Tenants just dropping in Keys and leaving - NSW

[MichaelGilbert]

Here's a question for PM's and owners in NSW.

Just out of curiosity I know when I left NSW about 3 years ago the laws changed so tenants could just drop in the keys (without giving any notice). IF they have been served a noticed to vacate (while in a periodic lease).

As a PM I found this incredible that a landlord had to give a tenant 90 days notice to vacate (for no reason) and then the tenant could just walk in the door, drop of the keys and only pay rent up to that day.

Do you think this is unfair for Landlords or has it worked out OK?

 

[thatbum]

I don't see it as particularly unfair. I think the rationale is that it takes a lot more time and effort to find a new place and pack up your home, than to take the keys and re-advertise for a new tenant.

 

[zimby]

I don't see it as particularly unfair. I think the rationale is that it takes a lot more time and effort to find a new place and pack up your home, than to take the keys and re-advertise for a new tenant.

Have you ever advertised in a slow market at the wrong time?

 

[Blueberry]

Have you ever advertised in a slow market at the wrong time?

Landlord already issued notice to vacate. As far as I'm concerned they both agree tenant moves out. Although a week or two notice would be nice. For readvertising and booking trades if needed.

This is small stuff and should be well within your buffer.

 

[beachside]

I don't see it as particularly unfair. I think the rationale is that it takes a lot more time and effort to find a new place and pack up your home, than to take the keys and re-advertise for a new tenant.

Vacancy while finding a new tenant prior to expected availability = $$$

I think thatbum rents and is not a LL

Issuing notice to vacate provides a stated period for tenant to vacate and pay rent to that date. To vacate before that date the tenant should provide a notice period as per state requirement (I suspect there is one) although it may be less than that required by LL as in Qld. A periodic lease usually is still treated as a lease, although different rules can apply.

To give a LL ample warning and time to find a new tenant you need to keep one step ahead. I don't wait for tenant to give me notice at end of lease which is only 2 weeks from memory, although I have to give 2 months. I give tenant notice 2 months before end of lease to vacate at end of lease. If a renewal is to be offered I advise this and that the vacate notice will be withdrawn if lease renewal is returned signed at least 4 weeks before end of lease - if they want to renew. This provides me with 4 weeks to find new tenant. I don't allow periodic leases for a few reasons, but this situation can be covered as a normal lease. I had a tenant who thought he may have to move due to work half way through a new lease and wanted periodic or 3 months. I did not really want a lease ending after 3 months (time of year) or periodic so I offered a 6 month lease with a clause where tenant could end lease early after 3 months with no penalty provided he gave me 4 weeks notice - accepted. He moved out after 4 months, but may have still been there at end of lease if the job change had not come through, therefore periodic or 3 month not required after all!

 

[thatbum]

Vacancy while finding a new tenant prior to expected availability = $$$

I think thatbum rents and is not a LL

Issuing notice to vacate provides a stated period for tenant to vacate and pay rent to that date. To vacate before that date the tenant should provide a notice period as per state requirement (I suspect there is one) although it may be less than that required by LL as in Qld. A periodic lease usually is still treated as a lease, although different rules can apply.

To give a LL ample warning and time to find a new tenant you need to keep one step ahead. I don't wait for tenant to give me notice at end of lease which is only 2 weeks from memory, although I have to give 2 months. I give tenant notice 2 months before end of lease to vacate at end of lease. If a renewal is to be offered I advise this and that the vacate notice will be withdrawn if lease renewal is returned signed at least 4 weeks before end of lease - if they want to renew. This provides me with 4 weeks to find new tenant. I don't allow periodic leases for a few reasons, but this situation can be covered as a normal lease. I had a tenant who thought he may have to move due to work half way through a new lease and wanted periodic or 3 months. I did not really want a lease ending after 3 months (time of year) or periodic so I offered a 6 month lease with a clause where tenant could end lease early after 3 months with no penalty provided he gave me 4 weeks notice - accepted. He moved out after 4 months, but may have still been there at end of lease if the job change had not come through, therefore periodic or 3 month not required after all!

The state requirement in NSW is nothing if the landlord has issued the notice first.

I don't think it applies to fixed terms either.

So I just don't see LLs having too much to complain about in the situation where they are asking for their property back anyway. If you're not ready to take possession, then why issue a notice?

 

[MichaelGilbert]

I personally feel, even though I want the tenants out I think it's fair they atleast give 2 weeks notice in return if they plan to move out prior to the Vacate Date (from their termination notice).

I"m sure the tenants would be aware 2 weeks before their moving so its not as if it would be any skin of their nose to give 2 weeks but it would help LL's get things organised on their end without having to incur too much loss of rent (depending on their situation).

This is why I'll be giving my tenants notice well and truly before the end of the fixed term lease so the Vacate Date (on the notice) would be just after the fixed term ends. Meaning they can't (in most circumstances) give me notice in return (or just drop in the keys and leave) as they'll still be in a fixed lease. (Although I'll be happy to work with them if they want to move out earlier).

 

[D.T.]

I personally feel, even though I want the tenants out I think it's fair they atleast give 2 weeks notice in return if they plan to move out prior to the Vacate Date (from their termination notice).

I"m sure the tenants would be aware 2 weeks before their moving so its not as if it would be any skin of their nose to give 2 weeks but it would help LL's get things organised on their end without having to incur too much loss of rent (depending on their situation).

This is why I'll be giving my tenants notice well and truly before the end of the fixed term lease so the Vacate Date (on the notice) would be just after the fixed term ends. Meaning they can't (in most circumstances) give me notice in return (or just drop in the keys and leave) as they'll still be in a fixed lease. (Although I'll be happy to work with them if they want to move out earlier).

If it's a fixed lease can't you just advise it won't be renewed? I know some states aren't the same on this

 

[thatbum]

I personally feel, even though I want the tenants out I think it's fair they atleast give 2 weeks notice in return if they plan to move out prior to the Vacate Date (from their termination notice).

I agree - something like 2 weeks would be nice. Or at least one. Maybe something to push for when the next legislation review comes around.

Until then, it is something that can be dealt with by having a good working relationship with your tenant.

 

[MichaelGilbert]

If it's a fixed lease can't you just advise it won't be renewed? I know some states aren't the same on this

I think in most states (if not all) a fixed lease automatically turns into periodic lease. Different notice periods etc would apply depending on when your sending the notice.

So for NSW, basically in a way I am just notifying them it will not be renewed but I still need to give them the appropriate/formal notice.

I wish all states where the same rules! I think for the short term pain, there would be a lot of gain.