Longer leases are coming to NSW and Victoria
“Generation rent” has added security to look forward to with NSW and Victoria introducing leases of 10 years or more.
Both New South Wales and Victoria are set to introduce longer lease terms, according to the AFR. This comes after RBA assistant governor Luci Ellis last month called for first home buyers to give up the dream of purchasing to live.
New South Wales will introduce longer lease terms following a review last year recommending that fixed-term leases of five years or more be made available.
Following announcements of a variety of changes to its housing policies, the Victorian government has also made an adjustment to rental laws that allow for leases of more than five years. With this comes the option for both renters and landlords to have long-term tenancy agreements of 10 years or more.
The AFR reported that the reforms to Victorian rental law were the topic of discussion at a property industry forum in Melbourne last week. At the forum, Victorian planning minister Richard Wynne explained that the reforms were aimed at assisting people who are not able to get into the property market but who want added security to their living situation.