RENTAL MARKET WRAP
The government’s latest decision not to overregulate the rental market by quashing the notion of a nationwide cap or freeze on rental prices at the latest National Cabinet meeting is welcomed. Instead, rental reforms will strike a balance between protecting tenants, whilst not discouraging investor activity. It is recognition of the critical role investors play in helping to solve the nation’s housing supply issues, including delivering on the government’s highly ambitious target of 1.2 million new well-located homes over five years, from 1 July 2024. This is backed by $3 billion in Commonwealth funding under the New Home Bonus – the first time in decades that this level of support has been offered to states and territories to improve planning and focus on new housing production. Timely given the national population is estimated to grow by 3.5 million people over the next 10 years. What does this mean for you? National Cabinet’s reform announcements signal a move towards:
- A nationally consistent policy for genuine reasonable grounds for eviction
- Limiting rent increases to once a year
- Making rental applications easier
- Phasing in minimum rental standards for things like cooktops and hot/cold water
- Planning, zoning and land release for new medium and high-density housing
- These homes must be in well-located areas near public transport, schools and employment
- Performance-based funding to achieve above the new homes target
We will continue to update you as these initiatives are implemented. We are here to help We understand that investors and landlords are just as impacted by inflationary pressures, rising costs, and the need to cover these costs. We also understand that our local market has faced cooling conditions with stock levels and vacancy rates almost double year-on-year. That’s why we are resolute in our focus to source and sign the highest quality tenants for you.
We are investing in our Property Management program through the appointment of industry-renowned leader, Cathie Crampton, as Head of Property Management for Blackshaw Real Estate – a newly created position within our business.
Cathie has carved out a reputation across Australia and New Zealand as a master of property management best practice as a coach, speaker, director and business owner. Compassionate, empathetic and driven we warmly welcome Cathie to the Blackshaw team.
As always, please reach out to your Property Manager to discuss your current investment property. For any further information or queries please contact your local Blackshaw Real Estate professional.
