Claiming a released bond on bad tenants

[Dazzakun]

Hi all,

Need some advise or your opinion please!

We have a tenant in one of our properties for 2 years, he has been paying on time ... and that is really the only good thing but did everything that may skim the 'illegal' side of things.

Just a year ago, there was a building crack, so we had to get access into the property which the tenant did not want, he didn't want to let anyone in to inspect and repair. On another day he broke the light switch and wanted us to repair it, he did not let our electrician in and got his own which billed us $150 when we could of replaced it for $10. (and was replaced again after being kicked out)

So half a year has gone past and we really needed to get the crack on the walls fixed, so it was time to give notice to vacate the tenant since he did not want anyone in. After the notice period, he did not budge and we realised he has become quite a nuisance tenant with neighbours complaining about police going over to the unit for some reason and wouldn't let anyone in.

So it was time to raise the rent which apparently releases the notice to vacate, so we sent another notice and waited for another 3 months. so total 6 months trying to get him out and we finally went to tribunal because I want to get the crack fixed as it poses a danger to themselves too.
Tribunal gave him 30 days to move out, on the very last week without notice, he left on a friday leaving us no tenants - and it has been 5 weeks trying to repair and chase up on bond.

Now he left the property in a pretty bad condition, with broken swipe card, stained flooring and uncleanable stained toilet bowl, missing flyscreens, dirty marks all over and every wall which end up needing entire repaint on a 2bedder 2 toilets, replace toilet bowls, replace vanity, replace with new carpets - ( but no obvious malicious damage). We wanted to claim the bond but agent decided not to because it would be too complicated and they charged a lot to go tribunal again to dispute.
So we now realised the agent had no intention of helping us, left us with a bad tenant and don't want to claim for us.

I hesitantly changed to another agent who went and submitted the bond claim straight away on the 10th of September and now it has been 2 weeks I called up fairtrading to find out the bond was released last Friday by the original agent (17?18th? September) back to the tenant!
So I am not only out of pocket by $2500+ we wasted 3 weeks getting repairs and cleaning and pretty much redo the entire property because of how dirty and unlivable it would be.

Can I get compensation back if I chased back this bond money? and how hard or easy is it to do so? Would court favor moreso the tenants still?

Apparently on the condition report first signed we were not notified of what was written on the report, this was our first property and don't know all these things. now agent who don't want to help us said all these are wear and tear, but to the repairers/renderer and the new agents and it is very obvious that is not fair wear and tear and repair needed to be done. If it says "dirty" it doesnt give tenant to make it even more dirtier to a degree that it cant be washed! Damaged swipe cards, stained walls, broken lights and fixtures including the oven.

I have pictures but can only say so much, this has been really unfair to us and we just want some money back to pay for the damages they caused, but seems like its one of those 'too bad' situations?

Thanks in adv

-D

 

[Scott No Mates]

Your agent undertook the final inspection, you agreed that the bond could be released as it would be too expensive to fight, bond has been released, end of story (unfortunately).

 

[Dazzakun]

We didn't agree to not claiming the bond - why else would we have changed agents to help us do so and signed, dated and sent to Fairtrading a week before it was released. It is a $3000 loss when they only have half the bond money. Going tribunal would probably add another $400? can that be compensated?

This tenant doesn't deserve the money we have spent on repairing their damage and getting away wasting peoples time and money. It doesn't make sense how they could in the first place. I think this is not only money involved.

In any case, you learn from this and protect yourselves from selfish people like them, but everyone then becomes so up their own world it spreads like a virus where no one can trust anyone without letting their guard down.

 

[thatbum]

I'll so confused - you wanted to claim the bond, but then the agent talked you out of it?

 

[Rolf Latham]

I'll so confused - you wanted to claim the bond, but then the agent talked you out of it?

quite common you will find

ta
rolf

 

[Kinnon Bell]

quite common you will find

ta
rolf

Why?

 

[BMan]

my understanding
agent 1 wanted to release bond but you did not
changed agents so you could claim bond as agent 1 wouldnt claim it
agent 2 submitted forms to claim bond
agent 1 in that time had released bond

 

[Dazzakun]

Yes that's correct

Agent 2 submitted bond claim 11th sept
Agent 1 decides to release bond back to tenant on 17th sept

So the only option for me is to go tribunal but agent 2 will charge a lot for going to the hearing on my behalf and also the fees for tribunal.

I wonder if going there myself would be a better idea? since getting back the bond from tenants are going to require a whole lot of explanation.

 

[jim1964]

getting back the bond from tenants are going to require a whole lot of explanation.

I am very confused.Getting the bond back now would be impossible i would think.Someone must have authorised the release,its usually the owner when they are happy with the handover.

 

[S.T]

I cant see how agent 1 could release the bond when he was no longer acting as your agent and representing you.

 

[Rixter]

It will be financially impracticable to fight this.

Put it down to a costly experience and move on..

No mention of landlord insurance so not sure if you have it...if not, a lesson here also.

 

[Dazzakun]

@simtr I am thinking that too, I've pushed this to my solicitor who doesn't really specialise in tenancy matter but want to see if we can claim back the cost of chasing the bond in tribunal since its their fault for releasing without my authority.

@Rixter I would love to do that and just let it go, but as above post, this is one tenant that really needs a lesson for making other people's life miserable.
Yes i did have landlord insurance - and none of this is covered (westpac insurance unfortunately) and was immediately cancelled after that.

@jim1964 What are you confused about? There is 2 issue: Getting a bond that has been released is not impossible, fairtrading and agent 2 has referred to CTTT to get back the bond is one thing and taking agent 1 responsible for releasing the bond in the first place.

This has been a rolling streak of badluck (besides this issue) this month, but I am keen to find out why these things happen and can be dismissed as if its not their problem.

 

[thatbum]

@simtr I am thinking that too, I've pushed this to my solicitor who doesn't really specialise in tenancy matter but want to see if we can claim back the cost of chasing the bond in tribunal since its their fault for releasing without my authority.

How is it the tribunal's fault? If anything isn't it agent 1 that did it without your directions?

 

[Rixter]

@Rixter I would love to do that and just let it go, but as above post, this is one tenant that really needs a lesson for making other people's life miserable.
Yes i did have landlord insurance - and none of this is covered (westpac insurance unfortunately) and was immediately cancelled after that.

I doubt it will be a financial lesson for him if he has no money. People like this rarely do.. In relation to Landlord Insurance make sure you do you homework on what covered & whats not before taking it out. Go with a reputable LL company, not a bank.

Good luck!

 

[jim1964]

@jim1964 What are you confused about? There is 2 issue: Getting a bond that has been released is not impossible, fairtrading and agent 2 has referred to CTTT to get back the bond is one thing and taking agent 1 responsible for releasing the bond in the first place..

Good luck with that one!!! Sorry,i really cannot see it happening now.The cost in time,resources etc etc.There is a process for bond releases,not sure where your instructions to release it got missed.

 

[Dazzakun]

@thatbum Sorry "they" are meant to be referring to agent 1- their fault for releasing without permission - What can be done about this?

@Rixter He has money, we know where he works and what he does from the initial interview from the agent. But that is besides the point, whether he has or not, the bond was not suppose to be release and used to pay off his damages.
- And yes, the LL insurance is something we really need to get our heads into, but such as this case, it is hard to determine what we need to cover in the future and what can happen. Sometimes it might not be worth covering over the excess you need to pay - but the amount adds up quickly.

 

[Scott No Mates]

When the new agent took over the management of the property, did they get the paperwork (and submit it to Fair Trading) for the transfer of the bond to the new agent ? When was it submitted to OFT?

If the old agent had provided the change of managing agent form to the new agent, why wasn't it submitted by fax on the same/next day as the management commenced?

Was the release of bond submitted after the change of agent notification?

Was the old agent working out their 30 day notice period or did they release you from the management agreement straight away?

Did OFT stuff it up (received change of agent but hadn't processed then rec'd bond release and processed it)?

 

[New_b]

Just a thought. Obviously, your agent 1 will not black list the tenant on the 'Tenancy Data Base' (unsure the right name of it). Just wondering if a landlord or another agent (e.g. agent 2) can put the tenant names onto the black list. If possible, that will teach him a lesson plus facing a hard time to rent in their futures.

 

[kathryn d]

Did the old PM do regular inspections, as per their contract with you?

I'd say NO.
Take the PM to court, for compensation.

When more LLs do this, you may actually have fewer issues like this.

This is a learning experience.
We all have them...but you must learn from them.

You should be insisting (not requesting) a copy of every inspection your new PM does. Along with a copy of the pictures.

So many people treat being a LL as a hobby.
For many it is, I guess.

With us, it is a business, and we treat it as such.

 

[DaveM]

We wanted to claim the bond but agent decided not to because it would be too complicated

Given how poorly they managed your property, its no wonder they found submiting a bond claim too be too complicated. After all it has all those words and numbers you have to write on it. Its like, so taking away from facebook update time, like.