Adding a tenant to the lease?

Discussion in 'Property Management' started by JKWS, 21st May, 2019.

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  1. JKWS

    JKWS Well-Known Member

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    Hey Brains trust!

    This is a personal issue, I've just called the managing agent to add an extra person onto my lease for our 3 bed apartment (currently its just myself on the lease and living there).

    The management stated I wasn't able to add anyone to the lease until its up for renewal in October?

    Can they do this? Seems ridiculous, as a landlord Id prefer to have 2 incomes? And not only that, its for insurance purposes!

    Can I call the management back and demand (politely they check their policy)?

    Anyone that could help shine a light for tomorrows phone call would be get the MVP on Property Chat tonight!
     
  2. JKWS

    JKWS Well-Known Member

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    Someone's going to say check the contract- there's nothing
     
  3. Michael Mitchell

    Michael Mitchell Property Manager Business Member

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    If it's a 3 bedroom property with currently 2 tenants and you want to add a 3rd tenant, that is a reasonable use of the premise, you can apply, I don't believe the Lessor/Agent can unreasonably refuse. The prospective tenant would have to pass the same application process you did and then the Owner would have to approve - again the Lessor/Agent cannot unreasonably refuse, this could be an area of contention where if you weren't getting a yes you would then need to seek relief through your states' tribunal of their application was being rejected on questionable/suspicious grounds. That is my understanding of the law in Qld and would hazard a guess it's fairly similar country wide.

    What State is the property in?
     
  4. Cate Bell

    Cate Bell Well-Known Member

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    Not a lawyer, and I don't know what State/Territory you are in- but I have had this happen to a property. It is usual that the landlord has to give permission and approval, the person has to submit an application and go through the normal due diligence to check their application and be added to the lease. You could also contact REIA - Complaints and advice for further advice.
     
  5. thatbum

    thatbum Well-Known Member

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    Well its true they don't have to agree to vary the existing lease.

    But its also true you don't need their permission to have someone else live there with you and pay rent to you in exchange.

    Their loss really, assuming you're willing to take ultimate responsibility to your LL for your lodger.
     
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  6. JKWS

    JKWS Well-Known Member

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    Thanks for the reply's!

    We are in NSW and its just me on the lease wanting to add my partner. Being a 3 bed house I'm sure we are simply utilising the property.

    The place is in great condition having been built only a few years ago, I feel I've been a perfect tenant and my history would agree.

    My suspicion is they are just avoiding work, and ill call again tomorrow and politely ask why their policy is so **** and kindly prompt them ill be seeking further advice from the REIA.

    The real benefit for me is the banks will lend more if Ive got a secondary tenant on the lease, reducing my outgoings.
     
  7. Michael Mitchell

    Michael Mitchell Property Manager Business Member

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    ^ should be a no-brainer then, good luck and keep us updated! :)
     
  8. Mel Morgan

    Mel Morgan Sydney Property Manager Business Member

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    As a NSW property manager, I would be happy to add an extra income to the tenancy, but many agents charge owners for lease prep/lease re-negotiation (and might not be able to in this instance), so I think they are just trying to avoid extra work.
     
  9. MyPropertyPro

    MyPropertyPro REBAA Buyer's Agents Sutherland Shire & Surrounds Business Member

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    Disappointing response when it seems you are trying to do the right thing!

    For your reference, have a read of section 74 and 75 of the NSW Residential Tenancies Act (page 37 and 38). Should help you out in getting it sorted.

    - Luke
     
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  10. Dan Wood

    Dan Wood Well-Known Member

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    Wait, isn't that sub letting? The several contracts I've seen have clauses against this.

    And don't they all have clauses stating only the allowed the people that are on the lease to love in the premises.

    Or are you saying that OP should be doing this against the "law"/contract ... Essentially, illegally and could be kicked out, tenant history given a bad rep etc?
     
  11. Scott No Mates

    Scott No Mates Well-Known Member

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    @Dan Wood - this would satisfy the condition of loving on-site? :D
     
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  12. Dan Wood

    Dan Wood Well-Known Member

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    Not you again! On mobile, walking doggo.
     
  13. thatbum

    thatbum Well-Known Member

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    A common misconception. It's almost certainly not sub-letting.

    Sub-letting in a legal sense pretty much means a tenant becoming a lessor of subsequent tenancy. A person renting a room and living with the tenant would usually not be considered a tenant - they would be a lodger.

    So in practice, a lessor can't really control who else lives in the property with the tenant, unless other valid terms of the lease or laws are broken.

    Sometimes I see this in leases. It would be void for contradicting the basic core rights of a tenancy. A lessor can't really control how a tenant lives in their property, including who else they have stay with them (short of them breaching other valid lease terms or laws, such as overcrowding).
     
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  14. JKWS

    JKWS Well-Known Member

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    SORTED!

    In a straight forward response;

    1. I am in my right to ask/ add another member to the house
    2. Property manager can't formally refuse or accept etc
    3. Owner is in his right to refuse if he/she so chooses

    They apparently charge the landlord for the contract update, so they just add a name to the lease and forward date the agreement so it doesn't actually come into effect until lease renewal time. Saves the landlord the contract admin fee?

    Not sure if the banks will agree to this at my end now though.. As the extra tenant isn't technically signed onto the lease as the start of her agreement isn't yet effective? But she's on the lease? Silly.

    Pointless exercise and a pain in the ass.
     
  15. thatbum

    thatbum Well-Known Member

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    I'm confused. Are you asking a question or telling us an update?