DIY rent?

[Mick C]

Hi,

I have just finished renovating one of my IP and thinking of managing the rental myself...have never been happy with my real estate agent

Beside having a signed tenancy agreement and asking for payslips.
Anything else i should be asking? and any common pit falls, tips and experience you could provide?


Regards
Michael

 

[locko24]

I've heard that checking the state of the backseat in the prospective tenants' car is a good indication of how they would maintain your property!

 

[AlmostBob]

read nthe Act for your state
get very familiar with it
include in your lease every clause you can write that does not conflict with it
act in accord with the Act
many of the problems that ll encounter are because they dont.

 

[DaveM]

I've heard that checking the state of the backseat in the prospective tenants' car is a good indication of how they would maintain your property!

I wouldnt put any faith in that old yardstick. I rent (and own IP's) and based off the back seat of my car you wouldnt rent me a shack in the back of burke. Yet my house is immaculate.

 

[BuildingBlocks]

References from previous agents.

Lodge the bond to the rental board.

Inspection report and take photos too.

Do regular inspections.

 

[Sez]

Hi,

I have just finished renovating one of my IP and thinking of managing the rental myself...have never been happy with my real estate agent

Beside having a signed tenancy agreement and asking for payslips.
Anything else i should be asking? and any common pit falls, tips and experience you could provide?


Regards
Michael

Do every ingoing report as though the vacate is going to be the worst you can imagine. 9 times out of 10 you will have a very good vacate but if there are any issues you want the original condition of the property well documented and lots and lots of photos (for a 3 bedroom home in good condition I average 120+ photos for an ingoing report). Check out the NSW Fair trading website - they have a step by step guide on how to be your own landlord and all of your obligations. If it is all too hard and you find yourself drowning in it all then engage a new agent as obviously your current agent isn't reaching your expectations.

Good Luck!!

 

[Mick C]

Thanks!! Will bring an extra memory card for the camera

I like the car idea ahahha , sounds about right.

"Lodge the bond to the rental board. " - BB Whos the rental board? and whats the cost + advantage to lodge the bond with them?

I would have thought i keep the bond and just give it back once im happy with the outgoing inspection.

Regards
Michael

 

[AlmostBob]

Thats why you have to read and know the Residential Tenancies Act (RTA) for your state
Most jurisdictions stipulate how the security deposit is handled
Ours must be placed in a trust account
QLD has a government department with which the bond must be lodged within ten days
If you miss the regulation by 1 day, the tenants lease is invalidated and when they trash the place you have no comeback
If you go on 'common sense' one proffessional tenant will wipe the floor with you, there isnt much common sense in the RTA for any state province or territory.
Some stipulations in NSW make no sense at all, read NSW RTA, scary, it was made retroactive to pre-existing and TERMINATED lease contracts, some old tenants could come back and ask for damages

(1) A residential tenancy agreement must not contain a term of a kind set out in this section or prescribed by the regulations for the purposes of this section.
(2) Terms having the following effects must not be included in a residential tenancy agreement:

//SNIP//
(e) that, if the tenant does not breach the agreement, the rent is or may be reduced or the tenant is to be or may be paid a rebate of rent or other benefit.​

//snip//

paragraph 2e, you cant give the tenant a bonus for being a good tenant
other benefit was stated in face to face talks to the NSW RTA when we were residing in QBN to include a box of quality street at Christmas, unless you gave one to all your bad tenants as well

 

[Jody in Darwin]

Always be polite on periodic inspections. Ask if you can check under sinks (i.e. for leaking pipes) and inside wardrobes if they are on the other side of a shower/bath etc (again - leaks). Often tenants won't notice small maintenance items or think they may be too petty to report and what is a small item now could be a very big headache later.

Good luck.

KR,
Jody

 

[Sez]

Thanks!! Will bring an extra memory card for the camera

I like the car idea ahahha , sounds about right.

"Lodge the bond to the rental board. " - BB Whos the rental board? and whats the cost + advantage to lodge the bond with them?

I would have thought i keep the bond and just give it back once im happy with the outgoing inspection.

Regards
Michael

You have to lodge the bond with Fair Trading NSW. It is so a third party cares for the money so if there is any dispute at the end of the tenancy the landlord can just refuse to refund the bond and the tenant has an avenue to persue for return if required.

http://www.legislation.nsw.gov.au/maintop/view/inforce/act+42+2010+cd+0+N

Follow the link and read it - all of it before you go into this alone.

Good Luck!

 

[wylie]

I wouldnt put any faith in that old yardstick. I rent (and own IP's) and based off the back seat of my car you wouldnt rent me a shack in the back of burke. Yet my house is immaculate.

Me too. My car on the other hand ...

 

[whitehope06]

take a lot of photos and download an ingoing report from internet, fill it out and don't forget to get tenant to sign it.

Good luck !!

 

[Ed Barton]

Hi,

I have just finished renovating one of my IP and thinking of managing the rental myself...have never been happy with my real estate agent

Beside having a signed tenancy agreement and asking for payslips.
Anything else i should be asking? and any common pit falls, tips and experience you could provide?


Regards
Michael

make yourself up an application form. something like this http://images.rh.com.au/library/file/Tenancy Application - Collaroy.pdf it shows you are professional and serves as a good check list.

take a number of copies to the open house to hand to interested tenants. some may want to apply on the spot so take a camera so you can get a copy of their documents. don't forget a couple of pens.

process the application/s and prepare the lease as others have described.

have two people at OFIs. one looking after the documents, usually in the kitchen where there is bench space and the other greeting and showing the property. don't smother people though.

 

[priscilla]

We always drive past the property the tenant is currently living in if it is fairly local, that will give you the best indication of how the tenants live.

Make sure you get a current rental reference (where applicable) and always ask for a ledger of the tenants past rental payments you can then see for yourself whether they have paid their rent on time.

As previously stated you must ensure you lodge the bond monies with the Office of Fair Trading (if in NSW) as it is a serious breach of the tenancy agreement not to.

We often find tenants who do not like renting through private Landlords as they feel they do not get suitable proof of tenancy (such as rental ledgers) for when they move on. I am aware that many of the private LL's on here keep fantastc records which they could make available at the end of a tenancy but the reality is many do not, so the more professional you can look upfront the better your chance of securing a good tenant. I would also make it very clear the different ways the tenant can contact you when and if required as many are fearful of not having an agent to guide and assist them and a Landlord who will not return their calls or deal with issues.

Always get personal references not to check upfront (who has ever read a bad personal reference) but more as a way to contact the tenant if things go sour later on.

 

[Dazz]

You have to lodge the bond with Fair Trading NSW. It is so a third party cares for the money so if there is any dispute at the end of the tenancy the landlord can't just refuse to refund the bond and the tenant has an avenue to persue for return if required.

I presume you meant "can't"


....but then one has to question....if the bond isn't there for the Landlord's protection, it sits with a third party and there are avenues made available for the Tenant to get it back, what should it really be called, cos it sure as hell ain't a bond ??


When exactly wouldn't the Tenant not strongly desire to have their cash returned back to them in full ?? It's a politically correct farce.

 

[Sez]

I presume you meant "can't"


....but then one has to question....if the bond isn't there for the Landlord's protection, it sits with a third party and there are avenues made available for the Tenant to get it back, what should it really be called, cos it sure as hell ain't a bond ??


When exactly wouldn't the Tenant not strongly desire to have their cash returned back to them in full ?? It's a politically correct farce.

The third party is to protect both the landlord and the tenant. If there is a dispute over the claim of the bond it generally goes to tribunal where both parties have the opportunity to provide evidence of their claim. e.g. Photos of damage or cleaning, the ingoing report etc. etc.

There are some very, very devious landlords out there who would take the bond and never refund it if it was left in their hands. It is a minority but it is always the minority that ruins it for everyone else.

If there are grounds for the landlord to take a portion of the bond it doesn't matter how strongly the tenant desires the cash back - tribunal will take that decision away from them.

Ha ha, yes I did mean can't ! The typo that got away!

 

[kkrp]

I agree, knowing the Residential Tenancies Act is your first step, without this you could get yourself in some serious trouble

 

[Mick C]

Thanks for the help guys, i have downloaded the NSW tenancy act and forms- will go through it in details and ill let you guys know how i go with the tenants

Regards
Michael