An Australian tenant was stunned when she was told she would have to pay more than double the average deposit amount to secure a property.
Erin and her partner, who live in Queensland, found a property they both liked and that would cost them around $800 a week to live in.
The couple believed they would only have to post $3,200 bail.
Tenants across the country generally have to pay a deposit equal to about four weeks’ rent.
Erin (pictured) said she was shocked to be faced with the huge amount, after finding a rental property with her partner in Queensland that they both liked.
Erin was shocked when she discovered that she and her partner would have to pay more than double the amount of money when they went to apply for the property.
She took to TikTok to express her shock after facing the huge amount.
“When we went to apply, there was an amount owed of $6,500,” Erin said.
“I didn’t realize that when you move into a rental that costs $700 or more (in rent), the landlord can charge whatever he wants up front.”
According to the Residential Tenancies Authority, if the weekly rent is more than $700, landlords can negotiate the price of the voucher.
The Residential Accommodation and Tenancies Act (2008), which governs rental and lease laws in the Sunshine State, does not specify a maximum amount that can be charged to a tenant.
The property listing had indicated that the couple would have to pay $3,200 in bond money, however, the amount exceeded this figure because the rent is worth more than $700 per week (file image pictured).
‘You wonder why we have a fucking rental crisis, honey, wow!’ Erin said.
Hundreds of social media users were shocked and shared similar experiences.
‘We had a bond of $10,000 at the request of an owner. Our property was $850 a week, it was crazy,” one wrote.
“If this happened they demanded $7800 as a ‘deposit’ and then 2 weeks rent,” another tenant wrote.
Others expressed disbelief at the huge amount of bond money renters will have to shell out to afford a rental property.
“These prices are crazy,” one wrote.
“So bad it should be illegal,” another person added.
Tenants who uploaded their comments to social media shared similar experiences they encountered when making bond payments for a rental property (pictured, a rent-to-lease property in Melbourne).
Some suggested the couple should look for a cheaper place to rent until they can afford a deposit.
“You could (save enough for a deposit) if you moved somewhere for 450 a week for a few years… you can’t live in the now and prepare (for) the future, it’s a sad reality,” one wrote.
Real Estate Institute of Queensland chief executive Antonia Mercorella said these bond rules came into effect a long time ago when the property market was different.
“The $700 threshold was set many years ago at a time when weekly rental values were very different than what we see in the market today,” he said. yahoo.
Queensland passed new tenancy laws last month to limit the deposit amount to no more than four weeks’ rent.
Tenants can request a refund of their deposit payment if it exceeds the maximum amount before the new laws went into effect.
The new laws, which will be implemented in two stages, have not yet been implemented and the official date has not yet been announced.
