Increasing the rent while removing mowing from the deal

Discussion in 'Property Management' started by wylie, 28th Apr, 2022.

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  1. wylie

    wylie Moderator Staff Member

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    Has anyone increased rent while also removing the mowing from the deal?

    With recent rental situation, compared to two similar houses nearby, we are getting $580 while they are asking $660 per week (not as nice and on main roads). Others on offer are not as high, but I believe we are probably $50 under market.

    We also want to remove the mowing from the deal. With a new contractor, we are averaging $40 per week (he's charging for removal of palm fronds @ $1 per frond). There are lot of palms.

    We could cut the palms down, but that seems overkill.

    The comparable properties do not include mowing, so these tenants are sitting pretty right now. They can be slightly demanding at times, so if they leave, I won't be unhappy.
     
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  2. Sackie

    Sackie Well-Known Member

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    I'd just do what the market accommodates. If it's under rented and you want mowing removed, then those are the new terms on next contract if they want a renewal. Otherwise don't renew and get new tenants. With the rental market being as tight as it is, you should be fine.
     
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  3. Marg4000

    Marg4000 Well-Known Member

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    On advice from her PM, my daughter increased the rent on her house at Buderim from $550pw to $650pw.

    So you are in the range of recent increases.

    If palm fronds are an issue (they can be bulky and hard to dispose of), maybe get them a BCC green bin? Only a dollar or two a week on the rates and emptied fortnightly.

    Maybe thin out the palms? We have got rid of a lot of ours.
     
  4. wylie

    wylie Moderator Staff Member

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    We pay for a green bin but tenant has “nothing to cut the fronds”. I’m tempted to buy him a pair of secateurs. :rolleyes:

    We are too loose in what is covered under “garden” and that is our mistake.

    I’m also tempted to cancel the green bin but I’m sure they will say they do use it for other garden items.

    The palms offer privacy but I’m also thinking we could remove them and plant something else.
     
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  5. Marg4000

    Marg4000 Well-Known Member

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    Most palm fronds can be bent if not cut. Except for the really big, fibrous ones, and it may be a good idea to get rid of those.

    We only have golden canes now, and we don’t let the trunks get bigger than about 4” across so hubby can cut them out easily, and new ones emerge. Limits their height to about 4m, plenty tall enough.

    For privacy, lillipillies make a great screen, quite quick growing.
     
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  6. Mel Morgan

    Mel Morgan Sydney Property Manager Business Member

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    If you don't mind that the tenants might leave, then increase it to what you think is fair market rent and remove the mowing. If the tenants are settled and only mildly demanding, probably worth keeping them on if they're happy with the increase.
     
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  7. Antoni0

    Antoni0 Well-Known Member

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    I'd be very surprised if they leave, the rental market is under a lot of pressure ATM in Brisbane.
     
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  8. Tom Rivera

    Tom Rivera Property Manager Business Member

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    Do it. They'll be unhappy, but you are well within your rights. $50ish per week is a small rent increase right now, I've had plenty $100-$150+.

    Most people are well aware of the market too, I have very very few people leaving- no one wants to be stuck on the hunt for rentals.
     
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  9. Firefly99

    Firefly99 Well-Known Member

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    Oh dear…. I just wait until the fronds have gone brown and then pull them down and bend in half to fit in the green bin. No cutting needed. A bit worrying they can’t do that (unless have some mobility issues).
     
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  10. wylie

    wylie Moderator Staff Member

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    Over the weekend I looked more closely at the lease. When my brother was mowing, he was averaging probably every four weeks, often due to rain and staffing shortages. Tenant would at times email or text me asking why the lawn hasn't been done. I'd explain that wet weather means no mowing and all jobs are pushed back.

    This new guy is mowing fortnightly, and I've just checked the lease and realised it states one visit per month. So I've asked him to stick to that.

    By the time winter is over and spring growing is upon us, we will have a new lease without mowing included. Meanwhile, if the tenants want they can pay for extra visits. I've had enough of this.
     

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