Coronavirus Australia: Queensland tenants able to negotiate rent deductions, landlords face fines over wrongful evictions

Queensland’s Residential Tenancies Authority will be the final arbiter in rental disputes between tenants and landlords.

Mick de Brenni. Picture: Alix Sweeney.

Queensland landlords will face fines of up to $6600 if authorities decide they have wrongly treated their tenants under new laws covering eviction protections and rent reductions during the COVID-19 pandemic.

The fines _ substantially more than errant landlords faced under previous laws _ are part of a new regime of rules aimed at supporting tenants of rental homes during the pandemic.

The laws have sparked accusations that “mum and dad” investors would bear much of the burden of dealing with the economic losses of renters arising from the response to the coronavirus crisis.

The changes protect renters from eviction and trigger negotiations on lower rents if their incomes have been reduced by 25 per cent reduction or where their rent exceeds 30 per cent of their income.

Queensland’s Residential Tenancies Authority will play a central role in an as-yet undetailed mediation process to settle disputes between property owners and tenants including over unpaid rents.

However, if landlords or property agents are found to have breached rules protecting tenants from eviction for six months or seek to end leases contrary to the new arrangements, they face investigation by the authority and fines of up to $6600.

The Queensland government has insisted that a special guide for landlords and tenants will resolve any disputes over the operation of laws governing a six-month moratorium on evictions as well as rent relief in response to the COVID-19 pandemic.

Queensland will also have a new Small Business Commissioner to mediate on small business tenancy disputes. The package also includes $400m in land tax relief for commercial landlords to ease the burden of reduced rents.

State parliament passed the laws on Wednesday night to grant a head of power to the Queensland government allowing it to create emergency regulations to implement the national cabinet decision on the moratorium on evictions.

The government backed away from initial proposals that would not have required tenants to produce proof of financial hardship before demanding decreases in their rent.

Housing Minister Mick de Brenni said the head of power, supported by the LNP Opposition, would run for “the period of the pandemic”.

The regulations will be dated back to 29 March, the date of the national cabinet decision on the eviction moratorium.

“As part of this support, we are publishing a practice guide to guide property owners and their tenants in their discussions to negotiate a way through the next six months,” Mr de Brenni told parliament.

The regulations remove obligations on landlords to undertake routine repairs and inspections where they are incompatible with social distancing and other community health objectives.

Opposition leader Deb Frecklington supported the changes but insisted they would hit mum and dad investors.

She told parliament that if it was not for the LNP and the Real Estate Institute of Queensland “this state would have had the most draconian and unfair laws in the nation” affecting landlords.