A patchwork of different proposals is emerging in dealing with the potential residential tenancy fallout from COVID19.

There are common themes. In a number of States, land tax relief will be given in proportion to rent concessions by landlords. This ignores any investors below the land tax thresholds.

Different approaches are taken to rent arrears. In NSW, a rent deferral model has been adopted. Qld is proposing a rent waiver model.

Qld's approach also appears to allow tenants to request rental relief without providing any financial basis for that request. This increases the risk of strategic defaulters.

Landlords' inability to request financial information would require them to make decisions in a vacuum, unable to determine if a tenant's request is genuine or not.

Landlords who know their tenants will be able to determine if a request is genuine and some tenants will be forthcoming with their financial details.

However, many landllords will be flying blind. They are unlikely to agree to any relief request with the matter being sent to compulsory conciliation. This process should help to determine if the request is genuine or not.

Qld Parliament will consider these proposals on 22 April.

Coronavirus: Queensland introduces new measures to protect tenants, support landlords https://www.domain.com.au/news/queensland-introduces-a-raft-of-new-measures-to-protect-tenants-support-landlords-during-covid-19-crisis-948013/

REIQ leads revolt against Queensland Government's COVID-19 tenancy protections https://www.propertyobserver.com.au/forward-planning/investment-strategy/property-news-and-insights/112574-reiq-attack-queensland-government-s-covid-19-tenancy-protections.html

Open Letter to Landlords from The Real Estate Institute of Queensland https://www.reiq.com/wp-content/uploads/2020/04/REIQ-Open-Letter-to-Landlords.pdf?utm_campaign=MessagefromAM-14April2020-ProtectQueensland&utm_medium=email&utm_source=autopilot

Special COVID-19 Protections for residential tenants and owners http://statements.qld.gov.au/Statement/2020/4/9/special-covid19-protections-for-residential-tenants-and-owners

RTA - New forms for temporary COVID-19 tenancy arrangements https://www.rta.qld.gov.au/Newsroom/New-forms-for-COVID19.html

Land tax - Coronavirus land tax relief https://www.qld.gov.au/environment/land/tax/covid-19

Relief package for landlords and tenants – leasing principles https://www.treasury.qld.gov.au/budget-and-financial-management/revenue-and-taxation/leasing-principles/

Qld - The Residential Rental Hub https://www.covid19.qld.gov.au/the-hub

Postscript:

Qld Government to now consider stakeholder views in formulating COVID19 residential property measures. http://statements.qld.gov.au/Statement/2020/4/16/government-continues-to-listen-on-temporary-covid19-tenancy-measures

April 2020

The content of this publication is intended to provide a general overview on matters which may be of interest. It is not intended to be comprehensive. It does not constitute advice in relation to particular circumstances nor does it constitute the provision of legal services, legal advice or financial product advice.