Victoria’s real estate peak body, the Real Estate Institute of Victoria, says it’s buoyed by the National Cabinet announcement to end any further consideration of rental caps and freezes. 

The REIV ran a Victorian-wide print, digital, editorial and social media campaign, backed by industry to demonstrate that while a rent freeze might save renters some money in the short term, it would drive away investors and further impact rental supply. www.reiv.com.au/frozenout 

REIV CEO, Quentin Kilian, says it’s encouraging to see a national approach being taken to address the underlying causes of the housing and rental crisis playing out across Australia, with states in agreement that rental freezes will only exacerbate the issue.

“Housing supply is the foundational issue facing Australia’s residential property market and increasing supply is where policy needs to start,” Mr Kilian said. 

“A rental cap or freeze over and above the legislation already in place in Victoria was an ill-considered idea that would only drive more investors from the market and leave renters out in the cold.”

“It’s reassuring to hear state and national leaders are now heeding our call to address the root cause of supply head on. With states now encouraged to focus on increasing housing supply in place of rental caps, we welcome the opportunity to work with the State Government on how to relieve that pressure on the market for now and into the future.” 

Mr Kilian said: "We are extremely pleased that our voice, the view of other leading property sector experts, and indeed the analysis of credentialled economists is finally being heard,” Mr Kilian said. 

The REIV stands ready to work with policy makers on the national “A better deal for Renters” initiative, having recently provided detailed feedback on the Residential Tenancies Act (RTA) as part of the state’s Inquiry into the rental and housing affordability crisis in Victoria. The feedback provided was gathered following over two years of the RTA amendments in Victoria. It is a carefully considered document that proposes changes aimed to simplify the Act, remove ambiguity and reinstate some balance between rental provider and renter obligations.

The Victorian government is in a strong position to adopt the feeddback and set a template for rest of Australia. We urge the Victorian Government to review it closely and establish a workable, balanced legislation that supports both renters and rental providers.

The REIV calls on the State Government to unconditionally remove rental caps and freezes off the table and prioritise discussions on bolstering supply and improving rental policy efficiencies.