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Renters’ Rights Rundown: Victoria’s new renting rules
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Размер видео:
- Опубликовано: 22 мар 2021
- This briefing session was recorded live on Wednesday March 24th, 2021.
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If renting increases in risk to the landlord then they are going to increase the cost of rent. If landlords then decide to sell their homes should the risk exceed what they are willing to bear there will then be an oversupply of homes on the market. You will then have the result of many homes being for sale which will then fall in price, banks will then increase interest rates on their home loans due to the increased risk of the loans (as the value of the asset is less than the value of the loan and should the borrower default they want to recoup the remaining cost of the mortgage). Then there will be more renters competing for less and less properties where rental prices increase, home loans will have greater interest rates due to increased risk to banks (any asset that looses value has a higher rate than one that appreciates).
Sweden has one of the strictest laws regarding lending, as it controls even how much the landlord can charge for rent. This has resulted in an on average 11 year wait for a tenancy. This wait is nationwide, it is not just in the capital cities. Whoever is coming up with these new laws doesn't appear to understand concepts such as supply and demand or has merely completed an economics subject in university. Rent increases during recessions, rent increases with changes in Loan interest rates and so on. Why do you people seek these jobs if you are so incredibly incompetent and inept, it's ridiculous.
If you're not as incapable as suggested the only reason I can see for these changes is to chase votes of renters. As these laws have been enacted by the Labor party and its constituents it's really not a leap to suggest these alterations have been enacted purely to appease voters. These laws are going to improve the standing of renters in the short term but will hurt them in the long term as the rental supply is constricted and the price climbs significantly. Then presumably you're going to respond with price controls on rentals which will again even further constrict the supply of rentals, this is the story of Sweden.
How about you recognise the rights of landlords, if your so smart and clever whom is going to provide housing when landlords sell up.
I really wonder how a group of people never understood who is providing the housing.
So when 50,000 landlords sell their rentals how smart and clever will your new rental laws be then.
You have no idea about the impact you are about to impose