REIV responds to motion for an inquiry on the rental crisis
Date: 16 May 23
REIV CEO Quentin Kilian shares his views on the Parliamentary motion that requires the Legal and Social Issues Committee to inquire into, consider and report, by 17 November 2023, on the rental crisis in Victoria and measures to make renting more affordable and secure for Victorians...."
“The single and best solution for the state’s current so called ‘rental crisis’ is to increase housing supply.
“No amount of rental regulations and enforcements will move the needle, in fact they will only drive the mum and dad investors who currently offer housing (rental providers) out of the market and dissuade new investors from considering property as an investment option.
“The idea of running another inquiry pushes out the urgency of working on solutions that address the housing availability issues.
“Rather than wasting tax payer’s money on another lengthy inquiry and copious reports that will follow, what is need is a fundamental and forensic review of the Residential Tenancies Act (RTA).
“Since its introduction two years ago, the RTA has only seen rental providers give in to its onerous legislation and sell-up.
“We do not need an inquiry to tell us what the problem is – we already know that – what we need is action on providing solutions.
“In order to address the core issues driving an ongoing rental crisis in Victoria, policymakers need to think bigger and develop broader, incentive-based policy.
“They also should consult the sector they’re looking to make changes within, so that the interests and responsibilities of both rental providers and renters can be considered, and the broader economic context is taken into account.
“By working together, property sector leaders and policymakers should be able to find solutions that benefit everyone, and help ensure that all Victorians have access to safe, affordable housing.
“Short term solutions such as ‘rent control’ or ‘rent freezing’ are like putting a Band-Aid on a bullet hole and are simply not the answer to a sustainable rental market in Victoria.”