If elected next March, a NSW Labor Government will deliver fairer rental rules for renters on the Central Coast by providing more certainty as well as reducing the upfront moving costs for renters, says Member for The Entrance, David Mehan.
Mehan said a NSW Labor Government would allow renters to directly transfer bonds from one property to another, with changes also providing greater clarity on the circumstances in which a lease can end.
He said the “sensible cost of living measure” would help ease the pressure on the more than 30 per cent of people in NSW currently renting.
“Anyone who rents knows just how anxious and challenging a process it can be to find a place to rent, never mind the significant costs associated with moving,” he said.
“In fact, moving house is one of life’s most stressful events.
“Labor’s changes will give renters and owners more certainty, allowing renters to build a home while also protecting owners.
“Introducing reasons for eviction will update and modernise NSW’s rental laws and bring us in line with most other states.”
Central Coast Tenants’ Advice and Advocacy Service Manager, Sidone Shaw, said portable bonds would be a good move and has welcomed the commitment.
“Central Coast Tenants’ Advice and Advocacy Services believes the removal of no grounds notices of termination will rebalance the relationship between landlords and tenants,” she said.
“It is long overdue.
“It will remove the uncertainty faced by tenants when they receive a termination notice and do not know why.
“The current bond system pushes people into dodgy loan practices.
“The portable bond proposal will not disrupt protection afforded to landlords and tenants from the rental bond board.”
Amendments woulsee the rental bond process streamlinedto allow renters to directly transfer bonds from one property to another, while ensuring owners still have access to funds they may need.
Currently, many renters must find thousands of dollars for a bond for a new property before their existing bond has been refunded.
This leaves renters out of pocket up to several thousand dollars, for up to several weeks, placing many renters in financial stress and forcings some to take out personal loans.
The NSW Tenants Union estimates the basic costs of moving home is around $4,000, without taking into account renters being out of pocket for weeks while they wait for their bond to be refunded.
Yet recent data shows that one in three people would need to go into debt to cover an unexpected $600 payment, and one in 10 simply wouldn’t be able to cover it.
The NSW Rental Bond Board will still hold bonds on trust.
But it will allow those bonds to be held on trust for the new property, while also ensuring the board can collect against it on behalf of owners for outstanding debt accrued by renters for property damage.
As a result, no owners will be left out of pocket from the changes.
Labor will also clearly outline the grounds on which a lease may be terminated, working closely with stakeholder and advocacy groups to develop a list of reasonable grounds for an owner to end a tenancy, including minimum notice to vacate a property.
Owners will retain common sense rights to evict those who are breaking the law, damaging property or not paying rent.
Mehan said median rent in the state has increase almost 10 per cent between 2016 and 2021 – from $386 to $420.
“There are more than 8,000 renters in The Entrance electorate who pay are paying a median rent of $546,” he said.
“Over 35 per cent of tenanted households in NSW are in rental stress (with payments greater than 30 per cent of household income).
Source:
Media release Nov 11
Member for The Entrance, David Mehan
Why does it need a change in Government to do the sensible thing for renters? The Labour government said it will deliver fairer rental rules if elected. Why not talk with the Liberal Government and just make it happen. Renters should not be the bargaining chip.