Manufactured Homes (Residential Parks) Amendment Bill 2024
Plain English Summary
Overview
This bill reforms Queensland's residential park laws to better protect manufactured home owners from excessive site rent increases and difficulty selling their homes. It caps annual rent rises, bans market rent reviews, creates a buyback scheme for unsold homes, and introduces new transparency requirements for park operators.
Who it affects
Approximately 38,000 manufactured home owners across 203 residential parks in Queensland gain stronger protections, while park owners face new obligations around rent increases, home buybacks, registration, and transparency.
Key changes
- Annual site rent increases capped at the higher of CPI or 3.5 per cent, with market rent reviews banned in all agreements
- Park owners must buy back unsold homes after 18 months and reduce site rent by 25 per cent after 12 months if the home remains unsold
- New mandatory registration system for residential parks, with offences for operating unregistered parks
- Parks must publish comparison documents on their website showing rents, facilities, and services to help buyers shop around
- Park owners must prepare maintenance and capital replacement plans and share them with home owners
- Fairer termination process allowing QCAT to order compensation and keep homes on site rather than requiring removal
- Home owners must be offered at least three fee-free payment options for site rent
Bill Story
The journey of this bill through Parliament, including debate and recorded votes.
▸Committee21 Mar 2024View Hansard
Referred to Housing, Big Build and Manufacturing Committee
The Housing, Big Build and Manufacturing Committee examined the Manufactured Homes (Residential Parks) Amendment Bill 2024 and recommended it be passed. The committee received 48 submissions and held public hearings in Hervey Bay, Deception Bay, and Logan. Home owners broadly supported the reforms, particularly the prohibition on market rent reviews, while park owners and industry representatives opposed restrictions on site rent increases. The committee noted the sector is undergoing significant change and recommended a broader government review of the sector's future structure.
Key findings (5)
- Home owners supported the removal of market rent review-based increases, citing unpredictable rent rises of over 10 per cent in a single year, while park owners argued market reviews were necessary to maintain industry viability.
- The proposed annual site rent cap at the higher of CPI or 3.5 per cent drew mixed views, with some home owners arguing it should be lower and park owners warning it could discourage investment in the sector.
- The buyback and site rent reduction scheme for homes unsold after 18 months was modelled on retirement village obligations, but opposition members raised concerns that GST implications had not been properly considered.
- The committee found the manufactured homes sector is evolving, with homes becoming more expensive and fewer, larger operators dominating the market, raising concerns about long-term affordability for senior Queenslanders.
- Dispute resolution was a significant concern, with home owners reporting delays and difficulties in resolving conflicts through QCAT and feeling their concerns were dismissed by park owners.
Recommendations (1)
- The committee recommends the Manufactured Homes (Residential Parks) Amendment Bill 2024 be passed.
Committee report tabled
▸Second Reading22 May 2024View Hansard
▸17 members spoke12 support5 mixed
Acknowledged the bills address some issues in the state but expressed concern that they do not give investors enough confidence to invest in rental properties, arguing that the housing crisis can only be fixed by encouraging private sector investment.
“This bill addresses some of the issues we have in the state, but the problem is that you must give investors a reason to invest.”— 2024-05-23View Hansard
Supported both bills as delivering on the Miles government's commitment to strengthen renters' rights and stabilise the rental market, and praised the manufactured homes bill for making residential parks fairer and more transparent.
“The Labor government will never turn its back on renters, but we know the LNP government will not hold the same line.”— 2024-05-23View Hansard
Introduced the bill to deliver greater protections for manufactured home owners, including capping rent increases, banning market rent reviews, and streamlining the sales process.
“These reforms are the most comprehensive changes to manufactured home parks in over 20 years.”— 2024-05-22View Hansard
Strongly supported both bills, drawing on her experience working with vulnerable manufactured home park residents and welcoming the new protections against exploitation by park owners.
“I am really pleased to see there are further protections in there for the residents. I commend the bills to the House.”— 2024-05-23View Hansard
Supported both bills as a committee member, highlighting the bond transfer reform and the ban on rent bidding, while noting further reform may be needed around dispute resolution for manufactured home parks.
“I wholeheartedly support these two bills. It was a pleasure to be part of the committee, to hear from the residents and also to represent the two manufactured home parks in my local area.”— 2024-05-23View Hansard
Supported the intent of manufactured homes reforms but expressed concern about the 3.5 per cent rent cap floor being above CPI for pensioners on fixed incomes, and that the bill was a missed opportunity for more comprehensive reform.
“For those home owners on the aged pension, which is indexed to CPI, they could still be worse off if CPI is below 3.5 per cent.”— 2024-05-22View Hansard
As minister, defended the bills in reply, rejecting the claim of waging a war on landlords, noting housing investor finance had increased 141 per cent since March 2020, and arguing only Labor would protect manufactured home owners and renters.
“I am proud to be a part of a government that is making renting fairer for the 30 per cent of Queenslanders who rent in this state.”— 2024-05-23View Hansard
As committee chair, reported the committee's recommendation that both bills be passed, noting the extensive engagement with manufactured home owners at public hearings.
“The committee recommends that both bills be passed.”— 2024-05-22View Hansard
Strongly supported the manufactured homes reforms, having engaged extensively with manufactured home owners in his electorate and participated in the committee process.
“People in manufactured home parks across Queensland have been calling out for relief for a long time and I am pleased to see that this bill addresses many of their key concerns.”— 2024-05-22View Hansard
Strongly supported the manufactured homes reforms, having advocated extensively for manufactured home owners in Maryborough and the Fraser Coast region.
“I have fought hard for the residents in my electorate who live in manufactured home parks and I am proud to see these reforms come before the House.”— 2024-05-22View Hansard
Expressed disappointment that the manufactured homes bill was a missed opportunity for more comprehensive reform, particularly around conflict resolution and transparency.
“This bill is a missed opportunity. Manufactured home owners in my electorate expected more comprehensive reform.”— 2024-05-22View Hansard
Strongly supported the manufactured homes reforms, highlighting the 14 residential complexes in his electorate and the extensive consultation with residents who called for change.
“I am proud to be part of a Miles Labor government that heard their call and acted by bringing this bill before the House to resolve the most difficult issues residents in Hervey Bay raised with me.”— 2024-05-22View Hansard
Supported the manufactured homes reforms, acknowledging the advocacy of local manufactured home owners at River Terraces, Redbank Palms and Laeta Living.
“While others talk, Labor is taking real action to deliver immediate and tangible relief, ensuring fairer rent practices and greater security for these home owners.”— 2024-05-22View Hansard
Supported the manufactured homes reforms but expressed concern about the 3.5 per cent rent cap floor disadvantaging pensioners on CPI-indexed incomes, and noted missed opportunities around conflict resolution and financial transparency.
“I know others have said it, but I need to repeat it: many of the people living in these villages are pensioners. Their pensions are capped to CPI. If you get a situation where CPI is less than 3.5 per cent, they will be disadvantaged.”— 2024-05-22View Hansard
Supported the bill, highlighting the experiences of manufactured home owners in her electorate at communities like Ingenia, Halcyon Rise and Regal Waters, and acknowledging the advocacy of local residents.
“This bill is about delivering transparency and fairness for people living in manufactured home parks.”— 2024-05-22View Hansard
Supported the manufactured homes bill as part of the government's commitment to cost-of-living relief for Queenslanders.
“The Miles government is making residential parks fairer and providing cost-of-living certainty for owners of manufactured homes.”— 2024-05-22View Hansard
Not opposing the bill but expressed concerns about the 3.5 per cent rent cap floor when CPI drops below that level, and described the reforms as a missed opportunity for more comprehensive change around conflict resolution and transparency.
“It is disappointing that these laws are a missed opportunity to modernise the manufactured homes legislation, especially around conflict resolution and conflict within parks and financial accountability and transparency.”— 2024-05-22View Hansard
▸In Detail22 May 2024 – 23 May 2024View Hansard
Amendments 1-5 to Manufactured Homes bill: Extended timeframes for parties to agree on resale value from 7 days to 14 days, corrected a typographical error ('homer' to 'home'), and added section 62ZB to dispute resolution exemptions.
Amendments 6-17 to Manufactured Homes bill: Added sections 62ZC and 62ZD to dispute resolution exemptions; inserted CPI-based annual site rent increase provisions; added direct debit as approved payment method; clarified site agreement terms for resale including utility cost modifications; and amended section 34 regarding automatic ending of sale agreements to include sellers other than park owners.
Raised concerns about the GST implications of the buyback scheme for manufactured homes, questioning whether the minister had consulted the federal government about the 10 per cent increase in transaction costs when companies buy back homes.
“My understanding is that when a company buys property from an individual there can be no input credit claimed for that, but when the company has to sell the residence again—and they are a company—they have to collect and pay GST.”— 2024-05-23View Hansard
Assent date: 6 June 2024
Referenced Entities
Legislation
Organisations
Programs & Schemes
Sectors Affected
Classified using AGIFT/ANZSIC Australian government standards