New rent control legislation - major impact on real estate investment market

One of the most intensely debated issues during the 2013 general election campaign was the recent steep increases in rent for new residential lettings in certain local markets and the ways in which such increases can be limited in future. Although the parties represented in the federal Parliament differ over how best to control increases, they all share the view that landlords' ability to increase housing rents under tenancy law should be revised. On October 1 2014 the federal government published a proposal for tenancy law reform; the new legislation is expected to enter into force in the first half of 2015. The legislation will have a significant impact on prospective investors in the residential tenancy sector and investors are therefore advised to bear this in mind in their business and investment plans.

Please visit the International Law Office (ILO) website for the full article.