Residential Property Transactions Bill already seeing sparks

The Real Estate Institute of Tasmania (REIT) has slammed Minister Nick McKim for failing to involve them in the organisation of the Residential Property Transactions Bill 2013 prior to its debate in parliament.

REIT president Adrian Kelly said that in April, McKim had promised them the opportunity to discuss their concerns around the bill, which is now set to be up for debate today.

The bill will introduce new measures into property transactions across Tasmania, including a standard set of disclosure documents, cooling off periods for purchasers, stronger purchasers' rights around rescinding a contract due to unapproved building works and severe penalties for those who do not comply. 

“We have been very proactive in forcing Government to introduce mandatory smoke alarms into all rental properties, as well as assisting in setting minimum standards for rental properties,” said Kelly. These changes will be coming into force soon.

“This new Bill will not solve any of the problems it is intended to. Instead it will make what is currently a simple transactional process so full of red tape and convolution that even the most experienced conveyancor or solicitor will find it difficult to follow," he said.

He noted that the government had not entered into conversation with the organisation due to their vested interests.

He pointed to a petition that had been signed by the "majority of all legal firms in this State" that opposed the bill.

“Surely the Minister can’t honestly believe he knows more about a real estate transaction than all lawyers and estate agents combined?" he said.

“The losers will be those ordinary Tasmanians who wish to sell their family home, because under this new Bill they can easily be duped by an unscrupulous purchaser," he said, while acknowledging that McKim's reasoning is likely to be about consumer protection.