NSW Premier Chris Means says new laws to end “unfounded” evictions will allow the state's renters to “build their homes and lives on more secure land” as historically low vacancy rates continue to worsen.
The bill, announced Saturday, seeks to end the right of landlords to terminate a lease “at any time or for no reason,” instead requiring them to provide “common sense or reasonable cause.”
The Prime Minister said the changes would still allow “bad tenants” to be evicted and protect property owners from bad behaviour, but added it would give greater peace of mind to the state’s burgeoning renter population.
“Anyone renting in NSW will know how uncertain and difficult renting is at the moment. We all saw hundreds of people queuing on Saturday morning to view new properties,” Ms Minns said.
“We believe these reforms strike a good balance, but more importantly, they provide greater certainty and peace of mind to both homeowners and renters, enabling them to build homes and lives on safer land.”
The NSW government says about 33 per cent of the population is renting, up 17.6 per cent since 2016. What’s more, median rent prices have risen by about 7 per cent in the past 12 months.
Under the proposed changes, tenants on regular or fixed-term leases would be protected from groundless evictions. Instead, owners would have to prove that the tenant breached the lease or caused damage to the property.
Other reasons include nonpayment of rent, sale of the property, significant renovation or repairs, change of use, or the tenant no longer being eligible for an affordable housing program.
Rose Jackson, the minister for housing, homelessness and young people, said the proposed changes were an election promise of the current Labor government and would help create a fairer rents system that was “critical to rebuilding our housing system”.
“For too long, renters have faced unprecedented uncertainty, making it harder to secure jobs, start families and develop connections in their communities,” Ms. Jackson said.
“Real-world tenants—those who pay rent and take care of their homes—should not be in a constant state of limbo, with the prospect of being evicted for no reason at the last minute. They deserve more security, and ending unfounded evictions is a critical first step.”
The NSW government said the changes would help bring the state “in line with other states” such as the ACT, South Australia and Victoria, which have already legislated their own models to end unfounded evictions.
