Wednesday, 5 June 2019

 Ms KAIROUZ (Kororoit—Minister for Consumer Affairs, Gaming and Liquor Regulation, Minister for Suburban Development) (11:19): I am thrilled to rise today to update the house that the days of disgraceful and dodgy developers are over, thanks to the Andrews Labor government’s commitment to make things fairer when it comes to buying a home. Last week laws were passed—

Members interjecting.

The SPEAKER: Order! The minister can resume her seat. When the house is in order.

Ms KAIROUZ: I am really glad to finally see some passion coming from the other side.

Last week laws were passed that will change the rules when it comes to buying off the plan. These new laws will give Victorians stronger protection and crack down on dodgy developers and dishonest parts of the financial sector, whose modus operandi is to simply make a quick buck and leave.

Many members here, and especially those who represent the outer western, northern and south-eastern suburbs, will be aware of sunset clause exploitation by deceitful developers, and I thank the many members who have made some very strong representations to me on behalf of their constituents. Time and time again we have seen certain sections of the property sector deliberately delay the completion of developments in order to exploit a clause allowing them to terminate a contract and resell a property at a higher price. Too many Victorians have fallen victim to these dodgy operators, investing honestly with the expectation that their homes will be delivered on time for the price they agreed to pay.

We have also heard the shameful practice of developers threatening to use a sunset clause termination unless the buyer pays an additional amount, but not anymore. The Andrews Labor government has ensured that an off-the-plan contract cannot be terminated without the agreement of the buyer or the express permission of the Supreme Court of Victoria. These new laws will also crack down on the unethical and dodgy practice of rent-to-buy schemes. Vulnerable low-income Victorians who are unable to access mainstream finance have been exploited by these unscrupulous developers and property spruikers, leaving them without any legal rights.

We have made renting fairer, we have cut stamp duty for first home buyers and we have increased public housing, but there is more to do. These important reforms will give hardworking Victorians greater confidence and security when entering the property market.