Yesterday, the Greens member for South Brisbane, Dr Amy MacMahon MP, introduced a Private Member’s Bill to the Queensland Parliament proposing to amend the Residential Tenancies and Rooming Accommodation Act 2008 (Qld) (RTRA Act).
As the name suggests, the Residential Tenancies and Rooming Accommodation (Rent Freeze) Amendment Bill 2022 (Bill) proposes to amend the RTRA Act to provide for a two year rent freeze for residential tenancies under the RTRA Act, and then capped increases of no more than 2% every two years thereafter.
It appears that the Bill has been introduced in conjunction with an online petition launched by Dr MacMahon seeking support for a rent freeze.
The Explanatory Notes summarise the effect of the Bill as follows:
“The Bill achieves its policy objectives by enacting a rent freeze that ensures no landlord can increase the weekly quantum of rent with respect to a rental property, effective from the date of commencement of the bill for two years.
Rents will be frozen at no more than the amount agreed by a lessor and lessee, or publicly advertised by a lessor, on or before 1 August 2022. Failure to observe this will make a lessor liable for a fine of 50 penalty units. This fine will also apply for lessors who move a property from the private rental market to the short-term accommodation market during the rent freeze period.
For properties which have not been rented for over 12 months, rent will be set as the median rent for properties in that postcode which are comparable with respect to number of bedrooms and bathrooms, floor space and condition. This includes newly built properties.
After the two-year rent freeze period, rental increases will be capped at no greater than 2% every two years. Nonetheless, legislation which complements this bill by enacting a potentially more nuanced rent cap should be legislated before the expiry of the rent freeze period. Failure to observe rent caps will make a lessor liable for a fine of 50 penalty units.
This Bill requires the Residential Tenancies Authority (the RTA) to maintain a register of rents applicable to corresponding properties, as informed by the rental bond lodgement form which it already administers.
Where there has not been a rental bond lodged with the RTA, it will have the power to compel lessors to provide information about the amount of rent payable with respect to a residential tenancy agreement. Failure to provide this information will make a lessor liable for a fine of 50 penalty units.”
Parliament immediately referred the Bill to the Community Support and Services Committee for consideration and we will monitor the Committee’s progress and consideration of the Bill.
The Bill will no doubt cause much debate across the residential property industry in Queensland and those interested in the Bill and its progress are encouraged to monitor the Committee’s website and any opportunity that is offered to make a submission in respect of it.