Rental Payments
Our tenants have several options available to them in order to pay their rent. Our Reconnect Card enables tenant to pay by:
Internet Phone Direct debit B Pay Credit CardArrears Policy
We have a very consistent and firm arrears policy. Many other agents will first issue a 14-day breach notice when rent is three days late, followed by a Termination.
However, we issue an immediate Termination notice called Form B, if after day ten days the arrears have not been paid we can apply to court. This procedure is the quickest route to court and therefore in many cases results in tenants rectifying their situation to avoid a court case. Tenants have until the court date day to pay their full outstanding account. This procedure ensures arrears are kept to a minimum.
In particular situations however, it may be in the owner’s best interests to use the breach first alternative. If this is the case we will talk to our client first and come to an agreement on the best solution.
Management of Repairs & Maintenance
We do not believe in spending our landlord’s money without their consent. When a tenant advises us that there are repairs required at your property we will contact you to discuss the issue and get authorisation to engage the required contractor to attend. We have some landlords who prefer to attend to repairs themselves or have their own contractors they wish to use.
Before engaging the services of a fully qualified tradesperson we have a screening process including confirming relevant licenses and insurance cover. In the case of an emergency and we have exhausted all avenues in trying to get hold of you or your nominated emergency contact we have no alternative but to attend to the repair.
Accounts & Monthly Payments to Owners
Upon your request we are happy to pay on your behalf any disbursements such as strata levies, council and water rates or land tax. This service is at no extra cost.
Should you choose to pay disbursements yourself we ask that when you receive a water consumption account, of which the tenant is responsible for, you fax or mail a copy to our office immediately so that we can recoup the funds from the tenant on your behalf. Please also specify on the copy of the account whether you have paid it or require us to pay it on your behalf.
Rental funds collected will be paid to you at the end of every calendar month by way of direct payment into your nominated bank account. A statement of account shall be posted to you the day of payment or the day after. An annual statement can be provided if required, making taxation calculations simple and hassle free.
Who pays for the Shire and Water Rates?
The owner is responsible for shire and water rates, land tax and strata levies. The tenant is responsible for electricity, telephone, gas and water consumption.
The question of what constitutes damage and what is considered acceptable ‘wear and tear’ is always an issue in property management. However, in cases of damage attributable to a property by a tenant not considered normal wear and tear, the tenancy agreement states the tenant is liable for maintenance of the property and to make good any damage at his own expense.
Telephone Line
The telephone is a service for the tenant’s use. The payment of the telephone normal usage is the tenant’s responsibility. However, if the property is brand new the tenant is to pay for the connection and the owner is responsible for the installation of the phone line. We recommend in this instance that the tenant organises the telephone connection then forwards the account to us for payment. This fee is then deducted from the monthly rental income and itemised on your statement. We find that this method is a lot quicker and easier for both the landlord and tenant.
Does GST apply to Residential Rentals?
No, the GST will not apply to rents paid by tenants in residential properties. This means that owners of residential properties do not have to collect GST on the rental income they receive. However, GST will still apply to agents’ property management fees paid by the owners.
What is an Exclusive Authority to Act as Managing Agent?
An Exclusive Authority to Act as Managing Agent of Residential Premises form must be obtained from the owner/s in order for us to manage the property. The Exclusive Authority to Act is between the Licensee of the Real Estate Company and the owner/s of the property.
Can I inspect the home when I want?
One of the conditions of the tenancy agreement is that the tenant permits the owner to inspect the property at any time during the tenancy, provided the owner has given the tenant reasonable notice, in accordance with the Residential Tenancies Act. Owners right of entry: For purpose of inspecting the premises for any other purpose on a day at a reasonable hour, specified in a notice given to the tenant not less than 7 or more than 14 days in advance.
What is the length of the average tenancy?
It is most common in the rental of residential properties that tenancies are arranged by fixed periods, for example six-months or 12 months. The tenant is responsible for both the property and the rent during that time and cannot break the tenancy agreement without the owner’s consent. The conditions of the fixed agreement can then be negotiated at the expiry of each period in consultation with both owner and tenant.
How can I terminate the tenancy?
Termination depends on the type of tenancy in effect. In the case of a periodic tenancy, termination is affected by issuing a notice in accordance with the Residential Tenancies Act such as giving 60 days written notice if there is no specific reason or 30 days notice if you have accepted an offer to sell the property. In the case of a fixed term tenancy, termination can only happen at the conclusion of the period or if a default by the tenant is not remedied within seven (7) days of notice, excluding rent arrears.
Do I need to advise the local authorities?
If requested we can advise the Water Authority, relevant Shire/Council and the State Taxation Department that we are managing your property and to forward all accounts to our office for payment out of your account. However, if you prefer to receive and pay your accounts yourself you must let the authorities know your new address.
Emergency Contact
For Landlords going interstate or overseas etc, we suggest that they nominate someone locally to act as their proxy in case of emergency and that this person is so advised to the extent of their authority. Their names and a point of contact should be noted at the time of sign up.
Special Instructions/Conditions
If you have any special instructions: No Pets etc, then you should be notifying your Property Manager in writing. Further, should you have any specific instructions regarding who should do any maintenance work on your property; again please inform us in writing of this. If your instructions change at any time please notify us in writing.
Taxation Consideration
As you are now renting your home and generating income from it, you can also claim some expenses for example management expenses and cost of repairs, against your taxable income. We suggest you speak to your accountant regarding your own situation. It may also be worth engaging a Quantity Surveyor to compile a depreciation schedule on your property for tax purposes.
What insurance cover is needed?
There is a clause in all REIWA tenancy agreements which requires owners to keep their properties adequately insured. We strongly recommend you cover yourself with the following policies:
Public Liability Buildings Insurance Landlords protection
Security Bonds
A rental bond is paid by a tenant at the start of a tenancy as a security against a tenant breaching the terms of the tenancy agreement. Bonds will not normally exceed four weeks rent but can in certain circumstances.
Anti Discrimination Law – your responsibilities
Anti-discrimination laws promote equal opportunity by protecting everyone from unfair discrimination. Whether managing, selling or leasing a property, both landlords and real estate agents are obliged by law to know their rights and obligations about discrimination: sex, pregnancy, race, colour, nationality, ethic or ethno-religious background, disability (including physical, intellectual, psychiatric, and illness such as cancer or HIV) and age.
