NSW Lease Renewal Info

Discussion in 'Property Management' started by Corey, 6th Apr, 2022.

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  1. Corey

    Corey New Member

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    6th Apr, 2022
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    Hi, I'm in need of some information on who pays the lease renewal fees at the end of a 1yr lease is it the Tenant or the Landlord?

    I'm (tenant) currently coming up to the end of my 1yr lease and the agent has increased my rent by $40 and is also charging me a "lease preparation fee" for me to stay for another year?

    Any advice would be helpful. Thanks
     
    Corey, 6th Apr, 2022
    #1
  2. Phoenix Pete

    Phoenix Pete Well-Known Member

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    I'm presuming that this is a fair dinkum request for information because what you have been told is absolutely unbelievable.

    Ok.... here we go.

    It is the Landlord who pays all costs associated with the preparation of residential leases in NSW.

    This has been the case since 2010 and it is very common knowledge by everyone.. except your dopey agent.

    View - NSW legislation

    https://www.fairtrading.nsw.gov.au/.../0009/608382/Tenant-information-statement.pdf

    Therefore, your agent is either deceitful, a total imbecile, or is trapped in pre-2010 world. Either way, if the agent wants to charge you for a lease preparation fee, it is DEFINITELY NOT ALLOWED and if they insist, let NSW Fair Trading know... because if they are charging lease preparation fees to other tenants, then the auditors at NSW Fair Trading are gonna have a wee party at your agent's office.
     
    Last edited: 7th Apr, 2022
    Phoenix Pete, 7th Apr, 2022
    #2
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  3. Scott No Mates

    Scott No Mates Well-Known Member

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    If it's a commercial lease, then it's by agreement.

    If it's retail, then it's each party pays their own costs.

    If you have it in writing, send it to the OFT.
     
    Last edited: 7th Apr, 2022
    Scott No Mates, 7th Apr, 2022
    #3
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  4. MyPropertyPro

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

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    What @Phoenix Pete said! I can't believe they've even tried this on!

    - Andrew
     
    MyPropertyPro, 7th Apr, 2022
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  5. Stoffo

    Stoffo Well-Known Member

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    They are required to give you notice of rental increase (there's a lot of conditions around rental increase), do you feel the $40 increase is unreasonable ?

    Lease prep fee for a tenant is BS
     
    Stoffo, 7th Apr, 2022
    #5
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  6. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    Paul@PAS, 7th Apr, 2022
    #6
  7. Mel Morgan

    Mel Morgan Sydney Property Manager Business Member

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    Make sure you've also been given 60 days notice of the rent increase.
     
    Mel Morgan, 8th Apr, 2022
    #7
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