No reasonable landlord wants to evict a tenant.

They realise the current situation has brought rental stress to tenants through no fault of their own, and property owners aren’t keen to see any tenant without a home.

Secondly, securing a tenant in the near-term market will be tough, and a vacant property will not help in covering loan repayments or other costs such as maintenance.

New guidelines allow tenants who have suffered at least 25 per cent reduction in income – after factoring in all financial support – to approach their landlord and open discussions on rent payment reductions for a set period.

The tenant will still be liable for unpaid rent during the reduction period, but the liability will be deferred.

In essence, it means the tenant is not excused from their rent obligations under their lease agreement.

Unless both parties agree to waive the lost rent, the tenant will need to pay back the outstanding rent once coronavirus restrictions are lifted.

Tenants suffering financial distress as a result of COVID-19 will not be blacklisted for the accrual of rental arrears during this time.

Tenants will be protected from eviction until NCAT is satisfied that negotiations have concluded.

As part of the 6-month support package, tenants and landlords will have access to assistance from Fair Trading and access to the NCAT to resolve matters after the end of the 60-day period, the government outlined.

This will see NSW Fair Trading’s dispute resolution service able to assist where parties are unable to renegotiate and agree on new arrangements.

NCAT will be available to make appropriate orders where parties are unwilling or unable to reach agreement and action has been taken to seek eviction.

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If you have any questions please don’t hesitate to contact your property manager or sales agent directly. Alternatively, you can call our office on (02) 9698 8818.