Recent national legislation due to COVID-19 has included halting traditional open homes and in-person auctions and a six-month moratorium on evictions for tenants in hardship due to the pandemic. Here is how that is playing out in each state.
(This post will be regularly updated)
Victoria
A state of emergency has been declared in Victoria due to the serious risk to public health and Consumer Affairs Victoria has stated that “Tenants and landlords must comply with the Residential Tenancies Act 1997 (the Act)”.
Evictions
- If tenants are unable to pay their rent, they should notify the landlord or agent as early as possible
- Renters should continue to pay rent until they have reached an agreement with their landlord.
- If they can agree on a payment plan with their landlord for rent arrears they should put the agreement in writing.
- While the Act allows for eviction for non-payment of rent, the Victorian Government encourages landlords and agents to work with tenants facing lost income or employment.
- If landlords are considering eviction for other reasons, CAV encourages them to seek agreement with the tenants to avoid ending the tenancy.
Tenants in hardship
- If tenants on a fixed-term agreement want to leave the property sooner due to lost employment or income, they should contact their landlord to negotiate an early end to the agreement.
- If the landlord does not agree, tenants can apply to VCAT based on severe hardship.
- On 18 March 2020, the Victorian Government announced almost $6 million for Victorian homelessness organisations. The funding will help protect Victorians at risk of, or experiencing, homelessness because of coronavirus.
Restrictions on indoor gatherings
The Stay at Home Directions (SAHD) issued by the Deputy Chief Health Officer restricts the number of people who may gather in indoor spaces to two people, providing that, unless an exception applies, a person must not enter a residence unless:
- no other person is in that space; or
- only one other person is in that space; or
- more than one other person is in the space, but all of those persons ordinarily reside at the same premises as the person.
Inspections for lease and sale
Clause 11(3)(c) of the Stay at Home Direction (SAHD) allows a person to permit another person to enter their place of residence if it is necessary for the second person to enter the premises for the purpose of their work. Therefore, a person may permit an estate agent to enter the person’s place of residence to allow the estate agent to undertake their work related to the place of residence.
Clause 11(3)(c) of the SAHD also allows a person to permit another person to enter their place of residence if the second person is entering for the purposes of attending a private inspection of the premises for the purposes of a prospective sale or rental of the property.
Inspections of occupied properties
Private inspections of an occupied/tenanted residential property are permitted to be organised. An inspection is only permitted where an estate agent and one other person (the person for whom the inspection is organised by private appointment) are present at the premises.
An inspection where an estate agent, the prospective tenant/purchaser and a resident of the premises are all present is not permitted. In this case, the resident of the premises will have to leave the premises and should do so for a reason permitted under the SAHD, namely, to obtain necessary goods or services, for care and other compassionate reasons, to attend work or education or to exercise.
Those in isolation or quarantine should not leave their homes.
Inspections of vacant properties
Private inspections of a vacant residential property are permitted to be organised. An inspection is only permitted where an estate agent and one other person (the person for whom the inspection is organised by private appointment) are present at the premises.
Inspections of tenanted properties
Inspections by vendors or landlords
A vendor or a landlord wanting to enter a property to inspect it is permitted to do so if they have served a valid notice to enter the premises under the Residential Tenancies Act 1997.
Inspections by estate agents
An estate agent is permitted to enter residential premises to exercise lawful duties as part of the exercise of their occupation, including to inspect a property on behalf of a landlord or vendor.
Restrictions on indoor gatherings do not apply to an estate agent entering an indoor space where it is necessary to enter a property in the exercise of their occupation. Accordingly, an estate agent may enter premises to conduct an inspection on behalf of a landlord or vendor irrespective of the number of residents of the property present at the time.
Estate agents, vendors or landlords conducting any inspection should ensure compliance and high levels of hygiene. See the Department of Health and Human Services (DHHS) information on appropriate cleaning and disinfecting.
More activities may be restricted as the coronavirus (COVID-19) progresses. Estate agents should monitor the DHHS website for up-to-date information.
Queensland
The Queensland Government through the RTA is providing important information about the state-specific responses to supporting the residential rental sector.
Information and advice specific to property managers and agents is available on the Real Estate Institute of Queensland (REIQ) website, including template letters that support your communication to tenants and property owners during this difficult time.
Evictions
As a freeze on evictions has been announced in Queensland, renters and property owners are encouraged to agree on solutions together. If this is not possible, conciliation through the Residential Tenancies Authority (RTA) will be a mandatory requirement.
The Queensland Government is currently reconsidering their initial position and will shortly announce a new framework.
Inspections
During the COVID-19 health emergency, open homes are not allowed.
- Additionally, tenants can refuse entry to the property for non-essential reasons (including routine inspections), particularly if they or a member of their household has a higher risk profile if exposed to COVID-19.
- Inspections can still be done via video conference (if the tenant agrees), detailed photos or by appointment while observing social distancing and hygiene protocols.
- While private inspections can still go ahead, other virtual methods are recommended to see and experience the property.
- Tenants are not under any legal obligation to conduct virtual inspections, but the QLD government encourages everyone to work together and put all agreements in writing.
- Repairs and maintenance may be required to keep the premises safe, and in many cases can be completed in-line with social distancing rules.
New South Wales
Evictions
The NSW Government is introducing an interim 60-day stop on landlords seeking to evict tenants due to rental arrears as a result of COVID-19, together with longer six-month restrictions on rental arrears evictions for those financially disadvantaged by COVID-19.
Tenants in hardship
A landlord is required to negotiate a rent reduction with the tenant in good faith in the first instance, and can only seek to give a termination notice or apply for an eviction after the interim 60-day stop if it is fair and reasonable in the circumstances of the specific case.
Fair Trading will be able to assist landlords and tenants try to reach an agreement if needed.
Along with these restrictions on evictions for rental arrears, the Government will be extending the notice periods for certain other lease termination reasons to 90 days.
At any time during the 60 day stop and the longer six-month restrictions, landlords can still apply to the Tribunal at any time to take possession of a property if they are suffering undue hardship.
To meet the requirements for 60 day stop on evictions and the longer six month restrictions, a household needs to demonstrate they are impacted by COVID-19.
A household is said to be COVID-19 impacted if:
- One or more rent-paying members of a household have lost employment or income (or had a reduction in employment or income) due to COVID-19 business closures or stand-downs, or
- One or more rent-paying members of a household have had to stop working or reduce work hours due to illness with COVID-19 or due to COVID-19 carer responsibilities for household or family members, and
- The above factors result in a household income (inclusive of any government assistance) that is reduced by 25% or more.
Tenants will be protected from being added to tenancy databases (or blacklists) for breaches of agreements resulting from COVID-19 impacts.
Any unpaid rent will accrue as arrears during this period, and will not automatically be waived.
More information, including worked examples, can be found on the NSW Fair Trading website.
Inspections
The NSW government has banned traditional open house inspections where premises are up for sale or lease.
Landlords and agents can still show a single party the premises after they have made an appointment with the tenant(s) for individuals with strict social distancing and hygiene procedures in place – ensuring that nobody touches anything.
There is a limit of two inspections per week unless the tenant consents to more (as is the case under normal circumstances.)
Western Australia
The McGowan Labor Government recently unveiled a $1 billion economic and health relief package to support Western Australian businesses, households and community groups, and to boost the response by health and frontline services to the COVID-19 pandemic.
The package builds on the $25 million rent relief package for businesses operating on government-owned premises and $159 million Lotterywest funding package to assist community services impacted by COVID-19, announced earlier this week.
On April 14, Premier McGown announced that urgent legislation to implement a range of measures to minimise financial impacts of the COVID-19 pandemic on tenants and landlords of commercial and residential tenancies would be introduced into State Parliament (The Commercial Tenancies (COVID-19 Response) Bill 2020)
Evictions
The Commercial Tenancies (COVID-19 Response) Bill 2020 will introduce a moratorium on evictions for small commercial tenancies and provide a range of other measures to offer support for tenants in response to COVID-19, including the introduction of a code of conduct for landlords and tenants.
The Residential Tenancies (COVID-19 Response) Bill 2020 will introduce:
- a moratorium on eviction for six months except in limited circumstances including, for example: if a tenant is causing serious damage to the property or injury to the landlord or a person in adjacent premises; the landlord or tenant is experiencing undue hardship; a tenant is experiencing family violence and the perpetrator needs to be evicted; the tenant abandons the premises; or the agreement is frustrated;
- a prohibition on rent increases during the emergency period;
- that any fixed term tenancy agreement due to expire during the emergency period will continue as a periodic agreement;
- relieving lessors of the obligation to conduct ordinary repairs if the reason they cannot do so is COVID-19 related financial hardship or a lawful restriction on movement; and
- enabling a tenant to end a fixed term tenancy prior to its end date without incurring break lease fees (tenants will still be liable for damage and rent arrears).
The laws will apply equally to tenants in public and private housing, park homes as well as boarders and lodgers.
Current advice is that tenants who experience difficulty meeting their rent obligations should inform their landlord or property managers as soon as possible.
In the event a mutual agreement cannot be met and either the lessor or the tenant determines to terminate the tenancy, both parties must comply with the termination processes outlined in the Residential Tenancies Act 1987.
Tenants in hardship
- No households in Western Australia experiencing financial hardship as a result of COVID-19 will have their power or water disconnected.
- In addition, no interest will be charged on deferred bill payments for those experiencing COVID-19-related financial hardship.
Tenants who experience difficulty meeting their rent obligations due to the impact of the COVID-19 coronavirus should inform their lessor/property manager as soon as possible. Tenants and landlords should be honest about the situation and discuss options – these could include a rent-free period, a decrease in rent or a mutual agreement to terminate the lease without penalty. Lessors and tenants who reach an agreement about how to manage the situation should formalise any agreement in writing.
In the event a mutual agreement cannot be met and either the lessor or the tenant determines to terminate the tenancy, both parties must comply with the termination processes outlined in the Residential Tenancies Act 1987.
- For information about income assistance for anyone impacted by COVID-19 coronavirus, visit the Department of Treasury.
Inspections
Current advice is that a tenant should advise their lessor if they are self-isolating or have contracted COVID-19, especially if the landlord or agent plans to visit or enter the property.
As per the national guidelines the “home open” for a property that is offered for sale or for rent, can no longer take place.
An exemption has been granted which allows viewings to occur by private appointment only and consistent with the required social distancing measures.
Current guidelines from Commerce WA recommend virtual viewings.
Rent relief
Still not enough clarity here according to REIWA.
ACT
Evictions
Currently the ACT has not enacted the moratorium into their local laws.
Tenants in hardship
The ACT Government has re-prioritised funding to provide an additional $100,000 to Lifeline Canberra to increase their capacity to undertake their important work in supporting our community.
This funding will enable them to answer an additional 1000 calls each month, over the next six months, supporting our community at this challenging time.
Inspections
As per the national guidelines.
Rental Relief
The ACT Government will provide a land tax and rates rebate to landlords of residential properties who reduce rents by at least 25 per cent for tenants impacted by COVID-19.
The rebate will be equal to 50 per cent of the rent reduction, capped at $1,300 per quarter (around $100 per week), for up to six months. This will provide rental relief to impacted tenants of up to $200 per week.
South Australia
Evictions
Tenancy agreements can be ended by notifying the landlord or agent. The notice period depends on the type of agreement.
Tenants in hardship
Where tenants have been impacted by COVID-19 but still have the capacity to pay their rent, the direction is that they should continue doing so. Where alternative arrangements are needed as a result of COVID-19, tenants and landlords are encouraged to work together on an agreement and – where an agreement cannot be reached – the matter may need to go before the South Australian Civil and Administrative Tribunal.
In the first instance, tenants should get in touch with their landlord and discuss the situation with them. Tenants should try to resolve the matter with the landlord by setting up a written, signed payment plan. Each party should keep a copy of the signed payment plan.
If a landlord believes that a tenant has the capacity to pay, they can seek conciliation or an order through SACAT.
Inspections
Private inspection appointments can still be made, but landlords must not breach the reasonable peace, comfort and privacy of the tenant.
The new measures in SA allow landlords to use technology such as face-time, live video or time-stamped photos for routine inspections where possible unless there are exceptional circumstances and sufficient safety measures in place for inspection in person.
Under the changes endorsed by the State Parliament of SA, landlords can conduct routine inspections by using audiovisual technology (eg Facetime or Skype). Time-stamped photos can also be used.
Northern Territory
Currently the NT has not enacted the moratorium into their local laws.
Rent Relief
The NT Government last week offered incentives for commercial landlords to reduce rents during the COVID-19 crisis.
Tasmania
Tenants in hardship
The Tasmanian Government has introduced a 120-day emergency period into its Residential Tenancy Act ending on 25 July and extendable by further 90-day increments if necessary.
During that 120-day emergency period, tenants cannot be evicted for falling into rental arrears, however, landlords can issue a notice to vacate on the grounds of rent arrears when the period ends.
Leases can still be terminated during the emergency period if tenants agree or if the tenant or landlord make a successful hardship application.
Last updated 18 April, 2 pm.
Further reading: The options so far for rent relief in Australia
Fair Trading NSW
Consumer Affairs Victoria
Department of Commerce WA
Queensland RTA
