Great news! Possible $50 rental increase!

[DaveM]

We had over 90 people enquire and come through unit 12. We only received 1 application out of all of those people.

You know it sounds crazy, but so many people dont put an application in as they see another 5,10,20 people there and think "someone else will get it, I wont bother" and then you get no applications at all. Everyone assumes someone else will get it.

 

[Ed Barton]

Some really good news! Currently earning $230 per week for my 1 bed Dia.nella unit. Lease ends in July & tenant told PM she might move out. In January she was very unhappy with the $10 increase.

If I was a tenant I would be telling the agent that i was considering moving as each lease neared ending. I would be complaining about increases, even if reasonable to try to put downward pressure on rent price. in reality I wouldn't move unless the rent increased to significantly above market.

perhaps your tenant is just playing the game and has no intention of leaving as long as rent increases are in line with market.

The current agreement ends on 06/07/12.
I do believe that this increase would see that Brenda was to vacate the property as last time we increased the rent to $230.00 per week she was hesitant. However she may not be able to find anywhere cheaper than $280.00 per week which may in turn result in her staying.

If she is to leave we will have to re advertise the property and hold home opens etc. if I were to advertise the property I would probably say that $280.00 is a little bit high. We had over 90 people enquire and come through unit 12. We only received 1 application out of all of those people. If we could not find the right person for the property it is possible that the unit would sit vacant for a while and you would then be loosing out on rent.

Please have a look on www.realestate.com.au at comparable properties.
There are many units available on terrace road in the city and they are all under $300 per week. These are located within the CBD almost and are basically on the river.
There are a couple available in Inglewood.
4/157 ninth avenue, Inglewood which is $240.00 per week
11/57 tenth avenue, Inglewood which is $270.00 per week
There is a unit not too far away in Yokine. 20/379 hector street, yokine. This is a 2 bedroom unit for $300 per week
There is also a brand new unit in Nollamara for $272 which is also a 2 bedroom place. 2/88 Harrison street, Nollamara.

I am happy to proceed with what ever instruction you wish. Please let me know.

from your post times it looks like your PM got back to you in less than hour, good PM in that regard.

Your PM is suggesting that 280pw is at the high end of market, and subtly suggesting slightly lower to either retain the current tenant or rent the place quick if she vacates. or is s/he just being lazy and doesn't want the current tenant to leave?

check out comparables for rent, both in price and rooms etc. i just did very quickly and there's sweet f all in that area under 300. even go to some rental OFIs to see demand, talking to potential tenants can reveal a lot.

 

[Alex P Keaton]

It turns out the other unit went for the asking of $280 pw because its a short term lease. The nephew and girlfriend is staying with the aunty for a little while whilst saving up to buy a deposit.

She thinks $280 is too high for my unit as it doesn't have its own laundry and its a small unit.

Looking at other comparables just now I've decided to go for $260 per week asking. Also the unrenovated unit was asking $250 per week. I'm not sure how much it went for as agents dont like to divulge that kind of info. Another one in Inglewood that was asking $240 has had heaps of interest but the agent was tight lipped and wouldn't give me any info.

PM will be emailing the tenant now. PM says that if my tenant vacates that I should be able to get the $260 per week asking if I re-advertise!

Also seeing that rents are moving so fast in Perth I'm going to tell my PM I want to put a 6 month rental review in place.

 

[MsAli]

Looking at other comparables just now I've decided to go for $260 per week asking. Also the unrenovated unit was asking $250 per week. I'm not sure how much it went for as agents dont like to divulge that kind of info. Another one in Inglewood that was asking $240 has had heaps of interest but the agent was tight lipped and wouldn't give me any info.

Your PM should be able to retrieve this info from RP Data.