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NRAS Rental Valuation

Discussion in 'Property Management' started by D.T., 9th Jan, 2017.

  1. D.T.

    D.T. Adelaide Property Manager Business Member

    Joined:
    13th Jun, 2015
    Posts:
    6,065
    Location:
    Adelaide, SA
    We're property managers approved to take on NRAS properties. As some of you might know, after 4 years the NRAS Consortium organises a licensed valuer to go through and advise what the rent should be for the units.

    One of the units we manage just came up for this. The valuation came in $5 a week lower so we are forced to do a lease renewal at that amount to remain compliant (and non compliance means the owner doesn't get their $10k pa).

    The guy I deal with manages the PM's across SA and QLD and was saying all of them were coming in lower.

    This is one of the dangers of being in a government ran system instead of on the free market. Our normal (non-nras) properties we could at least keep them the same rent or negotiate a lesser increase if the market was poor (and I'm not convinced that it is).
     
    Perthguy and Blacky like this.
  2. Ross Forrester

    Ross Forrester Well-Known Member Business Member

    Joined:
    30th Oct, 2016
    Posts:
    463
    Location:
    Perth, Western Australia
    That sucks. I never thought about the future impact of not being able to control your rental income.

    Sort of takes away your control. Obviously the $10k incentive is still attactive.
     
  3. neK

    neK Well-Known Member

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    18th Jun, 2015
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    1,441
    Location:
    Sydney
    @D.T. Do you know how the Non NRAS properties that must be rented under the "Affordable Housing NSW" works?

    Is it the same as NRAS, except you don't get a rebate?
    (ie must go to an approved property manager that can take on Affordable housing etc)
     
  4. Marg4000

    Marg4000 Well-Known Member

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    18th Jun, 2015
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    1,311
    Location:
    Qld
    I think DHA houses are subject to rental reviews also.
    Rents can go up or down.
    Marg