Property Buyers Liability for Tenanted Purchase
Are you selling a property that is currently tenanted? Are you buying a property that you intend to rent out after settlement?
This is what you need to know about the new Residential Tenancies and Rooming Accommodation and Other Legislation Amendment Act 2024 (Qld) (the “Act”) which commenced on 6 June 2024!
One of the changes in the Act is that rent cannot be increased more than every 12 months for a property.
Rent for each residential premises comprising the Property may only be increased once per year. This applies even if there is a change in owner and tenant, or there is no existing tenancy in place for the Property.
It needs to be determined the actual date the rent was last increased.
If you are purchasing a property and intend to rent out the Property after settlement, then we strongly recommend you immediately speak to your proposed property manager to discuss options.
If you are selling a property, you will be required to give the buyer evidence of the date the rent was last increased. This evidence can be either:
The last tenancy agreement,
The last tenant’s rental ledger; or
A copy of the rent increase notice given to the last tenant.