access services tenants

[Newbieatlife]

Hi again!

Anyone have any experience with this? What are your thoughts in taking this on?

A pm wants to put my property up to the Department of Immigration to lease to access services at a pretty decent rent rate for refugees.

Inspections will take place every 6 weeks from the department of immigration as well as every 3 months from the PM and the tenants are educated, cared and looked after by the department (driving them to tafe etc) and the initial lease will be for 3 months whereby afterwards I have the option to extend

According to the PM, her experience with access services are good and the tenants look after the properties extremely well, even better than "locals", with even one of her own properties leased to them

The tenant I will be receiving will be from a Burmese or Afghanistan background and I have been told these "cultures" take great care with their home (no shoes indoors etc etc)

House will also be fully furnished by government

Pros - secure(ish) rent, accountability from government,

Cons - risk of getting a dud tenant, cultural differences resulting in damages to property? (fire being lit in the living room to cook instead of using a stove? )

Any help much appreciated.

Many Thanks!

 

[HD_ACE]

whats the difference in rental return?
I imagine it will have alot to do with the risk vs reward senario and what your most comfortable with.

cheers

 

[Nemo30]

Inspections will take place every 6 weeks from the department of immigration as well as every 3 months from the PM and the tenants are educated, cared and looked after by the department (driving them to tafe etc)

DIAC possibly has a contract with a 3rd party who provides those services, but they dont provide those services directly. I would go back and check the fine print more closely.

 

[Nemo30]

I have a feeling you have confused Access Services and the Dept of Immigration.

Access Services receive funding from the Dept of Immigration (according to their website), however they aren't part of the govt, they are a not for profit community organisation.

 

[Newbieatlife]

I have a feeling you have confused Access Services and the Dept of Immigration.

Access Services receive funding from the Dept of Immigration (according to their website), however they aren't part of the govt, they are a not for profit community organisation.

yep i realised this after i posted the thread

access services gaurantee rent until the lease expires....sounds like a pretty good risk to me if the papers back everything up

 

[Nemo30]

From a quick look at their website, Access Services provide services to the refugees for between 3 and 12 months, depending on when they are able to cope in the community on their own.

Does that mean that you potentially will have a turnover of tenants every 3 months, and if so, does Access Services pay while the house is empty?

 

[Newbieatlife]

good point

will ask!

 

[mattysavager]

I've dealt with a few of these companies in the past.

They usually take out a 12 month lease in the "not for profit pty ltd" name and then they sublet the property to the refugees/battered women/whatever their cause is.

They look very good on paper, with guaranteed rent, and some don't pay a bond but have an unlimited liability on damage etc (which I haven't had to use, but believe they're probably pretty reliable).

The problems I can imagine are if they put people in there who don't get along with the neighbours, use drugs, or in your case might invite their 12 relatives to come and live with them etc.

The ones I have dealt with will not sign a normal lease from the RTA in QLD (your rental housing authority equivalent) but have their own standard lease. It doesn't have the same provisions for breaching and evicting that a standard lease does.

I would consider it for my own properties, but I would definitely read the fine print and maybe have a solicitor etc look over it and point out anything that might crop up.

Matt

 

[Peterw]

I've dealt with a few of these companies in the past.

They usually take out a 12 month lease in the "not for profit pty ltd" name and then they sublet the property to the refugees/battered women/whatever their cause is.

They look very good on paper, with guaranteed rent, and some don't pay a bond but have an unlimited liability on damage etc (which I haven't had to use, but believe they're probably pretty reliable).

The problems I can imagine are if they put people in there who don't get along with the neighbours, use drugs, or in your case might invite their 12 relatives to come and live with them etc.

The ones I have dealt with will not sign a normal lease from the RTA in QLD (your rental housing authority equivalent) but have their own standard lease. It doesn't have the same provisions for breaching and evicting that a standard lease does.

I would consider it for my own properties, but I would definitely read the fine print and maybe have a solicitor etc look over it and point out anything that might crop up.

Matt

Matt, good advice. Like you, we have dealt with the support group organisations. I think this may be a bit more similar to DHA, but really guessing.

Yes, get copies of all the paperwork, and get solicitors advice.