Kristina Gram: Shameful response from a property manager after a single mum-of-four tried to negotiate a Sydney rent increase – and it’s perfectly legal
A single mother has been hit with a huge rent increase after she tried to negotiate when her landlord raised the price of her house.
Mother-of-four Kristina Gram, from Sydney’s eastern suburbs, received a notice from her landlord saying her rent would rise from $800 a week to $1100.
When the 45-year-old firefighter offered to pay $975 instead, the officer came back and asked for $1,200 a week.
There are currently no laws in New South Wales prohibiting this practice.
Sydney mother-of-four Kristina Gram (pictured) has been hit with a huge rent increase from $800 a week to $1200
“It just seems very unfair, and it seems ridiculous that they can go one step further and say, let’s make it worse,” Ms. Gram said. The Sydney Morning Herald.
She has been trying to cut back on living expenses amid the country’s cost of living crisis, and her brother has moved in with her to help with rising rental costs.
Ms. Gram is now considering moving to a three-bedroom rental home and living in the garage.
She called for a curb on excessive rent increases, which Australians are increasingly facing in a historically tight rental market.
“Even if they can limit it by 25 percent,” she said.
“Like fire, we have just secured last year’s wage increase, which is only 4.5 percent, which is not in line with inflation.”
Ms Gram has called for a curb on excessive rent increases, which have increased amid the country’s housing crisis
National rental vacancy rates hit a new record low this month, with new data showing rental conditions in Sydney and Melbourne are worsening.
Vacancy rates in Australia fell to 1.02 per cent over the month, according to the latest PropTrack Market Insight Report.
That’s a new record compared to the 1.10 percent recorded in September, and well below 3 percent, which is considered a healthy vacancy rate.
Experts have warned that rising rents will increase the number of homeless people across the country.
Although there is a law that states that landlords may only increase a tenant’s rent once every twelve months, there is no limit on the amount of the rent increase.
The Minns government has ruled out a rent cap.
“We think this will impact supply, and we need to get supply going,” Mr Minns said earlier this year.
“The vast majority of the rental market and new supply in the NSW market should be provided by the private sector.”
Although there is a law that states that a landlord can only increase a tenant’s rent once every 12 months, there is no limit on the amount of the rent increase (stock image shown)
Tenants have the opportunity to challenge excessive rent increases at the NSW Civil and Administrative Tribunal.
But NSW Tenants Union CEO Leo Patterson Ross said not many tenants choose this option due to the lengthy process involved.
Mr Patterson Ross said legislation against excessive rent increases could be part of wider plans to increase supply to tackle the state’s pressing shortage of available housing.
In the ACT, rental prices are capped at the rate of inflation plus 10 percent.
Mr Patterson Ross said long-term solutions regarding supply would not help tenants like Ms Gram in her current situation.
He said there needs to be better regulation around housing and that housing should be considered an essential service, not just an investment for buyers.
NSW Rent Commissioner Trina Jones said there were rules in place to prevent excessive rent increases through the NSW Civil and Administrative Tribunal.
‘With a rent increase of 50 per rent, this is above the market standard. “I would strongly encourage tenants to challenge this at the tribunal,” she said.
Ms Jones encouraged tenants to check whether a rent increase was excessive by using the Tenants Union’s rent tracker tool.