but landlords wanted to protect their investment.

The rollout of the National Disability Insurance Scheme (NDIS), he said, had brought the issue to the fore.

"Some of the entitlements under that scheme may include property modifications to help people with disabilities stay in their home."

Mr Cohen said while 40 per cent of rental households were tenanted by families, there had been a big increase in the number of ageing renters.

"We're really asking ... what's the right balance there to ensure, for example, that ageing Victorians who rent can age in place and modify their property?"

Mr Cohen's statements prompted one landlord to contact the station with the message: "I rent a house, not a nursing home."

Minimum standards under scrutiny

Mr Cohen said under current law there were few minimum standards a rental property must meet, beyond landlords ensuring that it was clean and secure at the start of a tenancy.

He said the Government's review was considering whether those minimum standards be expanded to require that a rental have adequate heating, cooling and insulation.

"They're particularly relevant for low-income households where the cost of energy and cooling can be very great and can cause significant financial concern.

"On the other hand for landlords, there needs to be the right balance between investing in a property and having a reasonable return on that investment."

One listener said they once rented a property that was stifling in the summer heat.

"I offered more rent or even half the cost to install an air-conditioning unit. The landlord wouldn't have a bar of it," they said.

Another listener said they would not install air conditioning in a rental property on the grounds that it was environmentally unfriendly.

Making it work

Among all the disagreement, some listeners contacted the station with their rental success stories.

"We rent privately. Downloaded contract from the web. We have agreement that I do basic repairs in exchange for reduced rent. Works really well for us," said one listener.

Another said they had been renting the same property for four years and would never be able to afford to buy a home.

"[We have] fantastic landlords. We asked if we could put up picture rails so we could hang images — they agreed. We paid for the rail, not an issue," they said.

Victorians can make a submission to the tenancy law review at the Fairer Safer Housing website.

 

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