New rules to heavily protect tenants during the COVID-19 crisis will be altered to protect "mum and dad investors" after the original draft was heavily criticised by the real estate sector.
Queensland Housing Minister Mick de Brenni said revised guidelines would be published in the coming days although the prime objective was still to protect financially troubled tenants from eviction.
"We know for many of those mum and dad investors they are not rich, they are not wealthy, they have simply invested in a property for the family's future," he told reporters on Friday.
"Our guidelines protect that investment and ensure that there is a process for landlords and tenants to come together to reach a result where tenants simply can't pay the rent."
He said tenants cannot say "I am not going to pay the rent" and that the Jobkeeper and Jobseeker packages should provide enough income for tenants to meet their rental obligations.
In instances where tenants cannot pay, a framework will be set up for landlords to reach an amicable solution.
"There will be compulsory conciliation...which will include full disclosure of the financial situation of the tenant," Mr de Brenni said.
He said there would be a moratorium on evictions and that virtual inspections would be available for landlords wanting to sell a property.
There was a fear the initial guidelines were too heavily weighted in a favour of tenants and could have led to a fire sale of investment properties, according to leading academics.
Griffith University Business School lecturer Dr Sacha Reid believed current and prospective housing market investors may have looked elsewhere to park their investment funds if tenants had too much power.
"(It) may force people into the stock market and out of property because there's more security in the stock market than the property market if all the rights are with the tenants," she added.
"If a tenant can demand a rent reduction with no capacity to repay that reduction, then why would you subsidise someone else's lifestyle when you can put it in the stock market and ride out the variations in that?"
University of Queensland Professor Shaun Bond said many households had investment properties to build retirement savings and any legislation that adversely impacts landlords has repercussions.
Yet, even if a landlord could evict a tenant struggling to make ends meet, they were still likely to struggle themselves to find a replacement tenant.
"If you did have a tenant you wanted to evict, you are probably not going to be able to quickly find a new tenant anyway," Mr Bond said.
"People have to work out, do they sell or how much can they get through the next few months?
Australian Associated Press