The Real Estate Institute of Queensland said it was recommending the strategy to avoid property owners ending up with a “tenant for life”.
REIQ chief executive Antonia Mercorella said her organisation was recommending issuing a Form 12 Notice (a notice to leave) at the start of a fixed term tenancy agreement so that there was an agreed end to the tenancy.
She said the REIQ made the recommendation because of new laws that would start in Queensland in October which make it harder to evict tenants.
“In Queensland, even though the parties have agreed on the length of a tenancy agreement the law still requires the lessor to issue a Form 12 at least two clear calendar months prior to the end date of a fixed term tenancy agreement,” she said.
If this isn’t done the REIQ said the agreement defaults into a periodic agreement and “when this occurs, the lessor will effectively inherit a tenant for life” unless it can satisfy a narrow band of reasons for ending the agreement.
However, a tenant has the ability to end a tenancy agreement with seven days’ notice.
“That’s why we’re recommending issuing the Form 12 at the start of each fixed term tenancy as this simply affirms the agreed contractual terms that fixed term tenancy agreement will end on the agreed date,” Mercorella said.
She said it was not an early eviction notice and there was nothing stopping parties entering a new agreement.
“It is regrettable that we have been forced to promote this practice but the new legislation has left us with little choice given that it has failed to protect all parties in a tenancy relationship,” she said.
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