IMPORTANT INFORMATION FOR LANDLORDS
We want to make sure your property attracts high quality tenants and the best possible rental price.
At the outset we’ll inspect your property and make recommendations for any repairs or maintenance, and then we’ll work with you every step of the way to help get things ready for rental.
To make that happen, there are a few things that need to be done. Some of these are to comply with legislation, and others are to make sure that your property is as attractive as possible.
We’ve outlined some information about how we work, how we can support you and important things to think about. Please take a few moments to read through this document, and if you’ve any further questions, just ask.
We aim to choose the best available tenant for your property. We ask all prospective candidates for information that will help us to make a selection, including past and present rental references, employment history, and 100 points of identification which must include either a passport or drivers license.
All prospective tenants and occupants are also asked to read and sign a Trading Reference Australia (TRA) declaration form. TRA keep records to help agents like us evaluate applications for leases, as their database holds any negative tenancy history.
Rent reviews are conducted regularly to ensure your investment at market value. We’ll recommend rent increases or if the market isn’t strong, advise on the best possible strategies to retain tenants for your property.
What we need from you
Firstly, we need three full sets of keys. Two sets will be given to tenants once they’ve signed the lease agreement, and one set will be kept in our office in case of emergency.
We also need some information about your property to help us market it. These are the sorts of things prospective tenants will want to know before deciding if your property is for them. This includes whether your property is pet friendly, what appliances such as washing machine or freezer are included, what services are available in the area, and whether you have any plans to put the property up for sale while the property is leased. This is something to keep in mind, as if the property is listed during the tenancy and the tenant wasn’t advised, they’re within their rights to terminate the agreement with no break lease costs.
Things you have to do
You need to make sure your property complies with legislation and good rental practice. We can offer advice if you’ve got any questions.
- Smoke alarms
Your property MUST have working smoke alarms. The Office of Fair Trading has produced a handy leaflet outlining your responsibilities.
- Swimming pool
If you have one, it must have a valid compliance certificate issued by your local council. This is to meet new laws an regulations around swimming pool fences and general safety. The swimming pool check list, developed by the NSW Water Safety Taskforce is a handy resource that can help you find out if you comply.
- Water efficiency
All rental premises must meet required water efficiency standards. if needed, we can get one of our qualified plumbers to undertake a water efficiency audit and issue a Compliance Certificate, which we can keep on file. Just ask us for more information.
- Appliances
These must be maintained in working condition during the lease. If you have them, we recommend you keep your original warranty and any appliance manuals and provide a copy for reference by your tenants. We can keep these on file for you if you’d like.
- Cleaning
It’s really important to make sure the property has a pre-tenancy clean. This is so we can make sure your tenants return the property to the same standard at the end of their tenancy. We work with a number of recommended cleaners and can arrange a quote if needed.
- Landlords insurance
Owning a residential investment property comes with some risks that could result in financial losses to you. These can include loss of rental income due to change in a tenant’s financial circumstances, damage to the property by a tenant, or even being held liable for an injury to the tenant or a member of their family while on your property. We strongly recommend that you arrange landlords insurance for your property to help minimize any risks. We’ve enclosed some brochures to give you more information.
- Contents insurance
This is a necessity. Although tenants will have their own contents insurance to cover personal belongings, you will need to be insured against fire of flood damage to internal furnishings such as your kitchen, carpets and light fittings. We can provide you with details of companies who specialise in this kind of insurance, so please just ask.
We’ll make sure tenants are aware of the terms and conditions of their lease and highlight any particular requirements that will make for a trouble-free tenancy. We’ll prepare the lease agreement and sign all documents on your behalf and share a copy for your records. We’ll also keep a copy on site too, and our office will receipt the bond and lodge this with the Office of Fair Trading. This is then held in trust until the tenancy ends and the final inspections has been conducted.
We’ll perform an ingoing inspection when your tenant takes up occupancy, periodic inspections throughout, and an outgoing inspection. We do this because we want to make sure your property is returned to you in great condition and is maintained throughout.
Pre-Inspection Report
We’ll draw up a concise report detailing the state of your property at the point your tenant takes up occupancy. Where necessary we’ll take photos too. These are kept on file for reference so they can be compared to the outgoing inspection that’s performed at the end of the tenancy. A copy of the ingoing inspection report and a copy of the new lease agreement will be sent to you. If you want to request that photos be taken at the beginning of the tenancy, please email elizabeth@aspectestateagents.com.au.
Routine Inspections
Up to four inspections can be conducted annually. We’ll perform periodic inspections in the first three months of tenancy and every six months after. This means we can make sure your property is being well maintained, and also recommend any work that we think might be needed. As the landlord, you’re very welcome to attend these regular inspections with us. You can opt to do this when you sign your agreement with us, and we’ll let you know ahead of any planned inspections. If you can’t attend, we’ll send a comprehensive report to you instead.
Repairs and Maintenance
Should we recommend any repairs or maintenance, we’ll let you know and seek your instructions. If any urgent issues are reported by the tenant, such as a burst pipe or an electrical malfunction, we’ll attend to it immediately and advise you as soon as possible. We keep a complete record of repairs and maintenance carried out to your property, along with any job orders and invoices for future reference and taxation purposes. All invoices for repairs carried out are deducted from the rent monies held on your behalf in our Trust Account. Full details are listed on your monthly statement together with a copy of the invoice.
We can also arrange for one of our recommended companies to undertake an annual pest inspection. If you’d like to request this, let us know when you complete your agreement with us.
Exit Report
Finally, at the end of every tenancy, once the tenant has left and removed all their property, we’ll perform a thorough inspection which you’re also welcome to attend. The condition of the property at this point will determine whether we give approval for the release of the rental bond back to the tenant, or request to withhold it.
Tenants can pay their rent in a number of different ways including internet banking, cheque or money order, although direct debit is the preferred method.
We pride ourselves on keeping a close eye on rental payments. We produce reports every day which are checked for any outstanding payments. If a tenant falls two days behind their payment schedule, they’re immediately contacted by phone and a reminder is also sent by post. Should a tenant fall more than 14 days behind, we’ll get in touch to let you know about the arrears and tell you what action we’ve taken. If needed, we’ll recommend you issue a termination of tenancy form due to non-payment.
Our investment in real estate software means we record day to day actions on your property and can produce tenant and owner ledgers any time.
We’ll also prepare and send you a detailed rental statement or tax invoice every month. This outlines money received and deducted and the balance that has been transferred to your nominated account. Money can be sent to you electronically or by cheque. For your convenience we can email your statement to you, or arrange to have funds transferred to you mid-month.
To save you time and fees when dealing with your accountant, we’ll send you an end of year financial statement. This will provide complete accounting for your property, including income received and expenses paid out together with net total figures.
Remember, the rent of residential premises is input-taxed. This means that GST is not added to rent so residential landlords will bear their costs inclusive of the GST. As a service, property management attracts a GST of 10%. The total GST inclusive cost is tax deductible to residential landlords.
Although rare, occasionally disputes can happen between tenants and landlords. We’ll manage these on your behalf with diplomacy and professionalism. In the unlikely event that any issues can’t be resolved by negotiation and discussion, we’ll apply to the Residential Tenancy Tribunal to ask for a hearing, which we’ll prepare for and attend for you.
We want to be clear about our fees from the outset. We don’t have hidden extras, so there are no nasty surprises further down the line.
What we do charge for…
- Management fees – 5% of gross rental received (deducted upon receipt) exclusive of GST
- Letting fees – the equivalent of one weeks’ rent + GST for a 6 month lease or 2 weeks rent + GST for a 12 month lease
- Advertising and marketing – $275.00 for photography, floor plan and listing on realestate.com.au & domain.com.au
- Income and expenditure statements – $33.00 per annum
- Tribunal Attendance, if required – $100 per hour for a minimum of three hours. This covers both preparation and attendance of tribunal if needed.
What we don’t charge for…
- Erecting a “For Lease” signboard or window sticker on your property if agreed
- Income and expenditure statements produced at the end of the financial year and emailed directly to you or your accountant
- Conducting open for inspection appointments at your property twice weekly
- Conducting an unlimited number of private appointments to show prospective tenants through your property
- Negotiating new lease terms and rental increases upon expiry of current leases
- Arranging and checking on repairs and maintenance throughout the tenancy
- Conducting routine inspections on the property twice per year
- Paying council, water and strata rates on your behalf should you request
- Building insurance claims where required
- Final inspections and bond claims at completion of tenancy
TESTIMONIALS
As property manager for many of my Sydney investors, Liz provides excellent service and outcomes. Liz is responsive, knows her work and goes above and beyond the call of duty to assist my clients with their investment properties. In providing such a reliable service, Liz allows me to relax and focus on my core business.
