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Tasmanian tenants report rent hikes after moratorium on rent increases ends

Tasmanian tenants are reporting big hikes in their rent since a moratorium on rent increases ended.

Data increasingly showing it is cheaper to pay off a mortgage than rent

TASMANIAN tenants are reporting hikes in their rent of up to $100 per week since a moratorium on rent increases ended this month.

The measures adopted by the State Government throughout the COVID-19 period meant landlords could not raise the price, but that finished on February 1.

Ben Bartl, of the Tenants Union of Tasmania, said the group had been contacted by more than 10 tenants with concerns about significant increases to their rent.

Ben Bartl. Picture: NIKKI DAVIS-JONES
Ben Bartl. Picture: NIKKI DAVIS-JONES

In one case, a tenant reported their rent for a three-bedroom property in Launceston had risen from $400 per week to $500.

A Moonah resident contacted the Mercury and said his rent had just been increased from $290 to $360.

The man is an aged pensioner and lives with his wife and son, and said the $70 a week increase was equivalent to weekly household grocery budget.

“It’s going to put a lot of pressure on,’’ he said.

“I called Housing Connect and there’s nothing available, so I don’t know what we’re going to do.

“We could probably put up with it for about three or four months, but that’s it.”

Mr Bartl said Tasmania had the weakest rent control measures in the country and believes the legislation needed to be looked at.

“We believe the government should really look at introducing rent control measures to ensure tenants aren’t getting $70 a week rent increases, particularly when there’s no reason to warrant the increase,’’ he said.

Mr Bartl said the union was only usually contacted by tenants who were outraged about large rent hikes, while smaller increases were not often reported.

“The power discrepancy between landlords and tenants meant that if a tenant doesn’t accept the increase, they may be evicted at the end of the tenancy,’’ he said.

“A number of tenants say they don’t want to challenge the rent increase because even if they won, the tenants are worried that at the end of the fixed-term lease agreement, they will be evicted and the landlord will get someone in who will pay more.”

Mr Bartl said the Magistrates’ Court started eviction hearings on Thursday, with six matters listed to be heard.

“Some tenants have received notices to vacate, but at this stage there doesn’t seem to be the avalanche that we were worried about,’’ he said.

“In a lot of cases, landlords are working with tenants to ensure a roof is kept over their head.”

If a tenant believes a rent increase is unreasonably high, they can apply to the Residential Tenancy Commissioner to have it reviewed.

Building and Construction Minister Elise Archer said as of Friday, the Commissioner was considering just four applications for unreasonable rent increases, consistent with the same period between December 26 and February 28 in 2020.

Ms Archer said tenants and landlords can apply for additional support available under the COVID-19 Rent Relief and Landlord Support funds until March 31.

cameron.whiteley@news.com.au

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Original URL: https://www.themercury.com.au/news/tasmania/tasmanian-tenants-report-rent-hikes-after-moratorium-on-rent-increases-ends/news-story/03ce53a4a9030237b83219d332163f95