The Real Estate Institute of Victoria (REIV) urges the Victorian Government to provide more support to rental providers if it is to realise its objective of improving the state’s housing supply issues.
While welcoming certain reforms passed through the Victorian Parliament last night as part of the changes introduced by the Consumer and Planning Legislation Amendment (Housing Statement Reform) Bill 2024 (Bill), a central concern for the REIV and its members remains that some reforms may discourage rental provider investment in what is an already challenged sector.
Asked to identify the most impactful legislative changes for rental providers in a December 2024 survey, REIV members responded:
- repeal of ‘no-reason’ notice to vacate (75 per cent of respondents);
- proposal for minimum energy efficiency standards (74 per cent); and
- the extension of notice of rent increase and notice to vacate periods from 60 to 90 days (45 per cent).
Kelly Ryan, REIV CEO, said that ensuring a more balanced rental market regulatory regime that seeks to fairly accommodate the interests of renters, rental providers and real estate professionals is key to addressing Victoria’s housing supply issues.
“We appreciate that protecting renter rights is a crucial aspect of a healthy rental ecosystem. This means we’re pleased with a number of the introduced reforms, like mandated yearly smoke alarm checks and the requirement for properties to adhere to rental minimum standards at the point they are advertised, rather than on contract signing,” Ms. Ryan said.
“The REIV also supports the introduction of increased training, licensing and registration requirements for real estate industry professionals, which we understand is crucial to maintaining the standard of related services provided to the Victorian community.
“But rather than continually increasing the regulatory burden for rental providers at a time when high compliance costs are already forcing many out of the market, the Victorian Government should focus on supporting them to ensure adequate supply of rental property.”
The Institute continues engagement with the Victorian Government as it advocates for regulatory settings that serve to attract and retain existing residential real estate investors, the overwhelming majority of whom are average Victorians.
The REIV is also working closely with Consumer Affairs Victoria (CAV) to keep members informed of new initiatives.
