URGENT - Tenant taking me to the tribunal PM errors to blame

C

chloe1980

Hi All

I thought I was doing the right thing when I got a PM to manage my IP.

The principal of the real estate agent told me that since the property has ducted air conditioning that is 20 yrs old I could cover myself by not advertising the IP with air con and charging $30 less than the market rent.

I agreed.

PM signed the lease (the tenant has a dog and pleaded that I accept it) so being a nice landlord I did

After months of requesting my copy of the lease I found out the leasing agent who was there when tenant signed crossed out the 1 dog and changed it to 2 dogs which I never authorised (only 1 pet bond was held)

But it gets worse, the air con stopped working after 18 months

Tenants reported it to PM who I reminded that the air con was not part of the lease. I said if tenant wanted to regas which was likely cause of it not working then happy for them to do at their expense the number of the company who installed it is on the control panel (I said prob cost them $200)

Tenant was fine with this.

Then a year later when a new PM started the tenant tried to pull a swifty but the PM gave the same reply

Tenant then after a few months went to Tenancy Advocacy Service who demanded we repair air con within a week. We gave same response air not covered.

Inspection was already booked a few weeks later coupled with time afterwards for repairs so saw no issue as the proper notice had not been given to access property anyhow

Tenant for 3rd inspection in a row at last minute limited our time at property to 15 mins. I said we are installing water efficiency devices per legislation and if you enforce a time limit you will sign an agreement that you will continue to pay water usage until such time that a more suitable date mutally agreeable to both parties for installation of water efficiency devices could be agreed on

Tenant then decided to allowed access for an hour which is all we had time to do (no time to look at anything else or perform a proper inspection) Tenant was told we were around all weekend and to call us to come back to attend to a few other minor repairs they were complaining about

Tenant never called and given it was a Sunday we respected their right to non disturbance and did not call them

Tenant said dont bother her for next month as xmas etc

Respected tenants wishes

We noted on the latest inspection report that the tenant had breached the RTA by doing 2 x unauthorised additions (they always asked before they did things in the past, even if they could install a portable air con unit to which we said yes as long as any damage rectified at the end of their tenancy)

Then just after xmas got notice of tribunal hearing

Now I have found out the PM and principal of agency never excluded air from the original or subsequent rental property agreement. Tenant has since refused to sign an another lease which includes another animal we found 2 inspections ago which was never authorised either

Tenant was basically screw over by last landlord (they thought they signed 12 month agreement and then just before fixed term ended was evicted)

The tenant for the last 15 months on 2 ocassions has refused to sign a new lease (all leases now reviewed by tenancy advocacy service)

The concilation didnt work and they amended their application to include:

1) Whole repaint of house (the fact sheet said Tribunal cannot order this be done so that should be dismissed)
2) New fences for complete property as falling down (only thing is the top capping is deteriorating and we said when we have access we will do this but not an urgent repair)
3) New carpet throughout house (they have 2 dogs who do enter house as one did during the last inspection - so why would I do this?? It has no holes in it just requires stretching as they persist in carpet cleaning it regularly)
4) $100 reduction in rent for the last 12 months for withdrawal of services i.e. the air con (mind you the rent is still $30 below market and we have only increased rent by $30 over the 4 year period and $5 was for the second dog)
5) Remote control for the garage (the house was never sold with one) it has a doorbell inside front door and control panel in garage and I showed the tenant how to operate before the lease was signed)
6) Pet bond refunded (1 pet bond taken for the 1 dog I agreed to, 2nd one the leasing agent added without authorisation never had one held and you cannot add to bond so the PM stuffed us up there)
7) House requires venetian blinds for privacy and protection from heat (this property was let with vertical blinds or curtains on every window except the back sliding door where I removed the curtains as the tenant has a dog and I could forsee them getting wrecked)
8) Ceiling movement cracks to be fixed
9) Air con to be fixed (when I met the tenant at the property before the lease was signed in front of the original PM I stated to tenant this property is not advertised or rented with air con. It however works and this is how you use it but understand if it breaks down it will never be fixed or replaced and you have been compensated in advance by paying $30 per week less than the market rent (market rent was confirmed by one other real estate agent who property was initially advertised with who at the last minute said they had a tenant who would pay the extra $30 as the IP was never advertised without air with the original real estate agent. The PM who signed this tenant up told the tenant another applicant was willing to pay the $30 extra, the tenant replied no I will not pay $30 extra as this is not ... the suburb she just moved from which is a slightly newer estate)

So guys I have to submit my response to tribunal next Monday pls urgently help

Just list point number 1 for example if you have any advice on house repaint

This is an example of the tenant seeing how the new laws and cases work to the tenants advantage. In a private email to the PM tenant said they were looking to buy a house in 2 years (hence the $100 rent reduction they requested will actually give them a $5,200 deposit towards it)

I wont vent any more guys.......... but would urgently love some advice

By the way the PM has decided my IP is too hard to manage and so has dumped me as a client after tribunal is over.

PM even said if I want them to stop managing sooner thats fine. PM has done nothing to prepare for the conciliation hearing and wont even tell me what ocurred during it even though she said I did not need to attend.

All PM said was my response was inappropriate to each item on the original tenants application i.e. I said as adviced by Principal of this real estate agent before property put on the market for rent this was fine

Also PM has told me they have lost all the emails of the original PM that would have possibly documented that the air con was not part of the lease - so all I have to rely on at tribunal is the verbal evidence that I told tenant in presence of original PM who I have no idea how to contact that air is not included!!
 
Get everything in writing. This would not be happening otherwise.

Is there an original property inspection report?

Most of the points claimed are no business of the tenant such a painting a ceiling cracks etc.

All designed to scare you.

Your PM needs dragging over the coals, not you.
 
Urgent - Tribunal

The PM told me just before xmas to issue a no grounds termination (a friend told me the tribunal would come down on me hard for this just before xmas)

The tenant was $1,115 in arrears at that point when they went to tenant advocacy service as they were not paying rent increase for 8 months which they objected against as the air con did not work

Normally this tenant pays on time (over the last 4 yrs the only few times they were in arrears was due to PM issue over water bill which they paid in full (water service & water usage) when all they had to pay was water usage.

PM held the water service overpayment by tenant for 12 months to cover future water usage bills and then something happened and they were $10 in arrears for water usage and they were issued a termination notice.

Tenant has also been issued a termination notice in error (it was meant for another tenant!!)

The original ingoing report notes ducted air vent in every room but does not say anything about rent being reduced by $30 and it not being part of the lease..............
 
you have made some emotive statements, keep them out when dealing with the tribunal.

the $30 below market is irrelevant. it's what you agreed to. keep that out of the tribunal too.

the big issue here is the ac. it was not excluded in the original lease, so it is included. $100 pw compensation for the ac not working looks excessive. i doubt the will get 12 months of compo either, since they did not act in a timely way.

but with tribunals you never know the result. good luck!
 
Can you try to find out where the original agent has gone so you can get a statement from her as to what was said. You might get lucky.

Other than than, I would stand by your statement, made in dot points, to the point, refuting each thing.

In my opinion, the air-con is the only thing that is needing to be dealt with, and I would think the other stuff will be thrown out.

So, try to get something from the original PM or someone else from the PM office (unlikely they will give you this). Barring that, I would still state your information about the reduced rent in return for tenant agreeing that should air-con stop working it will not be repaired. See what happens at tribunal.

If you lose, you may have to fix the air-con, or install splits to replace, but in the long run that is probably something the next tenant will be wanting.

But then you can remove these tenants ASAP and increase the rent.
 
Glad you saved yourself $200 by not fixing the aircon.

To clarify your tenant has signed a lease which includes air conditioning. There is no aircon and you won't fix it.

Tenant wants rent reduction for it not working.

Seems pretty straight forward to me.

All the other stuff is irrelevant.
 
twobobsworth said:
Glad you saved yourself $200 by not fixing the aircon.

To clarify your tenant has signed a lease which includes air conditioning. There is no aircon and you won't fix it.

Tenant wants rent reduction for it not working.

Seems pretty straight forward to me.

All the other stuff is irrelevant.
Click to expand...

This is probably right, but if the poster must defend himself at tribunal, at lease he should present the facts and see what the "judge" does with them.

If there is a long list of rubbish claims, perhaps the air-con "scam" might be seen through.

The lack of paperwork to back up the "no air-con = $30 reduction" story is a huge black mark but I would not be giving up without at least stating my case.

Then I would do what I have to (fix the air-con probably) and ditch these miserable tenants as soon as legally possible. At worst, the rent would be going up by $50 at next review to cover the cost of the air-con plus normal increase.
 
Bottom line is PM didn't put the air-con in the contract.
So it is not the tenants fault... but what can the LL do for PM's stuff ups?

I faced a similar problem recently. Market rent for our IP is $520.00 (previous tenant paid that). Because I'm building a GF I told the PM to advertise it for $480.00 and also include the water bill into the rent. I provided a map showing the new GF & fence and told the PM to let the potential tenants know all about it. Guess what... the PM didn't do that and now the tenant wants further reduction of $30 due to GF building!
 
Urgent

Hi

My hands are tied.

The tenant is seeking $100 rent reduction per week since June 2010 until such time as the air con is fixed.

I understand the Tribunal will most likely make an order setting the rent at that price for a further 12 months or until the ducted air con is fixed.

If I try to evict the tenant with no grounds they will go back to tribunal and say I retailated to their Tribunal Application for repairs

I cannot afford to give them $10,000 plus in cash.

The rest of the repairs they are claiming will prob cost some $20,000 to do if I am unlucky

Whu were landlords not consulted when they were trying to amend all these new laws last January 2011?

Any ideas guys???
 
Any response from you needs to be brief and unemotive. This is important because the other side will be fired up.

Most of the stuff on their list can be batted away as non essential and will be addressed over time as part of your maintenance schedule. Don't get caught in detail about all that stuff, it's just a distraction.

They've got you over a bit of a barrell with the busted air con.

But you're not going to get hit with a $100 per week retrospective refund going back two years.

I knew somebody once who worked for the Tribunal. He said he always liked to make everyone feel like they had had a bit of a win.

He also liked it when a compromise was suggested by someone, anyone.

This is interesting:

The tenant was $1,115 in arrears at that point when they went to tenant advocacy service as they were not paying rent increase for 8 months which they objected against as the air con did not work
Click to expand...

So you make the point that tenant has been told numerous times that they are benefitting from reduced rent in lieu of functioning air con. But admit there is nothing in writing.

The tenant dug their heels in and refused to pay a rental increase because of the air con (though this might not have been the real reason).

You suggest wiping the $1,115 in arrears and commit to getting the air con fixed. The rent stays at the pre increase rate till the air con is functioning.

The tenant has some debt wiped and the air con gets fixed.

You are penalised.

Done.

Of course, one of the property managers who lurks here might say this exactly what NOT to do.
 
As my friend says, tribunals and legislators are all ex-teachers and ex-librarians. Every opportunity to destroy you greedy, capitalist landlords is like a school field for them.

Remember though, money is just that, a figure in your bank account. There's more to life than money. Happiness, not being stressed, spending time with family. Hence lap it up, take the hit, and don't renew the lease next time - say you're selling or something.
 
I'd be giving them notice to end the tenancy. Plead the poor card if they insist the air con be fixed and thatyou will move into it yourself. We had some troublesome tenants who were paying under market rent as they kept resisting increases and when we went for an inspection they had done some of their own renovating, had a huge dog outside (in a strata townhouse with no pets allowed in the complex) and a cockatoo in a cage in the carpeted loungeroom. Gave them notice the next day on the basis that we were moving in. We lived there for 4 months, did a few cosmetic renos while we were there, then re-rented it for $120 more per week. Might be in your best interest to spruce it up a bit and re rent it via a different PM. will also be a good learning experience for yourself to ensure everything is in writing. PMs will never claim responsibility for errors if there is no paper trail.
 
You should attend tribunal, to see if the PM is representing your interests.


Did the tenant have all requests in writing?
Is it required to be in writing?

The a/c may be a problem.

We never allow our tenants to strike out anything on their lease.
All they are permitted to do, is sign them.

I do wish you well, at tribunal.
Get rid of tenants as soon as possible, by putting up their rent, after you fix the a/c.
 
nahh..jack the rent up $200.00 per week. Who do they think they are. Tell them to go buy there own property. Tell them their names have been blacklisted and if they ever find another place to live they will have to pay double the rent.

Oh, and tell them you have a solicitor chasing the arrears.
 
If there is time, maybe go find a competent, new PM who will support you in this battle.

Not sure if it would confuse the issue though.

This is where you really need a good PM.

Wouldn't consumer affairs value the rental of the property to validate your claims that it's rented under market rent?
 
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