22 March 2024
A bill has been debated in Parliament that would stop VCAT from hearing tenancy related disputes as their out-of-control case backlog continues to grow.
The Estate Agents, Residential Tenancies and Other Acts Amendment (Funding) Bill 2024 proposes creating a separate body known as Rental Disputes Resolution Victoria (RDRV) to hear these types of cases.
Nationals Member for Euroa Annabelle Cleeland said there was still a lack of information about how the new body would operate, but that changes were needed to the current VCAT system.
“VCAT has been home to a wide range of tenancy related disputes, involving all aspects of the rental process including unpaid rent, maintenance issues, and rent increases,” Ms Cleeland said.
“While there have not been enough details provided to demonstrate this new body will be a better alternative, it is clear that something needs to be done.
“This time last year, VCAT recorded a backlog of 64,000 cases from the Residential Tenancies List alone.”
Ms Cleeland said rental agents and property owners had shared several concerns about the current VCAT system with her.
“Speaking with local real estate agents it is clear that the current method of VCAT procedure is untenable,” Ms Cleeland said.
“What used to be a straightforward system now is met with delays, a lack of consistency in decision-making, and exorbitant amounts of paperwork.
“One of our local agent’s cases has now had five separate hearings, another involves a 14-month delay for a bond claim for unpaid rent, while another case has reached 136 days without rental payments as VCAT proceedings continue to drag on.
“These are not massive corporations owning several properties, these are regional homeowners that rely on this income.”
At the moment, the Government has suggested that the rollout of RDRV would be at least 18-24 months away, if not longer as consultation has not yet begun.
