Owner Faq

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WHY DO I NEED A PROPERTY MANAGER

Some Landlords do choose to manage their property themselves, and do it successfully. However, with the complex laws that need to be adhered to when renting a property, private Landlords run the risk of embroiling themselves in a legal nightmare. Also consideration should be given to the time required to collect on-time rent, arrange ongoing maintenance and in selecting the best tenants. Most owners find the relatively small cost of hiring a professional to do all of the above – and more – is a great investment. At Just Rental Shoalhaven our expert team of professional property managers focus on increasing the value of your investment property, and making your experience a rewarding one.

HOW LONG IS THE AVERAGE LEASE TERM

Most Residential Tenancy Agreements are between 6 – 12 months in duration. On occasion it may be advisable to enter into a slightly longer agreement or shorter agreement depending on the tenant and the landlord’s current circumstances.

Unless specified in the Tenancy Agreement, a continuation clause forms part of the Agreement. The continuation clause allows the tenancy to continue after the initial fixed term with the same conditions of the original Agreement. Should either the Landlord or Tenant wish to terminate the agreement after the fixed term has expired, then the following notice period is required: Landlord:90days Tenant:21days

There are two types of agency agreement:

Fixed Term Agreement

This is where the agreement is for a fixed period of time (such as 6 or 12 months or other agreed period) and specifies an end date. A fixed term agreement is used at the start of a tenancy or when the parties are renewing the agreement once the fixed term period has ended.

Periodic (continuing) Agreement

This is a tenancy for an indefinite period. You automatically move to a periodic agreement when a fixed term agreement ends, if the tenant remains and no new agreement is signed. In a periodic agreement, the landlord and the tenant must follow the rules set out in the original agreement.

The rights and obligations under both types of agreement are generally the same. However, there are differences in relation to terminating the tenancy and rent increases.

HOW LONG DOES IT TAKE TO LEASE A PROPERTY

Our goal is to lease your property as quickly as possible to the best tenant.

This will be dependent on market forces at the time and reinforces the need to begin the marketing of your property as soon as possible. Whilst we will always endeavour to achieve the maximum rental for your property, pricing the property too high may result in a longer vacancy period.

A vacant property will reduce your annual rental return by 2% for each week that the property remains vacant. In consultation with you we will determine a suitable market rent taking into account current demand, current availability and comparing similar properties that have leased in the area.

At Just Rental Shoalhaven we take pride in having consistently lower vacancy rates than our competitors.

WHAT IS THE PROCESS FOR SELECTING TENANTS

Tenant selection is one of the most important areas in managing your investment property. Just Rental Shoalhaven has a rigorous selection process that helps us to identify the best tenant for your rental property.

Just Rental Shoalhaven will process all tenancy applications which are submitted and can make a recommendation to you, but you as the owner will have the final say in who is approved to rent your Property.

At Just Rental we look for tenants who fulfil the following criteria:

a) Financial stability and ability to pay the rent on time.

b) A good rental history

c) Bond has been refunded in full from previous tenancies.

d) Maintained their previous rental property in good order.

All prospective tenants are required to complete a comprehensive application form, accompanied by 100 points of identification enabling our office to confirm:

a) Current and past rental history with previous landlords and real estate agents.

b) Employment history and personal references.

c) Screening through tenancy default databases such as TICA.

d) Financial stability and investments

To clarify the above we rely on supplied documents such as references from previous landlords/real estate agents, rental payment ledgers, copies of wage slips, property ownership papers, tenant ledgers etc. In addition current and previous references are contacted for confirmation of employment. Final approval for any application is made by you the Landlord and once we have verified the applicant, we will contact you for final approval.

DOCUMENTS REQURED FOR TENANCY

Just Rental Shoalhaven will prepare all documentation for the tenancy including:

a) A copy of the Tenancy Agreement (lease)

b) 2 copies of the Ingoing Condition Report

c) Rental Bond Lodgement Form

d) A copy of the Fair Trading “New Tenant Checklist”

e) Any additional terms and conditions e.g. Owners Corporation By-Laws or special conditions

BOND PAID BY TENANT

The Tenant is required to pay an amount equivalent to four weeks rent, which is held as a bond for the entire length of the tenancy. The bond is held with Fair Trading.  It is held as security against any unpaid rent or damage to the property.

KEYS TO BE SUPPLIED BY THE LANDLORD

Each person named on the tenancy agreement is required to be given a full set of keys, or any opening devices, at the commencement of the tenancy. Any additional key required can be organised by Just Rental Shoalhaven, at the cost of the landlord, and all keys issued to the tenant are documented, ensuring that the correct number of keys are returned at the end of the tenancy.

LANDLORD INSURANCE

Your building insurance will not cover you in the unfortunate event that your tenant defaults with their rent or causes any damage to your property. While it is not a legal requirement that you take out a Landlord Insurance Policy, we strongly recommend that you do so as soon as possible.

 

It is also important that you investigate the details of what your chosen insurer covers in their policy and what the charges are in the event of a claim. We strongly recommend against just choosing the cheapest policy. This can then mean that a claim will not be cost effective due to high excess charges. Just Rental Shoalhaven can recommend some companies we work with who have reasonable costs and fast, simple claim processes.

COUNCIL, WATER AND STRATA RATES

Just Rental Shoalhaven can pay all your Council, Water and Strata rates for you. This is a free service offered by Just Rental Shoalhaven and we strongly recommend that you let us pay your rates, especially Council and water rates as the new legislation requires Landlords seek payment from their tenant within three months of receiving a water bill. If the tenant does not receive the water bill within the three months then the tenant is not obliged to pay that water bill.

To have this service the Landlord will have to contact the relevant authority directly and arrange for

These invoices to be mailed to Just Rental Shoalhaven directly. We cannot arrange for the issue address to be changed to our address as we are not authorised on your account

DAMAGE TO YOUR PROPERTY FROM THE TENANT

If a tenant or a person visiting the tenant is responsible for damaging the property or anything in or on the property, the tenant is responsible for the cost of repairs. If, however, there is a fault with any goods supplied by the Landlord to the Tenant, including the structure of the property and appliances, it is the Landlords responsibility via their managing agent to arrange for repairs as soon as they are noted and cover all costs involved.

INGOING, ROUTINE AND OUTGOING INSPECTIONS

As managing agents of the property it is our responsibility to ensure the property is being kept in a clean and tidy condition, therefore we will conduct ingoing, outgoing and routine inspections.

At the start of every tenancy an ingoing condition report is completed. This records the general condition of the property, on a room by room basis, including fittings and fixtures. We fill out with as much detail and accuracy as possible. The report forms a key piece of evidence at the end of the tenancy, if there is a dispute about replacing missing items, paying for cleaning or damages. The condition report needs to be completed before a tenant moves in.

Instead of completing a standard condition report we use what is called Inspection Manager. This is the only comprehensive inspection management tool designed specifically for Property Managers in Australia. It is completed using an iPad, iPhone or Android device to put together a comprehensive Property Condition Report including photos and personal comments relevant to the property. The photos and comments all form part of the report. Any damage, marks etc. can be photographed and tagged along with the comments. This is a fantastic program as there can be no dispute if we have photographic evidence attached to the report. It fully complies with Government regulations.

A copy of the report is given to the tenant for their comment and notations. They then return this completed report to us, when we will scan the report into a documents folder for future reference. The report is then returned to the tenant so they have a copy for their future reference.

The Ingoing condition report will then be used when a tenant vacates and any discrepancies will be noted on the Outgoing condition report.

 

When the tenant lets us know they will be vacating, we send them detailed information on our expectations of how the property needs to be presented.

Once the tenant has fully vacated, we compare the property to the ingoing inspection report completed when the tenant moved into the property.

We carefully check through the report item-by-item, ensuring it has been left in the same condition as when they moved in, taking into account reasonable wear and tear for the period of time they have been in the property. This is a legislative requirement.

Should you have a battery operated smoke alarm installed, it is a legal requirement that the battery be replaced by the landlord upon the change of each tenancy. It is the responsibility of the tenant to change the battery in the smoke detector during the tenancy. We check and also read the water meter (if the property is separately metered and water efficiency measures have been completed).

It is our office policy to conduct regular routine inspections. The first inspection is conducted between 8 – 12 weeks. If everything is as it should be then we conduct them 6 monthly after that. If we have a concern we will do the next inspection after 3 months. A maximum of 4 inspections only are permitted per year.

Following a routine inspection of your property we will forward to you either by mail or email a copy of this report detailing the condition of the property and any recommendations for maintenance etc.

PAYMENTS AND STATEMENTS

Rent payments can be transferred to you Mid-Month and or End of Month. The choice is yours. All payments for repairs, maintenance, council and water rates etc. will be paid out of rent monies received. Statements will only be issued at the end of the month. You will also receive an end of financial year statement.

RENT REVIEWS

Rent reviews are conducted on a regular basis to ensure you enjoy full market rent on your property. We access rental data bases to ascertain such factors as current market rents, vacancy rates of similar properties in the area, general…………

CAN JUST RENTAL SHOALHAVEN SELL YOUR PROPERTY

If we currently manage your property and you are looking to sell or even if we don’t manage your property and you are looking to sell, your choice of agent is of critical importance in ensuring you get the best sale price.

Just Rental Shoalhaven can provide our owners with expert sales service.

We have many years of experience of selling homes in the Shoalhaven area.

Call us to discuss the advantages of selling through Just Rental Shoalhaven or Email :sales@justrental.com.au

HOW TO SWITCH TO JUST RENTAL IF YOU ARE CURRENTLY MANAGED BY ANOTHER AGENT

“Easy! Whether you have one property or many, and another agent is managing your portfolio.

Simply  CLICK HERE to download a Transfer Management Letter, sign it, and send a copy to us. We’ll take care of everything from there. We will contact you to sign a new Managing Agency Agreement and we will also make sure that we explain all the benefits to you of switching to Just Rental Shoalhaven

Our professional property management team will organise for the notification to the tenant, the transfer of the bond and the keys and all documentation.

Your property will then be managed by the expert team at Just Rental Shoalhaven and you can start to experience Hassle Free Property Management.