Queensland’s minimum housing standards for investment buyers are changing. If you are an existing landlord or considering purchasing an investment property, from 1 September 2023, all new residential tenancy agreements are required by law to adhere to a newly prescribed set of standards. Existing tenancies have until 1 September 2024 to comply.
How minimum housing standards changes impact your Queensland investment property
Whilst the basic standards that need to be met for an investment property to be rented in Queensland are not unreasonable, regulatory changes are bound to raise concerns amongst some landlords. Many properties purchased for investment are not always top-notch, high quality, or equipped with modern cons. Despite this, landlords know they are legally bound to provide a property that is safe, habitable, and free from health hazards.
REIQ offers a detailed list of the minimum housing standards changes. These include, but are not limited to, the following areas.
Safety and security
Property must be weatherproof and structurally sound. Fixtures and fittings, including electrical appliances, must be in good repair
All windows and doors must have fully functional locks and ensure access cannot be granted by way of a ladder
Window coverings are required in all rooms in which tenants are likely to expect privacy.
Plumbing and drainage must be adequate. Property must be connected to a water supply that is suitable for drinking
The kitchen, if included, must offer a fully functioning cook-top
A laundry, if included, must provide adequate plumbing, taps, and fixtures to accommodate necessary white goods.
How will the minimum standards be rolled out?
Strengthened repair and maintenance obligations commenced rollout back in October 2022 designed to support the staggered introduction of the minimum housing standards from 1 September 2023.
The newly announced minimum housing standards in Queensland may have a direct impact on landlords not only from a legal perspective but also with regard to property maintenance as well as tenant retention and satisfaction. If you are looking to buy an investment property and are planning your next round of property inspections, be equipped with the mandatory list of requirements and better still, organise a pre-purchase building inspection. A building inspection can provide valuable insights into the property’s condition. However, it is important to be aware that they may not address all legislative factors.
Stay informed and ensure your potential rental property adheres to all requirements. Whilst minimal standards may not directly transform a run-down property into a highly desirable rental, they will play a role in improving the overall quality of rental housing.