The REIQ has welcomed the move to allow new homeowners to sub-let rooms. Picture: stock
Restrictions on new homeowners sub-letting rooms in Queensland have been wiped by the state government.
And the move has been welcomed by the Real Estate Institute of Queensland (REIQ).
As of Saturday, first home buyers can rent out a room from day one without losing grants and concessions.
Under the previous state government, homeowners who received stamp duty concessions and grants were not legally able to sublet their property in the first year of their ownership.
The state government issued a Ministerial Directive to permanently allow homeowners to sub-let a room. The change is expected to become formalised into law this week.
Queensland Treasurer and Minister for Home Ownership, David Janetzki, said the move would help boost housing affordability and supply.
“The government is making it easier for young Queenslanders to get into their first home by permanently removing the restrictions that prevent first buyers from renting out a room in the first year,” Janetzki said.
“Treasury modelling shows this will permanently unlock restrictions on 20,000 Queenslanders a year.
“This helps make home ownership more affordable, helping young Queenslanders to get their foot on the property ladder,” the minister said.
“Over the last decade, it has become harder and harder for young Queenslanders to get into their first home and it now takes a historic high of more than 10 years for an average household to save for a 20 per cent home deposit in Brisbane,” he said.
“Renters have also seen their weekly rents climb due to plummeting supply, rising more than 17 per cent in Brisbane in just the last two years.”
REACTION
REIQ acting CEO Kat Beavon said they supported the move.
“Making the recent changes permanent, which allow first home buyers receiving concessions to rent out unused rooms, is a common-sense measure that delivers wins for both buyers and renters,” Beavon said.
“It not only encourages home ownership and eases the financial strain of high purchase prices and interest rates but also addresses the urgent need for rental supply in Queensland’s tight housing market.
“While no single measure can solve the housing crisis, this is one lever we can, and should, pull to offer relief,” she said.
