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Renters could gain new protection from large numbers of people coming through their homes for open for inspections when the house they live in is put up for sale.
In what a tenant's group has hailed an important legal decision, the Victorian Civil and Administrative Tribunal (VCAT) has blocked a real estate agent from staging mass open for inspections for prospective buyers of an eastern suburbs home, as reported by The Age.
Estate agents hockingstuart had begun the process of selling the Box Hill home and informed the tenants – a couple who had signed a new lease only three months earlier – they would be required to allow people to come through the house for viewings.
The tenants were also asked to allow their home to be photographed, with the pictures to be displayed on property websites.
The couple objected and, having failed to reach an agreement with hockingstuart, turned to the Tenants Union, a group that promotes tenants' rights.
The Tenants Union helped take the matter to the administrative tribunal, which a week ago issued an order preventing the agent from bringing more than a single prospective buyer through at a time, unless they have the tenants' express consent.
The ruling does not set a legal precedent, but could provide guidance for future cases that come before the tribunal when tenants object to open for inspections.
"The law states that tenants are entitled to 'quiet enjoyment' of their rental property," Tenants Union policy officer James Bennett said.
"Having dozens of strangers looking through a home without your consent can be a massive infringement of privacy, security and quiet enjoyment.”
The Tenants Union hopes the decision will push real estate agents to set inspections by appointment rather than open-slather viewing times, where curious neighbours or even prospective thieves can look through a house alongside genuine house hunters.
Real Estate Institute of Victoria chief executive Enzo Raimondo warned the decision could ultimately mean a worse result for the tenant.
"One open for inspection is surely far preferable to a dozen or more single inspections," he said.
Mr Raimondo said the institute would be assessing the case, "in light of its potential impact on a property owner's ability to sell a property".
"While it is important that tenants' rights are protected, it's also important that owners can sell their property as required," he said.
- <p>I concur with earlier comments that it is easier and less intrusive to have one open per week or fortnight than numerous private inspections. With two agents, one at the door restricting the flow and the other inside with one or two couples you have the best of both worlds. A short delay will also weed out the "nosey" neighbours from the genuine buyers.</p>0
- <p>Opens are one big waste of time, except for the agent. I applaud the decision. How can you get a real feel for the buyer by having to manage multiple parties. One on One is the best way, but it requires agents to spend more time on a client. As an agent, I only do private viewings and my success rate in terms of time to sell is great. Buyers also appreciate being treated with more focus and attention. Furthermore, an agent should respect a tenants rights and manage their vendor better in terms of the expectations the agent gives the vendor about selling tenanted property. Getting the tenant onside is a major benefit when selling tenanted property, but most agents seem to see them as a pest. Up your game boys.</p>0
- <p>what a joke. this says a lot about the world when pettiness like this is brought into VACT. #first_world_problems</p>0
- <p>Having been a tenant I have experienced the open homes. It is not a huge interruption as long as everyone works together and agents respect that people work all week and families have visitors and get togethers on weekends. In this case I think it was the fact that the tenants signed for 12 months and 3 months in they get told sorry, now it's up for sale. I would be upset about that as this could have been their first home together and now they do not have that privacy they moved out with each other to have. Someone new it was going to go on the market and blind sided the tenants. Just my opinion Cheers</p>0
- <p>Yes, this one is a bit hard, I sell a lot of rentals and try to get a rapport with the tenants and ask them if every 2nd week would be good. Usually this works out well. I think it is unfair only 3 months lease they (tenants) have been advised the house is up for sale. The owner may have new he was selling in 3 months and should have had more thought. Not just wanting the rent for a few more months</p>0
- <p>As long as the selling agent and the rental agent are the same I would suggest to the owner that the tenant be paid to hold the open house say $100 OR a rent reduction but cash talks all languages then they could go out for a nice lunch !<br>leave before open and come back when it is finished and carry on with just living the dream !!</p>0
- <p>I agree with Enzo Raimondo. One other way around this situation that may assist the tenant, is that two agents attend the Open House. It is just impossible to sell a property if the tenant do not co-operate and work with the agent. I feel that in many cases Tenants have far too many rights and in turn with turn investors away. I do hope this is not a precedent.</p>0
- <p>It is a balancing act trying to meet the owners needs and also respecting the tenants privacy. It is horrible for a tenant, however, if the Agent works closely with the tenants, and the seller "cuts some slack" with reduced commission while the property is on the market,it can usually be achieved. <br>I do agree that one Open Home per week is usually less intrusive for the tenant that lots of private inspections.</p>0
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