It could have been worse
That summarises the industry and landlords’ responses to the recently announced WA rental reforms.
The ‘worse’ was no grounds terminations, which applies to every state except WA.
WA is battling an exodus of investors from the rental market, put off by poor returns and rising interest rates which are outstripping rent rises.
According to REIWA, there are 20,000 fewer rental properties now than two years ago. The risk was that significant changes would further reduce that number, plunging us into an even deeper rental crisis.
So what IS changing?
- Rental increases will be limited to once a year rather than six monthly
- Rent bidding has been banned
- Pets will be allowed in rental properties in most cases
- Tenants will be able to make minor modifications to properties
- Streamlined release of bond payments
- Commissioner for Consumer Protection to rule on disputes about bonds, pets and minor modifications
You can read the State Government media release here.
REIWA is still working through the details regarding the implementation of the reforms, expected to come into effect in 2024. You can read more from them here.