Owners complain about the increasing use of rental agreements and the “strategies” developed by tenants to rent out their apartments without their consent. They say the rental market is close to “breaking point.”
The Corporation of Real Estate Owners of Quebec (CORPIQ) is accusing tenants of misleading their landlord by signing lease renewal notices and then posting their apartment in Facebook groups dedicated to transfers.
“Many tenants will extend their rental contracts knowing full well that they do not intend to live there on July 1,” said CORPIQ spokesman Marc-André Plante. These online groups are “growing,” he said. “There are some that have 54,000 members.”
CORPIQ was the first group consulted on Thursday during the study of Bill 31 on housing by Minister France-Élaine Duranceau. It notes that “lease transfer has become a parallel market” and is leading to “commodification of leases.”
On the verge of breaking
Some tenants, the group argues, advertise their apartments online and negotiate even higher rents than they would pay themselves, for example by including their furniture in the price.
According to CORPIQ, Bill 31 “restores balance” and allows us to “return to the spirit of the law” that allowed lease transfers in the 1990s, during the administration of Robert Bourassa. He argues that current legislation is so “outdated” that his industry is on the verge of “collapse”.
CORPIQ members say they are particularly vulnerable because “most” have adjustable rate mortgages. “The only thing that allows us to stay afloat is reducing maintenance,” the spokesman said.
Earlier in the morning, Prime Minister François Legault appeared open to a step back on the transfer of leases.
“We are not ruling anything out,” the Prime Minister said during a press briefing. “We are open to suggestions. »
Despite the outcry over the issue since June, it was the first time the government had shown the slightest openness to changing its position. However, France-Élaine Duranceau, the minister responsible for housing, has not repeated the prime minister’s comments since then.
Living space in poor condition
CORPIQ also argued in its presentation that lease transfers contribute to the decline of multifamily housing. “When a tenant moves out, we carry out major work,” said CORPIQ Vice President Éric Sansoucy. A system that also harms new tenants who inherit apartments in poor condition, one of his colleagues added.
The Association of Construction and Housing Professionals of Quebec (APCHQ) expressed the same opinion. “We must not miss these opportunities to renovate our buildings and not let them fall into disrepair,” said his adviser François Bernier.
These renovations are all the more important from the point of view of energy saving. “There is a huge pool of energy efficiency in our homes,” he said. It would be much easier to have access to this basin than to invest in a dam. »
In his opinion, governments should offer far more generous energy efficiency support programs than is currently the case. “It is an economic engine and what’s more, it maintains the quality of our building.” »
Consultations on Bill 31 are scheduled to continue next Tuesday with presentations notably from the Union of Quebec Municipalities and the City of Montreal.