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Owners living in moveable homes – new law
Date : 01 Sep 2011
A new type of tenancy agreement protects people who own a movable home and rent a site in a communal park like a caravan park, but their movable home can not be registered under the Road Safety Act 1986 (Vic).
These movable homes might be prefabricated home kits that are designed to be lived in as a residence. Although the homes are transportable, moving them from one site to another is difficult and expensive. Caravans, even if they have an annexe attatched, are not protected by this law.
Typically the moveable home owners rent a site (similar to a caravan park) where they share common areas and such as a games room, sporting facilities, laundry, washroom and garden. The park could have sites for caravans and movable houses.
Words used in the agreements
The person or company that owns the land where the moveable home will be placed is called the 'site owner'. The owner of the moveable home is called the 'site tenant'. The moveable homes are called 'unregistrable movable dwellings'.
When the new law applies
The new law may apply if:
- the park was registered on or after 1 September 2011
- a caravan has been modified before 1 September 2011 so that it cannot be registered under the Road Safety Act
- the person renting the site is the owner or part owner of the moveable home
- the movable home was designed to be used as a residence (not as a holiday van)
- after construction it is freestanding with a solid roof and walls (not a tent).
Protection for moveable home owners
The site owners have to offer a site tenant at least five year fixed-term agreement. The site tenant has to be given the contract before they sign and they have a cooling off period where they can change their mind after they sign the deal.
Before they sign the agreement, the site owner also has to tell the tenant:
- details of the fees and other costs that they have to pay
- park rules, if there are any.
If the site owner wants to end the fixed term agreement without a reason, they have to let them know one year in advance.
Subletting, assigment or sale
The site tenant is allowed to sublet, transfer the site lease or sell their moveable home. The site owner can be penalised if they interfere with these rights.
Is it a caravan or a movable residence?
If it is not clear whether a moveable home is protected by the new laws or whether it will be treated as a caravan, the Victorian Civil and Administrative Tribunal (VCAT) may have to decide.
The new law gives VCAT the power to hear disputes about site agreements involving movable home owners up to the value of $100,000.
More information
Related websites
Tenants Union of Victoria – news
Related pages
Housing and neighbourhood disputes
Related legislation
These changes are made to the Residential Tenancy Act 1997 (Vic) by Residential Tenancy Amendment Act 2010 (Vic).