On 2 April 2020, the Queensland Government announced its COVID-19 Rental Grant Scheme (Scheme) for residential tenancies. Under the Scheme, Queensland residential tenants may apply for a one-off payment of up to 4 weeks rent (up to a maximum of $2,000) paid by the Queensland Government directly to the affected landlord. The Scheme is only accessible to tenants who cannot access other financial assistance.
To qualify for the Scheme, tenants must:
- live in Queensland;
- have, or will shortly have, a bond registered with the Residential Tenancies Authority;
- be an Australian citizen, permanent resident, or have a temporary or permanent protection visa or a bridging visa;
- not have more than $10,000 in cash and savings;
- be able to provide evidence of attempts to negotiate a payment plan with their landlord;
- have lost their job and have applied to Centrelink for income support; and
- be waiting for their application with Centrelink to be approved.
While the Scheme comes as timely relief for many residential landlords, it still requires a number of conditions to be met before any relief may actually be provided.
In light of the Scheme, residential landlords should consider the following practical steps before providing any rent reductions or suspensions:
1 - Ask your managing agent to speak with the tenant and gauge the tenant's financial circumstances |
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2 - Record any agreement made with the tenant in writing |
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3 - Contact your mortgagee to discuss deferring payments |
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4 - Consider any existing insurance policies |
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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.