Hello,
My parents moved to Melbourne end of last year. They were in a rush and signed a 1-year lease for a property at $390/week.
Due to some family circumstances back in Perth, a few months later; they had to pack/sell everything and leave.
They gave all appropriate notices, inspections, fees etc. and left.
Now the leasing company is still charging them $390/week 2-months later. They're saying we have to pay out the year OR until they get another tenant. We're not in a position to be paying $1560/month for a place across the other side of the country that we don't even have the keys to.
And it seems like the company isn't really in a hurry to get another tenant since they're getting in a steady income.
Is there any law or act that prevents the leasing company for doing this? I always thought 2-months notice and that was that. Surely they can't expect my parents to pay out the rest of the year?!?! There has to be something that accounts for change in family circumstances, deaths, etc…?!?!
I don't want to mention any names but if anyone can help I am happy to provide contract and leasing company details via PM if required.
Any more details, please ask.
Thanks everyone.
Hi Vucko84,
I would suggest contacting a tenancy advice service / association in Victoria to discuss the obligations and responsibilities in relation to break-lease costs.
Costs vary from state to state.
Also suggest reviewing the lease agreement, this should state what happens in the event of ending a lease early.
In essence, a tenant is responsible for reimbursing the owner for any additional costs incurred as a result of breaking the lease.
Hope this helps.
selby
I'll start with by contacting VCAT and explaining the above.
But at this stage we would rather pay a small amount rather then $1500/month.
The leasing company just keeps saying nothing they can do and that "winter is a slow time for getting tenants"… terrible!
Just one question though, what if the situation is the other way around ?
Due to family circumstances, death, etc the landlord have to move back into the property… would ur parents be happy with 2 months notice when they still have contract / lease til the end of the year ?
say they are working 6 days week and really have no time to look around for another property… and its winter… very hard to bring urself to go around looking for another property when u still have contract til the end of the year…
Not trying to create an argument here, just trying to put things into perspective…
No argument here, of course; that's why these notices (from boths sides) exist isn't it?!?!
Circumstances change for everyone – that's why I'm saying – yes; there should be penalty and accountability but also flexibility if something bad happes.
We got a friend to help us look for a place as I was in Perth and parents woring 6-days in Melb sharing with friends until they found a place.
Unfortunately there is no easy way out – the lease is 12 months and the parties are bound to a $20,280 contract. The obligation on your parents is to pay until they find someone to take over the lease, and then make up for any difference if they can't achieve the same rent as well as all advertising costs, lease preparation, agent's commission etc.
As for providing 2 months notice, I don't know where you get that from but it is certainly not in the Residential Tenancy Act.
Has your family signed an agency agreement with the agent so the agent will look for a replacement tenant? If there is no signed agency agreement the agent is quite happy to take your money until the expiry of the lease.
As for providing 2 months notice, I don't know where you get that from but it is certainly not in the residential tenancy act.
Yes – ignore the 2-month notice; I was reading the wrong information.
Has your family signed an agency agreement with the agent so the agent will look for a replacement tenant? If there is no signed agency agreement the agent is quite happy to take your money until the expiry of the lease.
I don't believe they have signed anything but they were just told they will have to pay lease until the place is re-let.
Can you elaborate on this?If they want an agent to get a tenant to replace them, they will need to sign an agency agreement with the current agent (if there is a managing agent). If they don't, then no-one is going to spend money on finding a new tenant.
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