Join Australia's most dynamic and respected property investment community

Rental Increases

Discussion in 'General Property Chat' started by ashish1137, 5th Jun, 2016.

  1. ashish1137

    ashish1137 Well-Known Member

    Joined:
    12th Sep, 2015
    Posts:
    310
    Location:
    Sydney
    Hi

    One more query. Currently I am renting near parramatta. It is a good locality. Started about 6 months back.

    Here the scenario: after accepting my deposit @ 510 per week, broker realized that it is too less and started negotiating to increase at 550. I did argue but since I had an inclination to stay there, we mutually agreed at 530 per week. Now after 6 months, they want to inrease it to 550 (12 month lease). A little arguing and i have got an extension of 2 months with formal notice.

    Nearby units are being rented at more and even less. I do want to stay so I am thinking to negotiate a 15 month lease but apart from it, can i do something to push back the increase?

    Is this right to offer increases in 6 months time. My friends suggest it is not usual. Any suggestions are helpful.

    Regards
     
  2. MsAli

    MsAli Well-Known Member Premium Member

    Joined:
    18th Jun, 2015
    Posts:
    1,147
    Location:
    Sydney, Australia
    Not unusual. Rents are rising. We just increased $10 to $20 as well. Parramatta is a popular location. Normal part of the cycle to see rents increasing after the boom which has priced many out of the market. Till the returns become decent enough again to start buying.

    The increase advice should give you 2 months and 4 days before the new rent kicks in.
     
  3. D.T.

    D.T. Adelaide Property Manager Business Member

    Joined:
    13th Jun, 2015
    Posts:
    5,598
    Location:
    Adelaide, SA
    Tell them to get lost and to follow the Act properly :)
     
    Dean Collins likes this.
  4. wategos

    wategos Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    336
    Location:
    NSW
    yes, tell them to get stuffed. have had agent/landlord try this on a long time ago in Sydney.
    If you are already in the property no need to agree to any increase within your 12 months.
    Actually they should have no right to terminate or increase rent after 12 months either, but this is Australia where tenants don't have too many rights so you have to suck it up at end of lease.
     
  5. jins13

    jins13 Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    955
    Location:
    Sydney
    Really poor form. For one of my rental, it's increasing from $380 to $410 per week, but that's because the previous tenant is vacating the property.
     
  6. Bayview

    Bayview Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    2,716
    Location:
    Mornington Peninsula
    Is that so?

    I have no doubt there are loads of anecdotes which will fly out from various posters which will contradict your belief...I might regail you with a couple of mine if your are even remotely interested.

    Just another angle to your views on greedy NG-sucking LL's who are smashing the poor little bloke?

    How about this; a tenant can be in arrears, and when confronted with a threat of lease termination can elect to pay $20, so then cannot be thrown out, and then on the next threat, do it again, and again.....

    And repeat, and repeat and repeat.

    You might wanna read this little ripper;
    Tenant becomes "invincible" after being ordered to leave?
     
    Leo2413 likes this.
  7. Bayview

    Bayview Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    2,716
    Location:
    Mornington Peninsula
    They cannot change the rental mid-lease. Tell them to **** off.
     
    Last edited by a moderator: 5th Jun, 2016
  8. wylie

    wylie Moderator Staff Member

    Joined:
    18th Jun, 2015
    Posts:
    2,976
    Location:
    Brisbane
    Did you sign a 12 month lease at $510? If so, they cannot increase during the term of the lease.
     
    EN710, Dean Collins and Sonamic like this.
  9. ashish1137

    ashish1137 Well-Known Member

    Joined:
    12th Sep, 2015
    Posts:
    310
    Location:
    Sydney
    Hi all,

    Thanks for your responses. Here are some more facts:

    The lease signed was for 6 months. Even though they accepted my deposit at 510, we signed the lease at 530 per week. Agent said landlord realized that they underquoted. And they did actually. :)
    The agent is so neglectant that he has not signed the lease after 6 month period got over on 21st May.

    I can go to tribunal but the agent has clearly said that if you do not agree you can leave by giving 3 weeks notice. I dont want the hassle of movemeny with family now. May be after one year.

    Regards