Forum Replies Created
wow….how can the fair trading site be so misleading.
eg. Reading the http://www.austlii.edu.au/au/legis/nsw/consol_act/rta2010207/s108.html site basically says the estate is responsible until vacant possession is given (eg estate collects the personal belongings……)
Thanks for the tip Terry. Havent had to go through this but good to know what the facts are.
Hi Sayan,
I’m not a solicitor….call the NSW FairTrading folks in the morning ….you pay taxes and that’s what they are there for :)……however, based on what I’m reading with the details written there……nope.
Basically if they gave you notice on the 15th of June the earliest they could ask you to vacate is 90 days later eg 15th of September.
Sayan,
No a landlord cant break a lease early – http://www.fairtrading.nsw.gov.au/ftw/Tenants_and_home_owners/Being_a_landlord/Ending_a_tenancy/Giving_a_termination_notice.page
It means if your 12 month fixed lease is due to end on the 30th of June 2015 you as the landlord must give notice that you wish them to vacate on the 30th BEFORE the 1st of June 2015.
BUT if the fixed term ends…..and then you roll over to a month to month lease then you need to give them 90 days eg lets say you get to the 1st of September and you never renewed the lease that expired on 30th of June.
If you gave them notice to terminate on 1st of September you couldn’t get the property back until 30th of November.
Catalyst….how is it my fault and how am I responsible as the property owner.
Please understand I’m not talking about “the building falling on them while sitting on a sofa for a coffee” sure that would be my fault (or in an apartment the stratas fault).
I’m talking about they are walking across the living room and tripped and hit their head…….as long as they didn’t trip on a rug (renters fault) or slip on a wet floor that the renter just washed (again renters fault)
Now if they tripped on a loose floorboard AD I knew that the floorboard was a trip hazard then yes THAT would be my fault. Other than that how is liability the landlords issue.
the annoying part is probably only a few hundred dollars between models…..but they tried to skim in order to pad the profit.
5% management using the two different agents we have.
1 weeks rent for each new tenants + about $40 for a renewal (if possible I always prefer to have a lease and not go month to month).What would I like to see more automated online reporting …..
1/ all rent collected, payment dates, last increases, trend line reporting etc
2/ all expenses dates etc
3/ online inspection reports – last dates, photos etcFor the amount of money they are being paid and considering these days most tenants are paying rent online etc….that’s the least they should offer for 5%.
If you are agent in Sydney and offer these features I’d be interested in hearing from you.
$44 in Sydney (carlton) to renew a 12 month lease.
Its a bit of a joke….but I’d prefer to pay this rather than a higher management fee. For what they do I think 5% is too high……
Yep if China sneezes then Australia will be the one catching the cold……and yep Australians love to be xenophobes….I just don’t get it really.
I think its too early to tell if the drop from 7.5% to 7% in China is going to be a big problem or a temporary problem but we should know once the march/april figures start to filter out in June what this means for Australian commodities.
@corey, what are the current maximum interest rates that can be charged in Australia on overdue strata fees?
And I agree with you about getting in new strata managers……it seems like its the little things that determine the difference between getting ahead slow or faster……
@catalyst….if someone injures themselves in one of my IP apartmetns…..how is it my fault? eg just because I own it doesn’t make it my liability.
This is my point exactly I think people are “over insuring” and if the sh1t did hit the fan would NRMA insurance really say oh yeh we’ll pay the person who tripped down the stairs drunk $1m……no way they would say not our prob bob…..
Thoughts?
Yes I understand that strata is not responsible for fixtures and fittings within the apartment envelope, eg if my tenant burns our IP kitchen then it is up to the landlord to replace the kitchen (lol though why the tenant doesn’t need to insure this I’ll never know) but if a kitchen/floorboards/fixtures are crappy then can a landlord decide to self insure?
Eg the $700 a year I’m saving per year on insurance is an extra months mortgage payment.Its not like its insuring a house where if the tenants burn down the entire house then you are up for a truck load of problems, in this instance all we are talking about is a $10-15k kitchen and $5k on floorboards and maybe $5k on paint/fittings etc.
Basically what you are doing when paying the insurance company is saying that once every 30 years…..you are going to damage ever single thing in your apartment and I’m not sure the odds of a complete write off are that high.
Its nice to tick the box and know you are covered (or at least you think you are covered until you make a claim) but when you start to own a number of properties……these annual fees start to add up.
What else is a landlord responsible for covering the insurance on?
IS 3% VACANCY HIGH……DOESNT SEEM THAT HIGH TO ME?
eg that’s only a little over 1 week a year. I build that into my regular cashflow model.
@corey, yep totally agree, when it comes to cashflow calculations I totally ignore capital growth until its realized.
No because “Yield” should always be value at “current valuation” not what you paid for the property when you purchased it.
If you are measuring yields based on the purchase price eg….. 10 years ago…..then of course you are looking like a genius :)
My thoughts exactly Charlie……if you have an 8-9% yielding apartment (do they even get that high in Sydney these days…..or are you calculating it pre any type of expenses……) then why on earth would you sell it.
Uhm that’s exactly what I meant, there is a reduction in gross yields but that’s a compression caused by SLOSH its the same in every investment at the moment (which is why leveraged properties are as good as they are at 80%).
The fact that your gross yield percentages are coming down/compressing doesn’t mean that they arent following the capital growth increases it just means the percentage yield is coming down.
Why do you think rent increases track capital growth rates Dean? There’s no historical evidence of this, and they are impacted by very different market forces.
Sorry Corey, Do you have a graph on the Sydney market to show this isnt the case? yes you can get variances (eg first home buyers grant) but when interest rates go down sale prices go up and rents must follow.
Yes in the USA/Regional Australia things can be economy driven eg for the oil/mining booms etc, but tracking sale prices is going to be the closet reflection of rental prices.
If you’ve got evidence this isnt the case I’d love to see it.
@jason, what I don’t understand is what are the ramifications when they start to “put rates back up”
Are Sydneysiders really ready for what happens when the sums no longer work out?
If you see sale prices in your area have gone up 5% in a year……then rents be default should have the same movement. I never understand why landlords aren’t on top of this.
you may just sneak into the money if we have a really bad 2 years in 2015/16 however look at it this way……how much is it worth to you to know your rate can NEVER go up for the next 5 years while you pay down your loan/earn equity
That’s got to be worth something. :)
