The REIV claims the sector has served a “double-whammy”, with the state’s rental moratorium extended for a further six months and rental inspections in Melbourne restricted to online viewings due to stage four restrictions.
The government’s current road map out of restrictions means in Melbourne won’t be possible until at least October 26.
“Landlords have virtually no relief, while tenants get substantial support,” the real estate body wrote in a press release on Sunday.
“With many reduced rental agreements due for re-negotiation this month, the REIV is advising its members to refuse to negotiate rent reductions, forcing every request into the dispute system, a system that has already failed to cope with the caseload,” it continued.
The REIV claims there has been a lack of “genuine” consultation with the industry. It is calling on the government to allow one-on-one viewings.
Victoria has announced a further six month ban on evictions. Source: AAP
“Private inspections are far safer than going to the supermarket. No one watches me there and wipes down the Corn Flakes packet that I pick up and then return to the shelf,” said REIV CEO Mr Gil King.
“We have seen and continue to see illegal rent-strikes with no consequences. Until balance and commonsense is restored we will embark on a moratorium-strike. Let’s see how the system copes without our cooperation,” he added.
Last week, the government extended its ban on evictions for tenants experiencing COVID-19 related financial hardship until March 28.
Tenants who are paying 30 per cent or more of their income in rent will be eligible to access a relief grant of $3000, up from the $2000 that was set previously.
Treasurer Tim Pallas announced on Friday that land tax relief for landlords would also be extended into 2021.
Tenants Victoria CEO Jennifer Beveridge told The Feed the union is “really disappointed” by the REIV encouraging its members to refuse rent reductions.
“The scheme we have in Victoria to seek a rent reduction relies on what is known as 'good faith' negotiations, that's a fair-go system to assist both renters and landlords amid the huge challenge we are facing as a community from COVID-19,” Ms Beveridge said.
“At a time when all of us are being told to stay at home, renters who've lost income and jobs are doing it really tough,” she added.
But Ms Beveridge has welcomed the government’s extended protections for tenants.
“Tenants Victoria commends the Andrews Government for leading the nation in extending rental protections, including continuing bans on evictions and rental increases,” she said last week.
“Victoria’s renters will breathe a sigh of collective relief that they will continue to be protected from evictions if they fall behind on rent. For thousands of renters, this is the first time they have faced such hardship.”
