Landlord Wants to Sell Property, Issued with VCAT Notice. What's The Likelihood I Will Be Kicked Out?

Hi,

I have been renting an apartment since 2015, and my landlord (who lives overseas) has issued me with notice that they wish to sell and take vacant posesssion.
I have received VCAT notice of hearing under section titled "Termination order: sale of property"

My situation
Living in a 2bdr apartment with my wife and baby , currently working from home, wife currently unable to work due to covid restrictions.
Being forced to move out would be a pretty big inconvenience and obviously financially costly (paying for movers, cleaners, taking time off work, finding a new place and signing a lease, etc).

https://www.vcat.vic.gov.au/news/changes-law-about-renting-h…
This site says
"It is no longer possible for a landlord to give a tenant notice to vacate a rented premises."
However it also lists a valid reason for landlord to request vacant possession as the reason given. (Sale of property)

Questions

  1. Just wondering if anyone has experienced this during Covid times and wondering what the chances are of the magistrate deciding they aren't allowed to force us out? Or is it a fait accompli that the magistrate will tell us we have to leave in 60 days?
    (Based on the facts mentioned above, personal family circumstances, and current covid situation making it difficult to find a new place)

  2. If VCAT is unlikely to kick me out, then as an alternative option would you think it's reasonable for me to suggest an agreement directly with the landlord, e.g. I will agree to move out by a certain date if he waives my rent for 45 days

From the VCAT form "The landlord is seeking a termination order either 60 days from the hearing date or a date agreed to with the tenant, whichever is earlier"

thanks!

Comments

    • -4

      I didn't go to VCAT, they did, because of the new covid provisions

      • +4

        The covid provisions specifically are to cover you in the event you cannot make rent payments due to being financially impacted by covid. This case has nothing to do with the covid provisions.

  • +8

    I sold my property at the height of covid and we had to go the VCAT way due to the timing. Tenant had to move out but our agent found them a nicer property at reduced rent compared to what they were paying due to all the vacancies in the area.

    • +1

      cheers

  • +5

    As painful as moving is, this could end up being a win for you as you may be able to secure a nicer place at a cheaper rate than usual due to COVID/lockdowns/oversupply. As the lockdown is now easing in Vic, start looking NOW before the competition for places increases.

    • +1

      Many International students and temp visa holder left Australia after they ran out of money. There should be plenty of vacant units to choose from.

  • +14

    Being forced to move out would be a pretty big inconvenience and obviously financially costly (paying for movers, cleaners, taking time off work, finding a new place and signing a lease, etc).

    So you don't think the landlord has the same issues ?costly him/her financially, big inconvenience, paying for interest etc?

    Either buy the place yourself or kindly move out- you are not disabled, you have a job from home.. don't use COVID as an excuse. Those things like paying for movers etc is what is involved with anyone moving in /out in covid or non covid situations bud.

  • +3

    So just to be clear, has the landlord actually got a buyer for the property and is in the process of selling it or does he just want an untenanted property that's easier to sell?

    If it's the latter then I don't understand how or why he needs to kick you out, he could still have the property listed and organise home opens with you living there.

    • Either is sufficient to issue a Notice.

      If it's the latter then I don't understand how or why he needs to kick you out, he could still have the property listed and organise home opens with you living there.

      They can, and some do. But isn't required.

    • +2

      Organising inspections under a lockdown while the tenants still live there is a pita.

      • +16

        And judging by OP, he will have a million excuse not to allow inspections.

    • +4

      Thats none of the tenant's business whether the LL has someone prospective or not.
      Theyve given the tenant 5 yrs of accommodation the right/respectable thing to do is buy or move out

      • …"given"

        The landlord worship on this forum is insane. We need far better protections for tenants in the country, when did we stop being a country that wants to look after the little guy? We're so happy to punch down and we idealize wealth, we really are the 51st state of America.

        • +12

          The tenant entitlement is what's insane.

          This post reeks of it. It's as if the OP wants the LL to keep the house and pay the mortgage so the OP doesn't have to go through the hassle of moving.

        • +1

          Although it's nice to be able to stay in one rental property for years and years, renters can't always expect more than the fixed-term lease period that they sign up for. Same goes both ways - the landlord can't expect the tenant to stay more than one year (or whatever the fixed term is). While it would be nice to see more five year lease terms or longer (I've seen many over the years) - some people don't like locking in for that long (both tenants and landlords).

        • lol so the the landlord gives the tenant 5 years to live there, and wants to sell their own property and you think LL is self entitled. How dare they sell their own investment they've had for 5 years!

          • +5

            @funnysht:

            lol so the the landlord gives the tenant 5 years to live there, and wants to sell their own property and you think LL is self entitled. How dare they sell their own investment they've had for 5 years!

            I don't think you read it correctly, he wasn't insinuating the LL is entitled, he was insinuating your point of view is. The LL didn't "give" the tenant 5 years to live there unless they didn't charge rent, they both agreed to exchange money for use of the property, the LL didn't do anything charitable. Yes, it's time for the tenant to move out, no the LL hasn't "given" the tenant anything.

            • -4

              @tryagain: I think giving the tenant a place to live is a lot…..

              Like i praise my local GP…though i pay him, i thank his service….

              • @funnysht:

                I think giving the tenant a place to live is a lot.

                He didn't give the tenant anything though, you could say the LL should thank the Tennant for paying the LL's mortgage if you switch it around, but in reality, they both agreed to something that suited them both, neither has "given" anything.

        • +3

          The landlord worship on this forum is insane

          lol how fricken cringey is it? given that gave me a shudder.

        • -3

          This argument makes no sense.

          The "little guy" is all perspective and I would argue the vast majority in Australia can't be classified as the "little guy".

          Somehow the landlord who owns a two bedroom apartment is being "worshipped" because they need to sell their property?

          Let's use a different example as an analogy. Most of Australians have a smart phone. If a poor person wants to takeyours for 6 weeks because they don't have one is that ok? You're clearly ultra rich relative to the vast majority of the world if you own a smart phone. What this guy doesn't pay for 6 weeks some other guy absorbs. And guess what, they aren't necessarily this super rich corporation that most here somehow feel should be destroyed.

          You can't have your cake and eat it too. Don't give us this better than thou attitude when this is standard business practice in a rich country got rich using this exact mechanism for trade.

      • +8

        To be a pedant nothing has been given.
        The landlord has purchased and made available accommodation at a rental price and the tenant has been prepared to pay the landlord to live there for a set amount each month.
        No one has been “given” anything. It is one of the great things about capitalism that make it a better system than the rest. A mutually agred exchange. And the landlord has given the tenant two months’ notice the exchange will have to come to an end. Sounds very fair to me.

        The deal has been more than fulfilled over five years.

  • +3

    Yeah you've got plenty of time so get organized ready to move

  • Its a great opportunity for you to find a city apartment with your solid 5 year rental history.

    Most landlords in this environment would be happy to negotiate with you to get some rent in to help them post their mortgages.

    Get onto domain.com.au and realestate.com.au and start searching for rentals and use your own to negotiate lower rent for yourself and state you are oriented to sign a long term lease.

    Great position to be in. Use it as an opportunity.

  • +1

    I don't think the landlord will give you 45 days free rent.

    Did you request for rent reduction or refuse to pay rent recently? It seems weird the landlord want to sell at a time like this.

    • +2

      The LL might be having financial difficulties themselves.

      • +3

        Yeah, plenty of other reasons too. Landlord is elderly and going into a care home and needs the funds etc, landlord died and kids need the money, landlord is retiring and needs funds to start the next chapter, landlord is upgrading their PPOR to something more expensive and is using the IP to help fund it, etc.

  • +3

    I would offer to buy the place, interest rates at rock bottom

    cheaper than renting.

  • +2

    They can legally do it as long as they give you two months notice.. And you have to pay them rent… And do a bond clean before you go.. (Qld)

  • I would take this opportunity to upgrade to a bigger house or get something similar at a discount.
    So many apartments are not filled and landlord are dropping prices.
    When I moved out of my place, the landlord offer a 30 percent drop automatically but I choose to upgrade to a bigger place for a cheaper price.

    Use Airbnb to lower your moving course.
    If you wife is unemployed she can do the end of lease cleaning and packing. To help lower the cost.

  • There isn't a lot you can do to stay in the apartment (bar buy the apartment)

    I understand the landlord wanting a empty apartment in an attempt to sell it, make it easier to organise inspections and less messy.

    You legally have to pay your rent but you DONT have too agree to any inspections or anything until you have moved out, if they ask you to do that i would ask for free rent otherwise my advise is look for a new place

  • +2

    lol start looking for a new place m9 and stop dreaming about 1.5 month free rent.

  • +3

    OP, what would you do if you were the LL and had to sell your investment property?

    Would you go giving your tenant a free stay? Would you rather them vacate so you can attract the highest price possible?

  • +3

    Sounds like your land lord wants you out because you have grounds to refuse viewing of your home.

    Talk to the land lord first thing tomorrow and see if you can make some compromise (like argreeing to viewings).

    Remind them that a property with a tenant is worth far more than one without at the moment.

    If they don't respond extremely positively in writing immediately, move out. You need to put your wife and child first. Even if it will cost you $3k to move and the land lord maybe $20k on their sale.

  • +10

    Given that you’ve received a notice of VCAT hearing, I assume there’s something you’re not telling us? Like the landlord has previously told you nicely to vacate so they can sell and you refused so they have to take it to VCAT for enforcement?

    I feel like you’re being a real entitled arsehole here. Asking for 45 days free rent before you’d agree to vacate? C’mon, son.

    • -1

      sorry but no, you're completely wrong
      The new law around Covid means LL has to go through VCAT to get an eviction or termination.

      • -2

        hey freeloader you realise that you will still owe rent? VCAT can't waive your rental liability. Have you heard of private debt collectors? I would be taking your car, jewellery, garnisheeing your wages, etc.

  • interesting that you can kick the tenants out in VIC, even though it sounds like a bit of a process. in NSW, if the tenants are on a fixed lease there's no breaking it. sell the house and the tenants come with it. i should know, i was forced to wait 8 months to move into my own home. to make matters worse the agent lied to me saying the tenants were happy to break the lease early if the buyer wanted to live there.

  • +1

    There are people doing it tough this COVID times and those low enough to exploit it.

  • +6

    Yes, selling is a valid reason for the landlord to seek a termination order. If the landlord can prove they have made positive steps to selling the property (eg: contract of sale, etc) then the member is likely to grant the termination order. If the termination order is granted without a possession order (likely, as the landlord’s not seeking to have you evicted due to, eg, non-Covid arrears), the member has to give you a minimum of 60 days. You can ask for longer and explain your circumstances.

    Due to the covid legislation currently in place, the landlord has to apply to VCAT for a termination order if they want to evict the tenant - it’s simply the formal process; it doesn’t mean anything untoward has occurred.

    If you can come to an arrangement outside of VCAT, that’s fine. That said, if you came to me asking for 45 days of free rent in exchange for moving out, I’d probably laugh at you and look forward to seeing you in VCAT :)

    Source: I work in tenancy advocacy.

    • So then what agreement would you suggest ?

      • +2

        you don't have much choice.

        1) Offer to purchase
        or
        2) Ask kindly if they could extend the termination date to 90 days

    • +3

      Laugh… lolz. I would completely lose my $h!t if someone tried to blackmail me like that while living in my property.

      FYI, I have lived on rental throughout my life. Be a decent human being OP and don't screw the landlord just because you can.

      Just do what you would expect someone to do to you if the table was turned and you were the landlord. Karma is a b!t¢h and stuff tends to come back sooner or later.

      • -2

        dude , blackmail… seriously?
        bit of a horrendous stretch

        • +3

          That's what it looks like from the landlord's perspective when you ask for "rent waiver" in exchange for vacant possession.

    • Well, given that (from what you’ve posted) they’re legitimately seeking to get you out of the property, they have the right to do that. I’d probably be seeking a reduction/extension of the time you have to vacate the property - depending on your personal situation - at no penalty (just applicable rent if you’re staying beyond your original agreement). It’s a bit rich to be requesting the landlord pays for you to move given they seem to have done everything by the book, IMO.

      As stated previously, from what I have seen the only grounds for challenging a termination order on the grounds of the landlord selling the property are challenging the legitimacy of the sale (not to say there aren’t others; IME). The member is likely to still issue a termination order if the landlord is definitely selling but your circumstances warrant being in the property for longer — they’re not likely to not grant the LL possession. As such, it wouldn’t make financial sense for the LL to give you free rent, especially if they are selling due to their financial situation. Why would they pay you when they can eventually get what they want through VCAT anyway?

      Edit, sorry I apparently can’t reply properly…

      • fair enough, if they can get me out by the law then that's fine,
        I'm not VCAT, I don't make the decisions, and I haven't challenged anything except put forward the idea that WHAT IF VCAT decides that he can't issue a termination order.

        Would he then be willing to negotiate a win-win agreement with his tenant ? Am I really so entitled for suggesting this?

        • WHAT IF VCAT decides that he can't issue a termination order.

          Why would you think that?

          • @ozhunter: Because of the fact there is a tribunal that has to make a decision. It's a possibility the decision could go either way.

            • +1

              @eckorock: Seems like it's only going to tribunal because of covid

              VCAT can only make a termination or termination and possession order if satisfied of one of the following grounds:

              The landlord has engaged an agent to sell, or prepared or entered into a contract of sale for rented premises.

              From the link, it would suggest that he is definitely within his rights. I assume you're on a periodic lease.

        • Are you so entitled to suggest that in itself? No. Absolutely not.

          From my experience, VCAT would issue a termination order if the landlord could prove that they had made positive moves to sell the property, however. Would this trump your argument that the termination order should simply not be entertained because you have a child and a wife and it would be inconvenient for you to move? Yes.

          Like I said previously though, this is simply my experience. Yours may be different — and I hope your situation works out best for you.

  • +8

    I ran out of popcorn by the end of the first page.

  • +8

    The landlord living overseas is not relevant. Doesn't matter where he or she lives, it's their property and should be allowed to sell it whenever they want.

      • So you honestly think it's fair to try and force someone to not sell an asset they own!?

      • +5

        The law is clear. Lucky for us in Australia, the judicial system does not allow for biases against foreigners. unlike what the OP is referring to.

  • Sounds like the landlord is in financial trouble himself, you wouldn’t want to sell a property at the current market if you can help it.

  • +2

    if you don't want to move out that much, you can consider putting in an offer to purchase the apartment. I had an apartment that was purchased by my tenant that have lived there for 3 years

  • just move the beef out or buy the house

  • +1

    Buy it?

  • +13

    as a home owner i would hate to have you as a tenant

    Had a guy lived in my place for 10 years and thought he owned it. Took him to court and he lost.

    Don't waste your time burning bridges and looking for a free ride

    The landlord wants to sell and you have to go. Its his house not yours

    • What did you need to take him to court for - the same issue as here?

      • this was for property overseas. I had given him notice to go. He didn't budge. Took over a year to get him out. Very annoying but he's finally out.

        Obviously, the laws differ overseas but it's very similar. We wanted the lower portion to live in when we visited overseas.

        The lease agreement was month to month. Gave him 6 months' notice actually which was more than sufficient.

        Gave him a formal notice. Ended up costing me over 2.5k in lawyer fees.

        • Sounds like our system is better. You just need to go to VCAT (or similar) andit costs very little.

    • Interested to know the details further too. What was the reason for going to court?

    • what was the lease agreement like month to month?

  • +9

    just moved recently. same situation, lived in my old apartment for about 5 years, when the landlord sold, was given the 60 day period to find a new apartment. got it cleaned, moved out and that was that. this was during the may period when everyone was still new to the whole lockdown situation, in May-ish. my housemate and i just sucked it up, got a new place, took some days off, rented a truck and moved. take care while moving! stay safe.

  • +2

    Disregard the haters and the self-righteous comments. It's pretty simple. Legally you have to go and I personally wouldn't take it to court BUT everything is negotiable and doesn't hurt to have a conversation and maybe meet in the middle. Worst case scenario you wouldn't be any worse off.

    • -1

      thanks.
      That's exactly what I (thought) my post was about.

      I have no intention of disputing anything that VCAT decides.

  • Speak with the agents/owner and try to workout the price… May be you can mortgage it at a very good price.

    You've been living there for a while and know it to be an acceptable place to your family. The landlord might be considerate in pricing if they are in a tight spot and clearly you can drag this out given the current situation. Looks like a win-win.

  • +1

    Present a case with the owner that you are willing to do your best effort to help him selling the property at highest price. Decorate, tidy up, clean up, leave home for inspections, allow renovation, etc.
    Argue that property with a tenant will be easier to sell to investor as they don't need to look for another especially in this climate.
    And if the buyer is owner, they can do the eviction themselves. win win.

    • -5

      sounds reasonable.

      obviously based on everyone's feedback I have all the traits of the worst tenant ever so I would probably trash the place and set fire to the carpet and sew prawns into the curtains and sit on the couch in my pyjamas eating a microwaved fish curry during the inspections.

      • +1

        my friend, throwing tantrum in online forum will surely not doing anything.

        Everyone is saying that paying on time and doing no damage is the absolute minimum requirement of a tenant. Paying late and doing damage has their own legal consequences.

        I don't think there is a definition of a good tenant. Maybe one that offer to pay more?

    • However, the seller is more likely to get the termination. He has reason (selling the property), whereas the buyer would not have a reason under the Covid restrictions to terminate.

      As a buyer with a view to move in, would you purchase a house knowing you may not be able to move in for 6/12 months? It makes it much harder to sell.

      You are right about a new owner/invester, but as the seller you still have to go through the process of termination notice, then the new owner can offer for the tenant to stay if that's what they want.

      • I'm sure you can evict a tenant because you need a place to live.

      • FYI

        To be eligible for the restrictions on evictions, a household needs to demonstrate they are impacted by COVID-19.
        A household is COVID-19 impacted if:
        one or more rent-paying members of a household have lost employment or income (or had a reduction in work hours or income) due to the impact of the COVID-19 pandemic, or
        one or more rent-paying members of a household have had to stop working or reduce work hours due to illness with COVID-19, another member of the household’s illness with COVID-19, or COVID-19 carer responsibilities for household or family members, and
        the above factors result in a household income (inclusive of any government assistance) reduced by 25% or more.
        A tenant can provide simple documents to show that they are impacted by COVID-19, for example:
        proof of job termination/stand-down, or loss of work hours
        proof of Government income support
        proof of prior income and new income.
        A household’s circumstances may change over time. For example, a rent-paying member of a household who lost their job may find a new job. This may result in the household no longer meeting the eligibility criteria for being COVID-19 impacted, and the new measures will no longer apply.
        Tenants should keep their landlord informed of any changes in their circumstances.
        Where a tenant no longer meets the eligibility criteria, the tenant and landlord may wish to renegotiate their rent agreement. For example, they may agree that the tenant will resume paying the usual rent amount.

        • To be fair, most people buying a house right now, wouldn't be because buying that house because they are affected by Covid (ie lost their job). And I don't think many would be able to show evidence in a hearing that they were moving back in because of Covid.

          I agree that landlords currently renting out their home can move back in if Covid has forced them into those circumstances, just saying that probably won't work for a new house buyer.

  • Wait so the law is that you can pretend to want to sell your rented property to evict a tenant (or genuinely want to and you get rid of the tenants but fail to sell) but if you try to do it due to non-payment you can't because of COVID? Not criticising, just trying to understand what I am missing here.

    • Sorta? The landlord needs to make actual steps toward selling the property. Just going “hey, it’d be nice to sell this property at some point!” isn’t going to be enough. If VCAT ask, the landlord need to be able to show that they’ve made genuine effort to sell the property. This comes down to discretion of the member at the end of the day, but you need something that you can prove.

      You can get a termination order for arrears, just not if it is COVID related. People who are deemed to be not paying their rent just because may be kicked out. On the other hand, if you can prove you lost your job due to COVID and this is why you’re not paying your rent, then you’re (much) less likely to be kicked out.

      • Placing an online ad for selling the property (private seller) should be all that's required to meet that obligation.

  • +3

    Why (the fk) are you entitled to 45 days free rent?

    • +1

      that one blew me away as well. i'm so dumbfounded at the logic behind it.
      it's purely a business transaction and he seems so offended that the landlord has the audacity to sell, impinging on his convenience & comfort.

  • +1

    When I was renting and the landlord decided to sell, they requested us to keep the place tidy before inspection times and promised one week rent off when the sell is done. We both were happy. I would recommend you to communicate with the landlord and see if he can waive some of your rent to cover your moving out cost. He does not have to, but he may well do so as a good gesture, specially as you have been there for many years, took good care of the property, and paid rent on time.

    • -1

      right… that's exactly what my post is asking … 7 days is good… 45 days was my guess, obviously i was way off… i don't know what's reasonable but i'm being accused of being the worst tenant ever, it's insane.

      • +3

        i don't know what's reasonable but i'm being accused of being the worst tenant ever, it's insane.

        It's the poor excuses for not wanting to move out and the 45 days free rent if you do move out.

        • it was a ballpark figure , again I don't know what VCAT will decide so I'm assuming (REASONABLY? nah) that if he wants to sell the place ASAP and wants me out, to faciliate that, then he might be willing to make a win-win agreement.

          I'm clearly entitled and the worst tenant ever so no such agreement would ever be considered.

          • @eckorock: Nothing wrong with negotiating with the LL.

            A landlord offered my siblings 4 weeks rent to move out asap, as they wanted to move in. I guess it seems a little weird to ask for free rent when you have already received a VCAT notice to move out.

            If they wanted you out asap and were willing to compensate you for moving out earlier, I think they would have done that first before going to VCAT.

            • -1

              @ozhunter: dude, do you realise that is what my post is about in the first place????!!?!?

              you and other people are panning me for suggesting the exact thing that happened to your sibling.

              The VCAT notice is NOT notice to terminate or evict, it's informing me that there is going to be a hearing.

              • +2

                @eckorock:

                you and other people are panning me for suggesting the exact thing that happened to your sibling.

                In my siblings case, the LL just made them the offer. In your case, you are trying to make the offer after you've been issued a notice. You're very likely going to have to move out. I think that already says they don't need you to move out earlier or are willing to compensate you if you do.

  • I had a tenant who couldn't afford to move & I needed vacant possession to sell, I ended up having to pay for their removalist costs I also had to pay the bond at their new place.

    If old mate is desperate you could see how much you could get from them by playing the card you can't afford to move.

    • +1

      I ended up having to pay for their removalist costs I also had to pay the bond at their new place.

      You had to or you chose to do it?

      • both, if they didn't leave it would have fallen over and I would have lost everything so I choose to pay to get them to leave.

        • +1

          Seems like the LL in the post wants the OP out beforehand so that doesn't happen.

    • Sounds like you broke contract that's why you need to pay to motivate the tenant.
      Different situation.

      Once the landlord gets legal approval which they are fully doing, they can then call the police to kick the tenant out.

  • +5

    Entitled much? How would you feel if your were the owner?

    • -7

      If I was the owner I would be pretty happy that i got nearly 6 uninterrupted years of rent and a tenant who looked after my place with zero hassles and left it spotless.

      • -5

        Sadly landlords are usually selfish human beings so all that means nothing to them. Maybe if you offered to pay three times the rent they would appreciate you more. Also to wash their dishes and car every weekend.

        • winner right here, well said comrade

      • +4

        The owner is probably thinking the same thing- this tenant got 6 years accommodation, gee cant he just move on

      • +5

        If I was the tenant I would be pretty happy that I got nearly 6 uninterrupted years of renting. I know a few people who have had to move three years in a row with landlord's selling or moving back in or whatever. Six is a pretty good run, although, Australia is pretty crap in this regard.

        Many other countries have a lot of residential accommodation owned by corporations - when you are a tenant with them there is no risk of the landlord's family moving in etc ;) Much easier to rent for 10-20-30 years.

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