Renting to refugees?

Discussion in 'Innovative Techniques' started by mini2, 17th Aug, 2016.

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  1. mini2

    mini2 Well-Known Member

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    Found this on my work's Facebook-equivalent:

    Investors Can Help

    Rent to refugees at around market rate through an agent, bond and rent guaranteed and able to help people at the same time...what could possibly go wrong?
     
  2. D.T.

    D.T. Specialist Property Manager Business Member

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    Yes I've been involved in similar where organisations like anglicare and uniting have placed their clients (new immigrants, refugees, domestic violence victims, disadvantaged people) into properties. The lease is with the organisation themselves, so its up to them to pay the rent and keep property in good nick.

    Its been handy maintaining those relationships because they'll put people in properties which is a win for everyone involved. Typically only very low socio econ areas though.
     
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  3. Colin Rice

    Colin Rice Mortgage Broker Australia Wide Business Member

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    I just leased a property to a young teenage couple from the country that have no rental history, she is pregnant and both working. Sounds like a disaster on paper but after talking with my PM who has incredible intuitive skills I decided to give them a go.

    It will be a development site in a few months so my thinking is they will be happy to have a roof over their heads, closer to work and we discounted the rent and took a week to find them in the current Perth market.

    There is a little thing called land lords insurance that will be my mitigant in case it goes pear shaped which I will be surprised as my intuition is in line with the PMs.
     
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  4. Lacrim

    Lacrim Well-Known Member

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    I have a family of refugees in my IP in SA - and its not in a low socio area (not one of the snooty suburbs either). So far so good fingers x-ed.
     
  5. hash_investor

    hash_investor Well-Known Member

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    Good one. I like it.

    Does anyone how long they have been working in this space? Any chance of they withdrawing their support in the future?
     
  6. Luke T

    Luke T Well-Known Member Premium Member

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    I have a had refugees in a property of mine for a time.
    Definately well worthwhile They (rents)were paid by the government organisation and it was back when labour was letting all the boats in so there were heaps!! The reefugees stayed 6 months then left (to go to sydney from brisbane)and i kept getting paid for a vacant property.
    It was in the same renoed condition at the ed of the lease too and they paid $600 per week in slacks creek(normal rent $365 at the time.)
    I just had to furnish which cost $3k on gumtree.
     
  7. Heinz57

    Heinz57 Well-Known Member

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    Why wouldn't you? I employ through a recruitment company that tries to place those who struggle to find employment due to social disadvantage. It's not always perfect but usually the employees are grateful for a job and prepared to give it a go
     
  8. Gypsyblood

    Gypsyblood Well-Known Member

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    I have refugees in mine. Pros are they keep the place neat as a pin and rents always paid. Cons, there is a language barrier (they don't speak English at all) and they are unaware of how to ask for or operate some things (AC, house alarm, heating, hot water, bin replacement). Pm has a translater but I especially felt sorry for them that they had an aircon and still suffered through hot days cz they just were not aware!

    I would keep refugees any day.
     
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  9. Luke T

    Luke T Well-Known Member Premium Member

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    I have been told lately that you may need a commercial lease if the organisation you are leasing to is sub leasing to the refugees.
    Also check yr insurance as some are not covering these now
     
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  10. Gypsyblood

    Gypsyblood Well-Known Member

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    Hey Luke thanks for that! The contract we signed was directly with the tenants not a company which places them. But worth checking thanks!