Tenants want to stay but I want to renovate

I've just brought a unit in Perth. I want to move in and renovate but the tenants lease doesn't expire until October. They have been there for 8 years and want to stay on...Is it their right to stay until the lease expires or can I give them 2 months notice? They are only paying $250 per week and the market rent is around $380 so they know their onto a good thing. Apart from offering a cash payment to vacate can anyone suggest ways around this?
 
I've just brought a unit in Perth. I want to move in and renovate but the tenants lease doesn't expire until October. They have been there for 8 years and want to stay on...Is it their right to stay until the lease expires or can I give them 2 months notice? They are only paying $250 per week and the market rent is around $380 so they know their onto a good thing. Apart from offering a cash payment to vacate can anyone suggest ways around this?

Have you read and understood the act?
 
I don't think I can give them a notice to vacate. I've been told by the agent that they can stay to when their lease expires. I've given 2 months notice to tenants before but that was in QLD so it must be different here.
 
Sorry I misread the OP slightly, they are entitled to stay to end of lease. When it is approaching give notice to vacate with first option.
 
I don't think I can give them a notice to vacate. I've been told by the agent that they can stay to when their lease expires. I've given 2 months notice to tenants before but that was in QLD so it must be different here.

In Queensland you cannot just give two months' notice to leave if they are on a lease. The lease means they are safe until the end date of the lease. I would assume other states are the same. You might have to just wait for their lease to expire but make sure you give notices for them to leave in plenty of time so that they do actually leave at the end of the lease.
 
At the time of making the Offer for the property, surely you would have been made aware of the terms of the tenancy agreement.
What did the agent advise regarding this?
Was the tenenacy agreement noted on the Offer?
 
Chill out, October is only 5 months away. Give them notice so they leave at the end of the lease. No point paying out cash to get rid of them. The money you pay will probably erode a years worth of the increased rent.

You never know, once you give them notice they might start searching for a new property and move out earlier if you allow them.
 
You never know, once you give them notice they might start searching for a new property and move out earlier if you allow them.

Give them notice now and let them know they are free to leave early without penalty (I think that's what the OP wants). As MRo says they are likely to leave early.
 
I've told the tenants that id like to move in and renovate. I've also offered them $1000 and also pay for removalists but they still want to stay until the lease expires in October. I think they have looked around and know what the rental situation is like here in Perth and want to keep on paying the $250 a week. Something similar will probably be around 370 and 400 now. (Who knows what it will be in October)

It's their right though so think I'll have to just wait.

In regards to renovating while their still living there, is it possible? Are they within their rights to say a flat no to get access?
 
If you were paying to live in a small unit would you want some strange dude walking around, mess everywhere, shfiting your furniture in the small space you have, etc?

I dont want to be negative but I think the only realistic option is to give them notice and wait until the lease has expired. I have been in the situation myself and just had to wait for the tenant to go.
 
They are entirely within their rights.

Their lease entitles them to "quiet enjoyment" of the property.

Marg

But (in NSW) tenants cannot deny reasonable access for several things including urgent repairs. Read the RTA and see what requires notice, and what requires permission. The two are different.
 
If you were paying to live in a small unit would you want some strange dude walking around, mess everywhere, shfiting your furniture in the small space you have, etc?

I dont want to be negative but I think the only realistic option is to give them notice and wait until the lease has expired. I have been in the situation myself and just had to wait for the tenant to go.


I was listening to JJJ Hack yesterday and there was discussion about tenant rights and how Australia is pretty poor compared to the rest of the world. (I blame it on negative gearing.)

Somebody phoned in and complained how they lived in a crappy place, the landlord gave them notice to leave, renovated the place, then leased it out again at a higher rent and (wait for it) did not give them first option to rent it back.

It's hard to do the right thing sometimes.
 
But (in NSW) tenants cannot deny reasonable access for several things including urgent repairs. Read the RTA and see what requires notice, and what requires permission. The two are different.

I'm not sure what you mean in distinguishing between notice and permission.

It wouldn't change the fact that inconveniencing the tenants to do renovations (as opposed to repairs) is almost certainly a breach of quiet enjoyment.
 
I've just brought a unit in Perth. I want to move in and renovate but the tenants lease doesn't expire until October. They have been there for 8 years and want to stay on...Is it their right to stay until the lease expires or can I give them 2 months notice? They are only paying $250 per week and the market rent is around $380 so they know their onto a good thing. Apart from offering a cash payment to vacate can anyone suggest ways around this?

8 years is a long period for a tenant, throw in a well below market rent and I can see a reluctance to move :D

What is the plan with the unit turn it into a PPOR or Renovate and put it back on the market at a higher rent?

You have just purchased, does that mean settlement has just gone through, or is it still pending?

Did you speak to your settlement agent/conveyancer/solicitor prior regarding your plans?
 
Unfortunately there isn't much you can do except encourage the tenants to move out.

1/ give them a notice to leave for End of Tenancy.
2/ Inform them they can leave earlier if they find a new house to move into, and if they do your happy to terminate their lease early without penalty (and most of them will once they have calmed down)
3/ The agent can find them a new house they would like

Then there are the not so nice ways which but can back fire on you by loss of rent and a mess left behind but might not matter if you are wanting to renovate. Anyway October isn't that far away.
 
Why create a headache when oct is only 5 months away?
Let them know that in October you will not be re-leasing and that's it. In Victoria, you can give notice to vacate without a reason if you give your tenant 120 days-this gives them plenty of warning and time for new place. You wont really make buckets of cash by getting rid of them with only 5 months left. Find out what the act says in your state and go with that.
Teagan
 
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