Tenancy agreements
Tenancy agreements are the culmination of a lot of painstaking tenant selection by our Property Managers. The selection of a tenant will determine the success of the tenancy and therefore the bottom line for the property owner.
Agreements are initially for 6 months and bind both the owner and the tenant to a range of legal terms. We also have a few annexures to the tenancy agreements which further clarify a number of often troublesome issues which have raised their ugly heads in the past.
When the fixed term tenancy expires we contact the owners to see if they are happy with the tenancy and if they would like to continue the arrangement. This can be done by one of 2 methods. One is to draw a new tenancy agreement whilst the other is to allow a periodic tenancy. In summary a periodic tenancy is the removal of the end date of the initial fixed term. The unfair part of periodic tenancies is that currently the tenant can give the owner 2 weeks notice of their intention to leave whilst the owner must give the tenant 2 months notice if they want their property vacant for some reason. However it must be considered that many tenants in todays world are unsure of their employment duration so will not commit to a new fixed term.
Along with the tenancy agreement comes the Entry Condition Report.
What is a property condition report?
This report is compiled by our Property Managers prior to the commencement of a tenancy .
It outlines the condition of the property as the tenant takes possession. A copy is given to the tenant to check and sign then return to us It is filed electronically for use when the tenant vacates to ensure that the property is left in the same condition. This last inspection is carried out as soon as possible after the tenants have returned their keys.
Resulting from this inspection the tenants will be asked to rectify any cleaning or damages discovered.
When the keys are returned to us the property is to be in the same condition as when the tenant moved in, fair wear & tear excepted. The condition report signed by both parties is used to achieve this result.
What is a Routine Inspection?
Routine inspections are conducted during the tenancy every 3 months.
These inspections are essential to ensure that your property is being maintained to an acceptable standard and to identify any maintenance that may be required.
A copy of the routine inspection report is forwarded to the owner after each inspection and should it be necessary, a member of the Property Management Team will contact the owners to discuss items that need attention.
What is a database check?
Database checks are conducted on all tenants applying for a property through Dalby First National Real Estate.
Within Australia there are various databases used by Real Estate Agents to lodge and check bad tenants. One we use is TICA and if you choose to subscribe to Barclays Insurance we check the tenant on Barclays database as well. Any tenant who has rented through an agency that uses these databases and has defaulted in some way will be lodged on these databases.
This can greatly reduce your chances of getting a tenant with a previous bad rental history.
How do tenants pay their rent?
Tenants have several options to pay their rent, leaving no excuse for late payments.
* By cheque or money order - by using our terminal in the office for credit or debit card
* Internet banking through their chosen financial institution
* Direct debit from their nominated bank account, we supply every tenant with our account details so they may arrange an automatic transfer.
What happens when a tenant stops paying rent?
When a tenant falls behind in their rental payments they are issued with a notice of breach advising them that they are behind and requesting that they rectify the problem. If this is not done within the stipulated time period then a termination notice is issued requiring that they vacate the premises.
For those Owners who subscribe to Barclays Insurance we then contact Barclays who notify the tenants that as debt collectors Barclays will persue the tenant to the ends of the earth to recover the owner's money as well as assistance in removal of the tenant from the property if necessary.
