Hi,
I have one IP (in NT) which has been on 1 year leases for 4 years. I just bought another one (in QLD) which had the first lease signed for 6 months.
Both my PMs charge one week's rent as "Letting Fee". There is NO explicit mention in either PMs' contract for "Re-Letting Fees"/"Lease Extension Fees" (i.e. same tennant staying on).
I understand that 6 month leases give me a chance to increase the rent twice a year, but then do I have to pay 2 weeks rent as letting fees in one year?
Apart from this, what other factors should I consider when deciding how long to make my leases...?
Also, I have no intention of reopening the debate that went on in the other post here "Letting Fees" - but I went through it and couldnt find any concensus on these 2 issues:
1. In the absence of the item "Re-Letting Fees" in my contract, can the PM legally just go ahead and charge me a weeks rent, even if the same tennant chooses to stay on? So far the one in NT has been... Or is it upto me to 'negotiate' (plead/request/argue/scream) with them?
2. Re the "double-dip": My NT PM charges me one weeks rent as re-letting fee, but charges me the management fes on the gross rent (i.e. does not subtract the letting fees from gross rent before taking out the management fees). What is the concensus on this issue?
Thanks very much.
I have one IP (in NT) which has been on 1 year leases for 4 years. I just bought another one (in QLD) which had the first lease signed for 6 months.
Both my PMs charge one week's rent as "Letting Fee". There is NO explicit mention in either PMs' contract for "Re-Letting Fees"/"Lease Extension Fees" (i.e. same tennant staying on).
I understand that 6 month leases give me a chance to increase the rent twice a year, but then do I have to pay 2 weeks rent as letting fees in one year?
Apart from this, what other factors should I consider when deciding how long to make my leases...?
Also, I have no intention of reopening the debate that went on in the other post here "Letting Fees" - but I went through it and couldnt find any concensus on these 2 issues:
1. In the absence of the item "Re-Letting Fees" in my contract, can the PM legally just go ahead and charge me a weeks rent, even if the same tennant chooses to stay on? So far the one in NT has been... Or is it upto me to 'negotiate' (plead/request/argue/scream) with them?
2. Re the "double-dip": My NT PM charges me one weeks rent as re-letting fee, but charges me the management fes on the gross rent (i.e. does not subtract the letting fees from gross rent before taking out the management fees). What is the concensus on this issue?
Thanks very much.