Have you been asked for a rent reduction?

Discussion in 'Property Management' started by ozwanderlust, 23rd Apr, 2020.

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  1. MTR

    MTR Well-Known Member

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    Two so far asked for rent reductions, Perth

    got great pm, minimise this as you may need to drop again??
     
  2. Owlet

    Owlet Well-Known Member

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    :eek::(
     
  3. TMNT

    TMNT Well-Known Member

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    And imagine he did lose his job...
    120% discount request?
     
  4. Rex

    Rex Well-Known Member

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    Yeah but that's not a bad thing. If the market changes why would they not try to get their rent down in line with market rates? The LL can always say no.

    Same thing we all do when we push for a better mortgage rate from our lenders when market conditions change.
     
  5. TMNT

    TMNT Well-Known Member

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    If they were happy to pay for higher rent because the market had increased, then I have no problem with that

    But what are the chances he will be willing pay higher?
    Somewhere between 0 and zilch %
     
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  6. wylie

    wylie Moderator Staff Member

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    And with a fixed lease in place, the landlord has every right to say no. But as a landlord, if this request came to me, I'd at least think about it rather than lose a tenant and have the costs of reletting.

    Rents have not fallen in our areas (yet), but as time goes on who knows what will happen. I'm thinking rents will fall, and if so, we will adjust when the leases are due if we need to.
     
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  7. Tony3008

    Tony3008 Well-Known Member

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    When it comes up for lease renewal, fine. But during a lease?
    This may seem to be a somewhat pious line of thought, but coming from those parts I hold by "A Englishman's word is his bond". I've booked my cruises for 2021 (booked last year) and 2022 (Jan pre-CV) and although prices may drop I won't be cancelling and rebooking to get a lower price, any more than I would accept the cruise companies wanting to jack up the price on an existing booking. Of course it's different if unplanned events mean you can't go through with a contract.
     
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  8. HUGH72

    HUGH72 Well-Known Member

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    Was that at lease renewal time or during the middle of a fixed lease?
     
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  9. Ummm

    Ummm Well-Known Member

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    I'm not sure whether you are serious or not? Do you mean I should pay more than market rent just because landlords think rent doesn't go down? This would be stupid, I'm not a charity. When the market goes up a landlord can request more rent, when the market goes down it would be very rare for a landlord to offer cheaper rent, therefore it is up to the tenant to monitor the situation and request a reduction if the situation dictates it, or if prices go up and you can't afford it, move..simple. Landlords are not entitled to any special guarantee that rental prices can't go down...it's just that many probably haven't experienced this situation before so may still be in shock.
    I would encourage anyone renting to check the market and if you see comparable places cheaper ask for a reduction or move. For me the reduction in rent would have easily covered my cost of moving if I had needed to. I'm sure my landlord can do maths and probably came to the same conclusion...hence they agreed to the reduction to keep me on.
     
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  10. TMNT

    TMNT Well-Known Member

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    Have you heard what the definition of a contract is?

    The reasons for justification of entitlement of rent reduction are laughable, even my 9 yr old has read it and is scratching her head

    "Cost of moving is covered by the rent reduction"
    Thanks for the laugh
     
  11. Ummm

    Ummm Well-Known Member

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    I'm just on a month to month...I have kept this situation but now have reduced rent, I'll keep monitoring the situation and if rents continue dropping then I will continue to ask for further reductions, and if prices rise my landlord can ask for an increase. Simple.
     
  12. Ummm

    Ummm Well-Known Member

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    I have no contract...I'm on a month to month agreement...questions?
    In fact in over 20yrs of renting, once my initial lease has expired I have always gone month to month for the remainder...I don't know why people feel the need to sign up for another lease...
     
  13. HUGH72

    HUGH72 Well-Known Member

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    Fair enough.
     
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  14. Ummm

    Ummm Well-Known Member

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    surcharge?? what are you talking about? If rents go up then my landlord can say 'hey market rent is now XX' and I can either agree to this or move...same as I have been doing since I started renting...(I am on a month to month agreement)
     
  15. Ummm

    Ummm Well-Known Member

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    No we are in Sydney, so I would say relevant (yes I haven't updated the profile location...sorry)
    Please explain why asking for a reduction to have my rent match the market is poor form?
    Is it poor form for a landlord to ask for a rent increase to match the market?
     
  16. Ummm

    Ummm Well-Known Member

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    Lower North Shore Sydney
     
  17. TMNT

    TMNT Well-Known Member

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    Fair enough, if you are on peridic, I'd recommend you ask for market rent as well

    Any reasonable landlord should accept it unless there are other factors

    Edit: the premise of this thread is those that are on lease
     
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  18. Ummm

    Ummm Well-Known Member

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    Seriously what is the go with these comments, are you just trolling? Can people not understand that markets can go down. Sometimes they go up, sometimes they go down, I would imagine markets will probably continue this pattern, it's just that some people haven't seen property go down for while so may be struggling to comprehend that yes 'this is happening'.
    No, if I lost my job I would probably just move somewhere cheaper (I have spare funds but would want to reduce the outflow if I can). If my landlord offered to keep me on at a lower rate then I would probably stay to avoid the pain of moving.
     
  19. wylie

    wylie Moderator Staff Member

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    I think the clarification that you are on a periodic lease makes a huge difference. You can give very short notice that you are moving, and as a landlord, I'd listen to your story, check what the going rent is in the local area, and make a decision.

    I'd not like to lose a good tenant and then have to lower my rent to meet the market anyway.
     
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  20. Ummm

    Ummm Well-Known Member

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    What are the chances I will be willing to pay higher? Well, if the market increases (same as it has since I started renting) and it costs me more to live where I want to live, then 100% I will pay more (and I have). If someone asks me to pay more than what the market is asking then yes you are correct, there is 0% chance I will pay more than the market price...and I would say most people would think the same. This is why you see empty properties and people reducing rent to meet the market...renters aren't all stupid or desperate, contrary to popular belief here.
     

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