Tenants mates moved in without approval.

[gronk007]

My wife and I have got a very similar situation with a 2br unit IP we have.

Boyfriend and Girlfriend on rental agreement.

Boyfriend cheats on Girlfriend.

Girlfriend breaks up with Boyfried, moves interstate.

Boyfriend stuck with rent which he cannot pay on his own.

Boyfriend then has his brother and his mate move into a 2 bedroom unit - it has now became a bachelor pad.

The first 4 months payments were fine - on time, early sometimes. But last 3 months rent has been late 4 days, 12 days, and now 13 days.

PM has issued a "Notice to Vacate with reason" letter which gives them 120 days to vacate.

I asked isn't subletting without permission, and delinquency of payment reason enough to give the old 14 day treatment?

PM says as soon as they hit 14 days late, they are in default, then we kick them out.

I wouldn't have minded the brother and his mate if they pay rent on time and things are well maintained, but they have fallen short of the mark on both of the reasons over the last 3 months.

I'm in Victoria by the way.

 

[Frizzle]

PM has issued a "Notice to Vacate with reason" letter which gives them 120 days to vacate.

That seems a reallly long time for an owner to have to wait to be rid of this "errant" tenant. In that period you would be having to cope with the 13 day payment instead of on time and all the other dramas they create.

I may be wrong but I don't think it is that long in Q'ld.

Frizzle.

 

[NedKelly]

It'll look pretty stupid of us to turn around the PM and say to her that we'd have the tenants mates move in after we were so passionate about them not moving in.
I still havent heard back from the PM about whether the tenants are going through with their threats and moving out. How much notice do the tenants have to give?

So having read all the comments from the professional property investors on this forum, who all advise you to just get the other tenants on the lease, you choose to ignore it.

schweedy hit the nail on the head. You need to get you mind set around being a property investor and forget about being emotionally involved with the house, otherwise you will end up as a nervous wreck.

 

[kathryn d]

Put the friends on the lease, and increase the rent asap.

 

[schweedy]

I think you will find the 120 days notice is to cover everyones butt..... If they fall 14 days behind in the rent, the Pm should then also issue them with a notice to vacate, etc. The catch with that is they could pay up and fall behind a dozen times and as long as they are caught up before it hits the tribunal (or in some cases they can organise a payment plan). With the 120 days notice, no matter how many times they fall behind, you still know they should be out by then.
Just make sure your pm jumps on them everytime their rent falls behind and you may have them out sooner.

 

[gronk007]

Absolutely correct re: 120 days and 14 days in arrears...we are waiting until 5pm COB today, and no...they're not with the NAB at the moment, so they can't even cry poor regarding that banking issue at the moment...

 

[bevk]

I would not let other adults who have not been through a credit/criminal check live in my IP's. Remember, ONLY the people on the lease have been vetted by you. The rest are complete strangers and you have no information on them.

Plus, extra people in the home is going to create additional wear and tear on the premises which you would not have budgeted for in the beginning. Had you known there would be 4 adults in there from the beginning, you might have wanted to charge a higher rental to cover the additional wear.

 

[gronk007]

Just to continue my story about the 120 days notice period given to my tenants...notice to vacate was served, and the day before PM schedules VCAT visit, they pay 80% of the previous month's rent.

So, basically, they still owe $450 rent that was due November 12th, and we're only a week away from another $1250 due.

PM all over them like a cheap suit.

At the very least, the 120 day notice is still in place - funnily enough the tenants said to the PM, "but we don't want to leave, we like it here..." PM: "Then pay your rent! This will effect other rental applications, applying for credit cards, car loans, home loans...getting blacklisted on the Tenancy Database is going to ruin your life...." Tenant: "I had no idea I was in so much trouble"...


To be continued

 

[schweedy]

Well with any luck this will be a wake up call and they may go back to being the perfect tenants. Hopefully things will be sorted out soon for you gronk.

 

[goldenowner]

I could be wrong but if they break there lease they either have to find someone to take over the lease with ll approval or they have to pay the 12 months rent. They don't sound like there good tenants to me, They should have asked premission for the other people to move in.

 

[NedKelly]

Plus, extra people in the home is going to create additional wear and tear on the premises which you would not have budgeted for in the beginning. Had you known there would be 4 adults in there from the beginning, you might have wanted to charge a higher rental to cover the additional wear.

Charge a higher rental for extra people? Yeah, right! There is a market rent for a house and it isn't related to the number of occupants. If you try and rent a four-bedroom house and then when four lads turn up say it's an extra $5 per person they will just move to the next one on the list.

 

[barry2007]

It wouldn't be DHA it would be LOA (Living out allowance) and is paid by the CO of the unit he is posted to.

It would be based on who is living in the property so if he is the only one on the lease he is ripping off the system.

Sorry Monty but your completely wrong. Rental assistance is paid by DHA to the defence member and pending on property availability, recognised dependants, their period of service and actual location, gives defence members a ceiling as to how much RA they recieve. (usually full RA would equate to about 45% of the total rent amount. It is not a "live out allowance" and is not paid by the unit CO.
This guy is ripping off tax payers through DHA and I bet when he sent DHA a copy of the lease agreement he didn't disclose others living and contributing financially to the weekly rent which would effect his entitlement to only recieve partial RA instead of full RA. Give DHA a call.......

Cheers

 

[schweedy]

Also the dha allowance is the least of your worries. If nothing else, you might end up with your tenant not being able to recieve the allowance, but they wont do anything about the extras living there, just cut his allowance etc. Worrying about this wont fix your problem. You need to decide to give notice/breach for having more than is allowed on the lease, or add the extras.

 

[SkyIsTheLimit]

I contacted the PM today because we havent heard from her in two weeks about the situation. Is this normal procedures of PM's? I realise that we are not the only property she is taking care of, but its a long time to wait to hear back about the property.
The tenants have agreed to not let the mates stay. The PM said that they most likely won't renew the lease, which we aren't bothered about anyways. We expected it to be honest. Thank you everyone for your replies!