‘Inundated with interest’: Texts reveal landlord’s sneaky move
A text exchange between a Western Australian renter and a landlord has angered tenants, raising questions about a new rental law.
WA News
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A tenant on the hunt for a rental property in Western Australia has roasted a greedy landlord after they sent a text attempting to increase the rent of a property already listed for lease.
An anonymous renter from Facebook group Don’t Rent Me reached out to the homeowner to inquire about viewing the property, only to receive a message in return asking if they’d consider a rent increase.
The landlord started the text by thanking the prospective renter for their interest, before explaining the property would be available to view the following weekend.
“My tenants have not vacated yet but (are) planning on doing so on the 15th (or) 16th, so the viewing will most likely be Sun 16th in the afternoon,” the iMessage read.
“I still have to fix a few minor things, paint etc and (am) looking to have the home available by the 28th.”
The homeowner then proceeded to ask a question most tenants know all too well in today’s rental market crisis – which came as a red flag to the prospective renter.
“I’m currently being inundated with interest so I’m thinking about raising the rent as I have advertised under market value. Is there a max you would go?” the landlord asked.
They then apologised however saying it was “best to be upfront” about the payment, before asking the interested tenant to get in touch if they still wanted to rent the property.
The tenant admitted they were shocked by the request, asking the Facebook group “(is the landlord) even allowed to (raise the rent)? The house is already up for $620”.
In response to the landlord, the prospective tenant stated in a text they were only interested in the home up for rent as they were satisfied with the current price it was listed for.
“I’m not even sure it’s ethical for you to now raise the rent due to being ‘inundated with interest’, I find that extremely unprofessional,” the renter wrote.
“So no I won’t be interested in the home now. And I hope you can find some other poor soul desperate for a house that you can leach money from.”
Landlord accused of rental bidding
The renter’s post received several comments in response, with many accusing the landlord of rental bidding.
“That‘s seeking rental bids. Illegal! I would report them to the correct governing body,” one person said.
“This message alone would make me not want to rent it. Sounds very unstable and a major red flag!!!” another comment read.
Rental bidding – which involves prospective renters or landlords offering higher rental repayment prices than what’s listed on the advertisement mostly due to demand – is now illegal in most states.
The WA government is also reforming tenancy laws to stop rental bidding and decrease rental increase to just once a year.
Under the proposed changes, tenants in the state also have greater freedoms in regards to keeping pets, painting their walls, and have access to a streamlined process when it comes to the release of security bonds.
“It’s no secret that some tenants in Western Australia are doing it tough at the moment, facing a combination of low vacancy rates and rising rents,” state Commerce Minister Sue Ellery said ahead of the announcement.
“Prohibiting rent bidding and reducing rent increases to once a year will help ease the financial burden on many families.”
Agents and companies who are caught instigating rent bidding will be liable for $5000 for individuals and $20,000 for companies.
A prime example of advocacy group fears
While Western Australia has become the latest state to ban rent bidding, the text exchange between the prospective tenant and landlord is a clear example of how such reforms can have negative effects on renters.
Top rental and welfare advocacy bodies in NSW have warned a similar reform by its state government could potentially have the opposite effect of “helping renters” and potentially lead to more pain.
While the proposed laws would require agents to notify all applicants if someone offers above the advertised rent, welfare and rental advocacy groups argue it will “legitimise” rental bidding and lead to “unintended consequences” in a rental market that’s already at crisis point.
The organisations have instead called on the government to enact laws which would prevent landlords, agents and tenants from offering, soliciting or accepting rents higher than what is advertised.
Homelessness NSW and Tenants Union NSW wrote a letter to the committee reviewing NSW’s rental reforms, backed by a number of other signatories including St Vincent de Paul Society of NSW, the Redfern Legal Centre, Shelter NSW and the Older Women’s Network NSW.
“It is a practice that can create unfair competition and increase rental prices in a tight market – especially problematic in a high-inflation environment that we are currently in,” the letter read.
“It can also lead to discrimination, exploitation, and insecurity for tenants, especially those who are vulnerable or disadvantaged.”
Greens MP Jenny Leong, who is a member on the inquiry, also backed calls for a rule which would cap rents at the listed price.
The last thing renters in NSW need is for rent auctions to be entrenched when they’re already dealing with enormous rental stress.
“We can give renters desperately needed security and transparency by ensuring that all rentals have a maximum fixed price when advertised, so they‘re not wasting their time or being stretched beyond their means,” she said.
“We welcome the government’s willingness to listen to community concerns and look forward to working with all members of Parliament to end the harms caused by rent bidding.”
Back in Western Australia, rental vacancy rates in May were well below the 2.5 to 3.5 per cent range which indicates a balanced market, reiwa.com reported.
In Perth, rental vacancy rates have dropped to 0.7 per cent in April 2023. In April 2022, they were 1.2 per cent, and 1 per cent the year prior.
The first tranche of rental reforms will be introduced into parliament, with the aim to implement the measures in the second half of 2023. A second tranche of reforms will also be introduced this year.
– With Jessica Wang, NCA Newswire
Originally published as ‘Inundated with interest’: Texts reveal landlord’s sneaky move
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