Seeking owner viewpoints on a 'grey area'

Discussion in 'Property Management' started by 733, 24th Nov, 2015.

Join Australia's most dynamic and respected property investment community
Tags:
  1. willair

    willair Well-Known Member Premium Member

    Joined:
    19th Jun, 2015
    Posts:
    6,776
    Location:
    ....UKI nth nsw ....
    One would think for 950 bucks per week this house would already be set up with everything in place to hang the curtains ,so just buy some curtains the ATO will cover the costs over time,or just do the maths on if the tenants stops paying the rent,runs up a massive water bill and does a runner..
     
    Beanie Girl likes this.
  2. AndrewTDP

    AndrewTDP Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    764
    Location:
    Newcastle
    Send them a link to some of the horror tenant stories on here so they realise just how lucky they are to have good tenants?
     
    733 and willair like this.
  3. 733

    733 Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    567
    Location:
    Brisbane
    Thank you - we have been exploring these options as our discussions have unfolded to find the best solution to that meets all parties expectations...
     
    Xenia likes this.
  4. 733

    733 Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    567
    Location:
    Brisbane
    Yes, as a fellow investor I did share with the owners that all our IPs have window dressings and they can be claimed back from ATO via tax depreciation
     
    Beanie Girl and Xenia like this.
  5. 733

    733 Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    567
    Location:
    Brisbane
    Wylie, these are wise words...I have had a conversation about the value of generating goodwill as this in turn means tenants are more likely to (1) value the property and look after it and (2) renew a lease. I have also given information pertaining to the cost of a vacancy and re-let fee...I also highlighted that Korean culture value modesty and may not feel comfortable with big main bedroom windows (sliding door to deck area) without curtains/blinds...likewise, I worked to reframe a "bullying" assumption when the owner stated to us that the request for curtains was a form of bullying post lease signing to force owners into providing what is not there in the first place...we are pricing window dressings today to offer options to the tenants and are presently thinking through the option of Diligent undertaking a 50/50 split of costs with the tenants...they are quality tenants, fastidiously tidy and respectful of the property with no history ever of rental arrears
     
    Beanie Girl and Xenia like this.
  6. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

    Joined:
    18th Jun, 2015
    Posts:
    41,672
    Location:
    Australia wide
    I bought some curtains the other week for an IP - about $60.
     
    Xenia and 733 like this.
  7. EN710

    EN710 Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    3,218
    Location:
    Melburn
    My wild guess is that this is what you landlord would do if they want to bully their landlord. Either way, I hope it is a win win for everyone :)
     
  8. 733

    733 Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    567
    Location:
    Brisbane
    It offers Diligent the learning opportunity to manage competing stakeholder expectations whilst concurrently sustaining a customer focused mindset whereby we have our primary customer i.e. owner of the property/landlord and secondary customer i.e. tenant - purchaser of the product and income source for the owner...with the aim of preserving all relationships
     
  9. D.T.

    D.T. Specialist Property Manager Business Member

    Joined:
    3rd Jun, 2015
    Posts:
    9,189
    Location:
    Adelaide and Gold Coast
    Good on you. Yes, the game involves lots of juggling at times :)
     
    Beanie Girl and 733 like this.
  10. Bayview

    Bayview Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    4,144
    Location:
    Inside your device
    They're paying you $950 per week, and are reliable tenants apparently.

    Pay for the curtains.
     
  11. Perthguy

    Perthguy Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    11,767
    Location:
    Perth
    Are you suggesting the Property Manager should pay for the curtains and not the owner? Lots of risk in paying to have something installed into a property you are managing. I would not go there.
     
    Xenia likes this.
  12. Dmarkw

    Dmarkw Well-Known Member

    Joined:
    9th Aug, 2015
    Posts:
    146
    Location:
    Sydney
    Stump up the curtains - I agree this is a no brainer..
     
  13. Bayview

    Bayview Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    4,144
    Location:
    Inside your device
    The Owner is to pay.
     
    Beanie Girl and 733 like this.
  14. Scott No Mates

    Scott No Mates Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    27,101
    Location:
    Sydney or NSW or Australia
    Agreed with the general sentiment - lessor cost is a no Brainer. Whether you look at it from a loss of tenant (letting fee & loss of rent) perspective or not, the tenant has generally seen the property for less than 15 minutes (the duration of most rental OFIs) & can't be expected to have viewed every nook and cranny in that timeframe. There's an expectation that blinds/curtains/window coverings would be provided.
     
    Beanie Girl and wylie like this.
  15. 733

    733 Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    567
    Location:
    Brisbane
    Very astute points...nobody can scan a huge five bedroom three bathroom home 100% at one Open Home opportunity. ..ones focus tends to be assessing the 'must have's' initially
     
    D.T. likes this.
  16. D.T.

    D.T. Specialist Property Manager Business Member

    Joined:
    3rd Jun, 2015
    Posts:
    9,189
    Location:
    Adelaide and Gold Coast
    And if they don't like / listen to that suggestion?
     
    733 likes this.
  17. Bayview

    Bayview Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    4,144
    Location:
    Inside your device
    It's a shortisghted mindset if they don't....

    They have a higher-end property, getting paid lots of rent, and good tenants according to records.

    One set of blinds - you can do it from Ikea or places like that for very little in the wider scheme of things, and they are tax deductible.

    They might lose that tenant over one set of blinds/curtains, and due to the higher-end price point of the rental - and corresponding smaller pool of renters at that price-point - might have it sit there vacant for weeks or even months (I have experienced this).

    It's like me giving one of my regular good customers a bit of a discount off some work on their car, or changing a blown brake light for no charge which took one minute to do (and I often do this) for the sake of longer term business.
     
    733 likes this.
  18. Chilliblue

    Chilliblue Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    1,605
    Location:
    Australia

    I have to disagree and obviously the act is the same. If the tenant requested air conditioning or a steam oven based on the same point then would you be still advising the landlord should put one in?

    At the end of the day if the landlord has no legal responsibility to install the curtains, the agents did not reference that there would be curtains, then the tenant either lives with what they have agreed to accept by signing lease or request to put their own.

    It is clear that the landlord is not changing his mind and the consequences of that is that he may lose good tenants at the end of the lease. But that is his decision and knowing some people, once their mind is made up there is no going back.

    As an agent, there is only so much time you can spend on matters like this before having to move on.
     
    D.T. likes this.
  19. Scott No Mates

    Scott No Mates Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    27,101
    Location:
    Sydney or NSW or Australia
    Yes and no. The agent is also shoring up their income. It is not in their interests to cause a property to suffer a vacancy unless they have a great demand for tenants and strong letting fees.
     
  20. Chilliblue

    Chilliblue Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    1,605
    Location:
    Australia
    If that was the case, then the agent should have noted the missing bedroom curtains