Australian estate agent defends email sent to tenants warning Christmas is ‘eviction season’, relying on income stream from holiday defaulters ‘not prioritizing rent’ He argued that he had to protect the landlord.
An email sent to tenants on Monday by Victorian specialist Taylors Lakes has been described as a “callous threat” to vulnerable Australians battling the rental crisis.
“The Christmas period is also known as ‘eviction season’ in the property management industry. Too many people choose to use their rent payments as a Christmas expense instead of making accommodation a priority for their families during this period. Because they choose to allocate their funds to ,” the email said.
The email goes on to advise that rent is a tenant’s “biggest financial obligation” and that property managers have the “unfortunate job of having to remove and evict these tenants from their homes.” He pointed out that he was facing difficulties.
“This behavior is extremely unpleasant for everyone involved and is making Christmas less enjoyable for all of us,” the email said.
Joseph Abraham of Professional Taylors Lakes said: Yahoo Finance He apologized for the violation, noting that the “timely reminder” was sent without “malicious intent.”
He further justified that statement, noting that January and February are the months when the most eviction notices are issued, and that while he wants tenants to “have a good time,” he says, “Paying the rent is more important than anything else.” It is the real estate manager’s job to prioritize this as well.” Others”.
“Many of our landlords rely on rental income to make a living. For example, many of our landlords rely on rental income to cover mortgage repayments in the face of high interest rates. I’m a first-time homebuyer,” Abraham said. Yahoo Finance.
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“These people are not millionaires and are struggling just like some tenants. It is our duty as property management agents to ensure that our tenants clearly understand their obligations and responsibilities. “And timely reminders, such as emails sent, will be part of our efforts to ensure the message is heard clearly by everyone involved.”
said Jordie van den Bergh, a tenant rights advocate widely known as the Purple Pingers. Yahoo Finance He was contacted by a professional who advised him that the letter was only sent to tenants who were behind on their rent.
“I don’t think that’s particularly defensible, it’s heartless. I’ve talked to some tenants who received the email and they said that’s objectively not true,” Van den Bergh said. He said many people fear retaliation if they speak out.
Mr Van den Bergh said a significant number of Australia’s renters were trying to protect themselves in a rental system with a “massive power imbalance” skewed towards landlords and overwhelmingly low vacancy rates. He said he knew there was “nothing that could be done.”
“They have to stand up to landlords and real estate agents, but they can’t do it without fear of eviction, abuse, or even bad publicity,” he says.
The Melbourne founder of ‘shitrentals’, which allows tenants to post horror stories about the industry, has no intention of providing financial support, especially to those struggling to pay their bills, and questions the legitimacy of its targeting. I saw it.
“They are preying on especially vulnerable people. By their own admission, we only send this nasty email to tenants who are consistently behind on their rent, and we want to know why and how we can help them.” “They said they had no idea what could be done to help,” he said. He said.
“Imagine a bank sending you such a threat without offering payment plan options or at least a government debt helpline.”
Katherine Gonzalez Koch, national chief executive officer of Professionals Real Estate, said the email had not been approved by the company’s board of directors.
“[It] It does not represent our expectations for communication with property renters. On behalf of the profession, I would like to apologize to the recipients of the email,” Gonzalez-Coke told the Guardian.
Breaking down the housing crisis: The struggles of mortgage holders and tenants
Vacancy rates are at record lows in most regions across the country, and rose slightly to 1.1% in November data released today. However, SQM Research noted that an additional 3,164 properties were added across the country and said market conditions “remain challenging for renters.”
Mortgage holders are also under huge pressure, despite the Reserve Bank keeping the cash rate at 4.35% last week. 13 rate hikes since May 2022 means the average borrower has already spent up to $24,000 on interest since the RBA’s inflation attack began, and around half a million more will be eligible for lower fixed rates next year. This will lead to a shift to higher variable interest rates.
The Canstar Consumer Pulse report found that 34% of mortgage holders and 38% of investors said they were worried they wouldn’t be able to cope if interest rates were left on hold in 2024. did. Economists at all four major banks think borrowers will wait until at least the middle of the year. -All year round until interest rate relief takes place.
“This is simply to keep repayments at their current levels and does not take into account further rate hikes that could occur if the RBA raises the cash rate again to tame stubborn inflation.” the report states.
NAB expects another rate hike in February.
“We have to endure tough conditions, and the first half of next year is going to be just as tough,” financial expert David Koch said. Yahoo Finance.
If you are feeling overwhelmed and need help dealing with financial stress, you can contact the Treasury Helpline for free advice and counseling. Call us on 1800 007 007, Monday to Friday, 9:30am to 4:30pm.
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