mrst2016 Posted July 18, 2017 Share Posted July 18, 2017 Hello. i was wondering if anybody can help regarding how much we will be allowed to rent a property for. I read somewhere your salary had to be 40 times the monthly rent! is this true? we are moving into queensland. we could pay 1-2 years in advance if necessary but wondered letting agents stance on how high a property you can rent. over in the uk it is quite strict. also what sort of paperwork will we need to get in order to rent a property, as we don't have an australian credit file? thank you Quote Link to comment Share on other sites More sharing options...
Peach Posted July 18, 2017 Share Posted July 18, 2017 I don't think there are any hard and fast rules. But personally, I wouldn't want to spend more than a 3rd of my income on rent. Quote Link to comment Share on other sites More sharing options...
Collie Posted July 19, 2017 Share Posted July 19, 2017 Yeah, not sure what you are referring to. Rents are generally market rates based on supply and demand in a particular area, nothing to do with your income. A landlord/agent may want to see evidence that you are able to pay the rent in your application, this may be evidence of income or money in the bank. Quote Link to comment Share on other sites More sharing options...
ScottieGirl Posted July 19, 2017 Share Posted July 19, 2017 (edited) The 40 x rule means your monthly rent must be less than 40 x your annual salary. So if you earn 80k a year you can spend 2k a month on rent. Another way of looking is a third of your take home pay. So if your take home is 6 k you can spend 2k on rent. It is just a guideline but If you rent via an estate agent they will use this sort of calculation to assess your application. Typically you have to provide a couple of months pay slips as evidence. Alternatively you could pay the lease in advance if you don't have a job yet. Edited July 19, 2017 by ScottieGirl 1 Quote Link to comment Share on other sites More sharing options...
Collie Posted July 20, 2017 Share Posted July 20, 2017 18 hours ago, ScottieGirl said: he 40 x rule means your monthly rent must be less than 40 x your annual salary. Ah, I get it - had't heard of this before. I think you have it backwards above but your following explanation covers it. Annual salary <= 40*monthly rent (eg 80k<=40*$2k) not $2k<=(40*80k) Quote Link to comment Share on other sites More sharing options...
Stella Ravens Posted July 26, 2017 Share Posted July 26, 2017 https://www.realestate.com.au/rent/in-qld/list-1 You can compare the rent rates here. Quote Link to comment Share on other sites More sharing options...
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