Renting unit out without agent

Im going to rent my unit out without an agent, anyone have any links to docs or advice on this?

I know I shouldnt but the tenant has agreed to give me the bond money and not have me send it in to the bond board, whats the legalities of this?

I probably will end up making a proper lease and send the money in to bond board can I get like a template lease of the net somwhere?

 

http://www.fairtrading.nsw.gov.au/realestaterenting/tenantslandlords/

You have to send it to the Bond Board.

See the link above.

Mark

 

Go to a reasonable size Newsagent and ask for a 'Lease Pack'.

In it you'll get lease, condition reports, bond lodgement/claim forms and also a booklet you are required to give the tenant. All for about $13 or so from memory. As an absolute minimum, read the booklet!

 

Hi Adam

I second Mark's advice- do the right thing with the bond and pick yourself up a leasing pack from the local newsagency or PO- simple and easy. Just follow the instructions.

A tip or two from someone who's self-managed IP's on and off over the years:

Take photos and add to the initial condition report
Conduct quarterly inspections
Don't become so friendly with the tenant that you can't ask for a rental rise
Be prepared and know the law

Best of luck

 

Thanks, yeah I will be sending thebond off, not worth the hassel,

Will be brabbing a lease pack tomorow, cheers

 

Im wondering what lease term I should ask for? leaning towards 6 months as it seems that rents are still rising and there is plenty of demand.

 

Lease options

I agree, if you allow shorter tenancies - the cost of finding new tenants and wear and tear on your IP will far outweigh the benefits of a few dollars more.

If you are concerned about increasing the rent - apart from the inital period, you will be able to insert rent clauses into the lease. However, you will need to follow these guidelines:-

1. There must be no more than one rise per 6 monthly period. Some States have it implemented in law others just guidelines - but you do not want to have to go before a tribunal on this matter.
2. The rent increase must be deemed reasonable - not a huge jump from the original and in line with the market. You will need to prove what market rate for like property is if you were brought before a tribunal should the tenant complain about "excessive increase".

and 3. Make the tenant aware of the rent increase - I know it will be written into the lease renewal - but you need to back this up with a discussion.

If you have a good tenant, you should consider the cost of losing them compared to a big rent increase. Whatever you do though - follow the law: protect the person, protect the property, protect the income - in that order.

 

That's a very interesting point Lura. I had never considered "wear and tear" being increased by tenants moving in and out, but come to think of it, pretty much every time I've moved houses at least one wall gets dinged badly enough to need repairs (or at the very least a repaint!)

 

Yep very good point, it was my PPOR before leasing it and on my way out I put a decent scrape on the loungeroom wall with a table i was pulling apart