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NSW COVID-19 RESIDENTIAL TENANCY AMENDMENTS

The global COVID-19 pandemic has caused huge economic impacts on many Australians, and many are facing trouble meeting their financial obligations. In response, the Federal government has previously announced a moratorium on evictions to provide temporary protections for tenants. Last week, the NSW Government introduced amendments in form of the Residential Tenancies Amendments (COVID-19) Regulation 2020 (the Amendments) that aims to help residential tenants who are a member of a household affected by the COVID-19 Pandemic.

The amendments include:

  • 6 months moratorium period on evictions due to rental arrears;
  • 60-day stop on terminations;
  • 90-day notice period requirement on other terminations; and
  • Prohibition of black-listing tenants.

 

 Ban on termination

The moratorium puts a 6-month ban on evictions, including a 60-days stop from its commencement day on new termination notices and terminations due to rent arrears, provided the tenants is a member of a household financially affected by COVID-19.

 

 COVID-19 Income Test

The Amendments provide that a household is impacted if one or more rent-paying members has suffered the following as a result COVID-19:

  • Lost employment or income; or
  • Reduction in work hours or income; or
  • Had to stop working or materially reduced hours due to COVID-19, or carer responsibilities for another member with COVID-19.

As a result, the weekly household income has been reduced by at least 25% as calculated by the total weekly income after tax including government payments of each rent-paying member.

Tenants are to provide documentary proof showing:

  • Job termination or loss of work hours
  • Government income support, or
  • Prior income after tax.

If you are unable to prove that you have been financially affected, you will not be eligible to the moratorium and you may still be terminated for rental arrears.

 

 Termination rights

Landlords may still terminate within the moratorium period if three conditions are fulfilled:

  • The termination notice or application is made at least 60 days after the commencement of the Amendments,
  • The landlord has participated in formal negotiations in good faith with the tenant, and
  • it is fair and reasonable in the circumstances to terminate.

In dealing with an application by a landlord or impacted tenant regarding termination, the Tribunal may have regard to:

  • any advice by NSW Fair Trading relating to the rent negotiations process;
  • whether the tenant continued to make payments;
  • nature of financial hardship and general financial position;
  • availability and affordability of reasonable alternative accommodation for the impacted tenant;
  • any special vulnerability of the tenant; and
  • public health objectives of citizens remaining at home and preventing avoidable movement.

The NSW Government has provided two flowcharts as a good summary for tenancy rights under the Amendments.

1

 

2

 

 

 Important considerations

The Federal and NSW government has emphasized on the importance in having honest communications and negotiations in good faith between landlords and tenants. Both parties should keep an open line of communication and try to reach a mutually beneficial outcome to help each other in these difficult times.

During negotiations, there are some important considerations such as:

  • the amount of rent reduction
  • the time period of rent reduction
  • whether current rental arrears are waived or delayed
  • future rent amount after the period of rent reduction
    • by market review or the previous rental amount
  • the financial situation of both parties
  • any concessions the Landlord may be entitled to (etc. land tax reduction)
  • any continuing obligation to provide proof of financial hardship

 

It is important to review the considerations above to protect your interests, and any concluded agreements must be put in writing for legal certainty. It is also recommended that you obtain legal advice before signing any rental agreements.

 

 Our Professional Services

At Sun Lawyers, we provide professional services to help both tenants and landlords with any tenancy matters. Our property team are experienced in drafting and reviewing legal documents to protect your best interests in any agreements. We will attend to any negotiations, mediations or dispute resolution between tenants and landlords. If any dispute cannot be resolved, we can also help you bring the matter to court.

Should you require more information, do not hesitate to contact us at  9267 4988 or email info@sunlaws.com and Vincent.hui@sunlaws.com to get in touch with us.

 

关于5%首付贷款计划你需要知道的事

相信大家对于今年年初澳洲政府开始实施的这个5%首付贷款计划 (First Home Loan Deposit Scheme) 都不陌生,这对于想要买房的小伙伴们绝对是一个重大好利!但是,对于这个计划你又了解多少呢?下面我们就来介绍一些你一定必须要知道的细节。

什么人可以申请?
年满18周岁以上的澳洲公民(不包括永久居民),如果你是首次置业,并且用于自住的话,只要符合收入条件均可申请。

可以买什么类型的房子
5%首付贷款计划只适用于购买住宅物业的申请人,如果你想买商业用途的物业,那就不适用了。

对房价有要求吗?
有!有!有!重要的事说三遍!这个计划不但对房价有要求,并且每一个州的房价要求,市中心及周边地区的房价要求都不一样。详情请见下表:
Picture1

举例来说,最近在布里斯本市中心一些非常火的楼盘吸引了很多买家的注意。有客人问”我看上了一套63万的房子,可以申请这个5%首付贷款计划吗?” 答案是不可以,因为政府对昆州首府城市 (Capital City)的房价要求是必须低于47万5千,超过这个价钱的房子就不符合5%首付贷款计划的要求了。
另外,值得注意的是类似Wollongong, New Castle, Geelong, Gold Coast之类的城市,虽然看上去是偏远地区,但是由于他们的人口数量都超过25万,因此,首府城市的房价要求也同样适用于它们。比如,如果你想在Wollongong买一套68万的房子,你就可以申请这个5%首付贷款计划。

时间点
另外,我们要特别提醒各位想申请5%首付贷款计划的小伙伴们,时间点非常重要!
在你顺利获批5%首付贷款计划后,你有90天的时间去寻找自己喜欢的房子,并且签约购买。如果你不能在90天内完成签约,你获批的名额将会作废,你需要重新申请这个5%首付贷款计划。
如果你在90天内顺利完成签约,你也一定要第一时间通知你的银行,这样你就会获得额外的30天时间去完成剩下需要完成的手续。

想要了解更多关于这个5%首付贷款计划的情况或者在澳洲各州买房需要注意一些什么,欢迎你来我们盛晶律师行咨询我们经验丰富,专业可靠的房产律师。