The property rental system really stinks!

[rikyuu]

Having rented many houses in the UK for 12 years as a tenant, I'm really shocked at how difficult the Australian system is and how much is geared against the tenant. I'm getting really stressed about it.

 

We found our first property here very quickly and I'm beginning to think it was beginners luck.

Our house seems to be owned by an investment company (we rent off an agency), so for whatever reason they've decided not to renew our tenancy after 12 months of being there. They gave us 3 months notice before our contact is due to end (in 4 weeks) which is totally pointless because you can not find a rental 3 months in advance. In fact this is where the whole problem starts.

 

Most rentals want you to move in straight away. There are very few which are available at some date in the future, even if you find them, they won't take viewings until closer to the date. So it's very difficult to find something a few weeks in advance. But you can't leave it to the last minute, as it's not a first come first served system. You have to submit your application (probably along with several other people), then wait days until you find out whether you've got it. So you might think to submit applications for several properties to make sure you get one. But no, it's written on every application, that you must accept the rental if it is offered, so you can't apply for more than one at a time.

Then the whole application form is bad too. They are all different and want contact numbers, addresses and emails for current and previous rentals and employers. They want up to 4 professional and character references plus current rental reference. They want 100 points of identification, different agencies give different points for certain IDs. Some only give 25 points for passport and driving license. Then only 20 points for bills. And you have to do a separate application for each adult (the bills are in my name, not my wife's, so she's struggling to get 100 points with a driving license, passports and bank statement. As if she'd forge all of these just to rent a house, she won't even be paying the rent). Then to cap it all, it's written in the application that the landlord doesn't have to make the property available on the date they agreed. On top of that, it's also written on there that you agree to accept the property in the condition that it was in when you viewed it. Some of these places are dumps just when the current tenant moves out, with over grown gardens etc. The agency always verbally promises that it will be tidied up, but in reality you don't have a leg to stand on.

So you can complete the application, get all your references sorted, get all your ID sorted, agree to move in if you get the rental, then turn up on the day and the landlord doesn't even have to let you move in, for an indefinite period. What the hell? Why are tenants treated like second class citizens and landlords are like some kind of god?

This is really stressing me. We have been perfect tenants, but have to move out on a certain date in 4 weeks time, but can't afford to overlap 2 rentals for 4 weeks. I'm stressed just finding somewhere, before we even consider packing up all ours and the childrens' stuff and moving it by ourselves. :arghh:

 

Why can't they just use a first come first served basis. So if you're the first to see and apply for a property you like, providing your credentials are ok, you've got it. It's easier for the land lord then as they only have to check one application instead of a dozen or so.

[Guest Guest31881]

Do you have to stay if you are on 3 months notice due to owner terminating the tenancy. Our first tenancy was ended because the owner wanted to sell, We found a property and moved within a month and had no problems as we were under notice. We are in QLD and things may be different but i thought that was the idea of the long notice period?

[fairystar32]

Its a nightmare..

 

We had to move out fo our first rental which we had for 18mths as they sold it. But during that time we had people comming and going with only 24hrs notice whenever they liked, for months!. It was horrid and I felt I had no rights at all. With 4 kids and the house needed constantly being spotless and people comming through all the time, I was so stressed out whilst trying to find another proerty.

 

When we were frist thinking of selling our UK property they informed me that we could Not have viewings, during the rental period, unless it was in the last few weeks of the agreement and then it had to be with the renters permission.

 

We also found that many companies didnt even ring us back regarding viewing times and there was a whole bunch of people which came to a viewing which was supposed to be just us..

 

Its so depressing trying to get a rental.

 

It was much easier getting another one with the same company we were already with, as others , just were not interested.

[Jurls]

We've actually been in our rental for over a year now but it was a nightmare to get in the first place. What actually annoyed me most about the entire process was that the property agents wanted copies of 100 points of ID attached to their applications. So, along with every application form went copies of our driving licences, passports etc etc etc. Pretty sure this goes against any advise you are given about keeping your identity secure. I mean I can understand they need to check, but why can't they just sight ID and then tick a box on a form rather than start taking copies of everything?

 

In fact, one property agent wanted us to submit a bank statement too with our details and showing our current balance. I refused and we didn't even go to the open home. No way am I submitting my bank details along with identity documents to anyone!! I don't care what they say their security precautions are.

 

In the end we rented privately and didn't have to buy into any of this nonsense. I feel for everyone trying to find rentals, I really do.

[rikyuu]

Do you have to stay if you are on 3 months notice due to owner terminating the tenancy. Our first tenancy was ended because the owner wanted to sell, We found a property and moved within a month and had no problems as we were under notice. We are in QLD and things may be different but i thought that was the idea of the long notice period?

 

Unfortunately (as far as I know) we can't move out before the end of our first year's contract which is also the date our landlord terminated the tenancy. So we can't move out before (without paying double) or after.

[Skani]

Why can't they just use a first come first served basis. So if you're the first to see and apply for a property you like, providing your credentials are ok, you've got it. It's easier for the land lord then as they only have to check one application instead of a dozen or so.

 

They were the good old days! :yes:

Unfortunately now, with the extreme shortage of affordable property in Australia, it's a landlord's market and they try to cherry pick for the "best possible" tenant (in their eyes).

Your local state Department of Consumer Affairs would have internet information on your rights as renters.

[Guest famousfive]

We were in the same boat as you this time last year.The landlord decided to move in themselves and gave us notice.It was a nightmare getting somewhere else that was suitable within the timeframe.Weeks before we were to move there were 14 rentals in our range available in the area[small town],by the time we were close enough to our moving out date there were 2 listed.We ended up going into temp accomodation for a wee bit.This in itself was a nightmare as most places would not take a 1mth booking from us because we had a local address.....crazy!!I ended up hoodwinking them by getting my sister to book by email from ireland using my credit card details.They were not pleased when they saw me show up for the key[i worked two doors down so they knew me to see] but I couldn't care less,we needed a place to stay.

And then........the old landlord held up our bond for 2mths claiming repairs needed doing......appealed,went to mediation and their claim was thrown out within 5 minutes.Whilst all that was happening no agency would look at us of course even though the repair claim clearly did not have a leg to stand on.

Crazy system.

[Guest famousfive]

Unfortunately (as far as I know) we can't move out before the end of our first year's contract which is also the date our landlord terminated the tenancy. So we can't move out before (without paying double) or after.

 

Might be worth double checking this.The agents told us the same but found out later through the ombudsman that it was untrue,we could have moved at any time under notice as long as we gave 21 days notice in writing.This was in NSW.

[rikyuu]

They were the good old days! :yes:

Unfortunately now, with the extreme shortage of affordable property in Australia, it's a landlord's market and they try to cherry pick for the "best possible" tenant (in their eyes).

Your local state Department of Consumer Affairs would have internet information on your rights as renters.

 

Thanks, is the shortage just in certain areas? I'm looking in a certain area in the west of Melbourne and there's dozens available. I'm hoping we have that to help us, it's not like the desirable inner suburbs. It's just the process is such a nightmare.

We did find one agency that didn't have open viewings, just private ones and if you wanted the property you could have it. Unfortunately they only had one in this area, it was perfect except for a low back garden fence that backed onto a busy dual carriage way, with no Armco barrier! Visions of trucks and Commodores crashing through the house at night put me off!

[Petals]

http://www.consumer.vic.gov.au/CA256EB5000644CE/page/Renting-Leases+and+notices-Leases+explained?OpenDocument&1=910-Renting~&2=020-Leases+and+notices~&3=010-Leases+explained~#3

 

Have a read through this and see if you can find an excuse.

 

You can terminate on the day your lease ends just give the landlord written notice that you will not be extending your lease. Everything you do with a landlord or agent do in writing and keep copies and notes of all conversations.

 

Tenants Union is also a helpful place to log into.

[brightonbee]

Agree - rental market is appalling here - poor quality stock and expensive. However, my first property was sold [ thought i was on to a good thing when the owners painted throughout before i moved in. Three months later, they advised me that they were selling. I checked my rights and did NEGOTIATE A 50 PER CENT DISCOUNT ON A MONTHS RENT AS COMPENSATION FOR INCONVENIENCE CAUSED. [ viewings etc.] The owners/ agents were reluctant and i had to push them but if they are selling whilst you are tenants it pays them to have you onside. Good luck!!!!

[Skani]

Thanks, is the shortage just in certain areas? I'm looking in a certain area in the west of Melbourne and there's dozens available.

 

I'm afraid I don't know the situation in Melbourne specifically. But the problem in Australia generally is that the new housing stock has not kept pace with the rate of immigration - something like a 300,000+ shortage in housing stock - and this has forced up prices for both buyers and renters and enabled landlords to organise the market to suit themselves. If they were having to compete for tenants they would have to make things easier for people like yourself in order to get business.

[Peach]

I also feel like a squeezed renter!! The house I'm renting in Canberra is 3 bed for $500 a week and we've spent the weekend scrubbing it because the property owner wants to make an inspection alongside the real estate agent.

 

The market it here is crazy, to buy the same house I'd need a $100K deposit and a $500k mortgage @ $850K a week!!!! For the same money I could rent a house in Canberra's poshest suburbs...

[rikyuu]

I'm afraid I don't know the situation in Melbourne specifically. But the problem in Australia generally is that the new housing stock has not kept pace with the rate of immigration - something like a 300,000+ shortage in housing stock - and this has forced up prices for both buyers and renters and enabled landlords to organise the market to suit themselves. If they were having to compete for tenants they would have to make things easier for people like yourself in order to get business.

 

I guess so, and speak to any landlord and they'll tell you they're doing the tenant a favour by providing them somewhere to live. But ask them if they could afford to own the property without a tenant paying rent and that's a different answer! And the reason why a lot of people have to rent is because the purchase price has been pushed up by people buying property for investment, not to live in, worsening the shortage. So landlords caused the problem and they need tenants to rent their houses otherwise they're financially screwed! Let's start a crusade to bring back control to the tenants!! :wacko:

[rikyuu]

Agree - rental market is appalling here - poor quality stock and expensive. However, my first property was sold [ thought i was on to a good thing when the owners painted throughout before i moved in. Three months later, they advised me that they were selling. I checked my rights and did NEGOTIATE A 50 PER CENT DISCOUNT ON A MONTHS RENT AS COMPENSATION FOR INCONVENIENCE CAUSED. [ viewings etc.] The owners/ agents were reluctant and i had to push them but if they are selling whilst you are tenants it pays them to have you onside. Good luck!!!!

 

not sure what the land lord is doing, had no requests for viewing yet. Even if there were, we would not tidying up the house every day just so people can view, not unless they paid us to maintain it as a show home. We're already exhausted looking after 2 kids and trying to find us somewhere else to live. It'll be tidy when we move out.

[kernow43]

Have a look at Real Estate .com.au Seems to be no shortage there

[Skani]

Have a look at Real Estate .com.au Seems to be no shortage there

 

But however many rentals appear on realestate.com, there are a lot more people needing to rent - therefore the landlords have the power at the moment.

[newjez]

When I left my rental in Perth, I was charged for excess water, (used to keep the owners garden alive) and I was charged $300 because I left a set of shelves in the garage, and charged for various other petty things. We had left the place spotless, and I'd even paid to have the gardens mulched. (I thought the shelves would have been useful for the next person)

 

I told them to go swing. They said I would never rent again in Oz. I said I'm going back to the UK. I said keep the bond, but you can swing for the rest.

[Eera]

Owch, owch owch! As a landlord I feel the steel coated comments!

 

There are many unscrupulous landlords out there, but there are ones (hopefully like myself) who tries to look after their tenants. While I charge market value, if rates fall, so do my rental rates; I have always tried to place families instead of companies and allow tenants to make reasonable modifications like painting (I buy the paint after negotiating with them and they do the work), or putting up shelves etc. Basically every time someone vacates it costs me $700 to re-advertise, so if there's a good tenant, I want to keep them in.

 

It's misleading to say that greedy landlords are forcing up property prices; that's a lack of land and other factors, not just us trying to get a quick buck - and it's taken me many years of pumping cash into my residence to build up equity to get to the point where I can afford investment properties. Generally the rental return is less than 4%, so you're not paying my mortgage as much as I'm subsidising you to live there. Negative gearing may get some back in tax but for every 42 bucks I get back there's $58 I'm not.

 

I really feel for you guys with the crap experiences, and really hope you find a good solution.

[Guest]

Just to even things up. In the UK if you rent out a property you are stuffed if the tennent decides not to bother paying, you cant do anything to the property when the tennant is in there and you can not throw them out and have to pay a fortune to a lawyer to take them to court. You never get the money back from them either.

 

Landlord power isnt always bad

[Guest mandi1971]

OMG i thought it was just me having a bad time? Ive had no luck securing a long term rental for January so ive been looking at short term, but they are either all gone, or not affordable, and the ones you can afford are so dated my gran would have felt at home in the 60's!!!

Its made our move more stressful than it has to be, and dont get me started on finding work :no:

My OH is a Plumber and has state sponsorship, but not one company will offer him work until hes in Perth, which terrifies him as hes worried incase he doesnt find work straight away.

I just hope its worth all the stress and tears and gray hairs :frown::wink:

Rant over lol x

 

Mandi x

[rockola57]

I found the whole scene here totally depressing.It really does make you feel like a second class citizen,whilst paying top dollar.The Agents are transparent Waankers one and all IMO.It really makes you want to puke.Just got out of it and thank the Lord,for my sanity if nothing else.Some of the Shiitholz that purport to be liveable here leave me aghast.:shocked:Crooks abound in the Rental World!:yes:

[desreb]

I've had a generally ok experience with the agents themselves. The approval process is ridiculous, but the fact is, if you don't subject yourself to it and jump through hoops, there'll be plenty of other people who will, and they'll get the property. The Herald recently ran a story on rental vacancies in Sydney being under 1%, and if that includes the fact that properties must be vacant to be viewed (not sure if that's true, but all that I viewed were), then the figure is even lower.

 

On the flip side, if we're talking about the UK phenomenon of non-paying tenants, it would be a pretty unlucky landlord over here to have the tenant pass all those checks, and then somehow be unable to pay.

 

I'm not defending the Australian system; I hated the intense, competitive experience of inspections. But I guess there'll have to be a lot less demand and competition before it changes!

[rockola57]

I've had a generally ok experience with the agents themselves. The approval process is ridiculous, but the fact is, if you don't subject yourself to it and jump through hoops, there'll be plenty of other people who will, and they'll get the property. The Herald recently ran a story on rental vacancies in Sydney being under 1%, and if that includes the fact that properties must be vacant to be viewed (not sure if that's true, but all that I viewed were), then the figure is even lower.

 

On the flip side, if we're talking about the UK phenomenon of non-paying tenants, it would be a pretty unlucky landlord over here to have the tenant pass all those checks, and then somehow be unable to pay.

 

I'm not defending the Australian system; I hated the intense, competitive experience of inspections. But I guess there'll have to be a lot less demand and competition before it changes!

Top class answer,thank you.:yes:

[kernow43]

But however many rentals appear on realestate.com, there are a lot more people needing to rent - therefore the landlords have the power at the moment.

 

Come to Redcliffe, they are finding it hard to rent as there are so many, and rents are dropping.