Surge in legal action against landlords over repairs

Discussion in 'Property Management' started by Hari Yellina, 16th Dec, 2021.

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  1. Hari Yellina

    Hari Yellina Well-Known Member

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  2. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    No surprise with the new tenancy laws increasing the minimum standard, plus the pandemic ending allowing complaints to be heard.

    Funny how most of the complaints you read about are at the low end of the market. Minimal rent being paid, properties aren't in good condition to start with, PMs are the cheapest on the market or the property is being self managed.

    A lot of people do struggle to come up with even the cheapest rent, but this is another thing where you tend to get what you pay for.
     
  3. Paul@PAS

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

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    There has a been a declining standard of landlord response to evident defects over time and the state law changes merely empower more tenants with options to seek to have slum landlords held to account. Of all the cases there may be some malicious claims but where the standard and response is complied with such cases are less likely to win. Any PM will tell you that dropping rent to cater to a poor condition property is never a great idea. The leasing expectation is the property is well maintained on entry and thereafter to an acceptable standard. If you were to seek to have a tenant "opt out" on this basis this should be noted as special conditions. However that special condition could become a concern over time.
     
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  4. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    I had to sign a new lease agreement (as the landlord), the only one in the last 12 months. The amount of extra conditions and disclaimers was astounding. I had to warrant that the property is in good condition and a number of specific items are working. Whilst I know this to be the case, I was also thinking that a lot of this should be the PMs role to tell me about any defects to these items.
     
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  5. Hari Yellina

    Hari Yellina Well-Known Member

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    A lot of PM's are the ones who created this mess. They don't report to the rental provider.

    PM is not aware of what is a repair and what's not a repair.

    Don't do routine inspections and maintain reports.

    If they receive a maintenance request, they do ignore it totally and don't even read emails.

    My rental agent, missed a routine inspection on Tuesday because they lost the key for the rental property.
     
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  6. Bradley Peet

    Bradley Peet Well-Known Member

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    99% the case when an agent is chosen based purely on fee. I wouldn't expect industry leading expertise from an agent paid $20pw or less.

    Business owners squeeze as many properties into the PM's portfolio to help the business break even at the expense of the PM's sanity and clients expectations.....but I'm getting off topic.
     
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  7. Robert Chatsworth

    Robert Chatsworth Well-Known Member

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    Couldn't agree more. There is also a disconnect between what the LL thinks they do, and what they actually do.

    PM normally do cosmetic things, like comment if the bed is made, or if the lawns have been mowed.

    They don't actually press the test button on a smoke detector or RCD/Safety switch (very scarey). They don't look under the sink and check for corrosion on braided flexipipes or leaking sinks.
    If fact, they don't check any maintenance issues.

    I arrange with my PM once a year to inspect my properties and I check these things - flush toilets, turn on taps, check for leaks, examine power points, test smoke detectors and RCDs. Check fly screens. All the things PMs don't do.
     
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  8. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    There really needs to be a minimum standard of what PMs can actually do. I don't expect them to be a qualified tradie, but there are a number of minimum standards that the PM could easily inform landlords about if the tenants don't.
     
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  9. Ronen

    Ronen Well-Known Member

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    I also guess it's part of being stuck at home for 2 years.
    People spend more time at home, things break, they notice things and the mental state is low as it is, so things tend to make people more aggravated. Some will then go after the LL.

    I never quite got it though; if I have bad LL that doesn't care about me and the property - I'd move. Why would I wanna go for legal actions, maybe have a small win, just to stay with the same ahole till the next time?

    I rented places when I was younger, and I did move when I figured the LL only cares about the dollars.
     
  10. Michael Mitchell

    Michael Mitchell Property Manager Business Member

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    Because that's how small their world is. Those little wins are the most important thing in their life, similar to people who go on Body Corporate committees and put it on their LinkedIn profile ("Committee Member - XXX Body Corp") - that's literally the highlight of their life.

    Normal people would just move and get on with it - shop with their feet. Rental accommodation is a service just like any other, if it's not good change. Alas the way the world is going, people are so miserable and **** and hopeless, it's so fulfilling to them to become a victim and whinge and complain.
     
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  11. Ronen

    Ronen Well-Known Member

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    Didn't know it's a thing....
    My Linkedin is quite boring, can I start a BC for my free standing house, vote myself as the head of OC and put it in my Linkedin?
    Will that land me a job in Tesla? Would I have to accept a call from Elon?
     
  12. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    In our house we're apparently excellent cooks. The meals my wife and I frequently are awarded the covetted, "Two Tail Up", award.

    Meet the judges...
    216135424_1728274617368531_3692372231136770592_n.jpg
     
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  13. kaibo

    kaibo Well-Known Member

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    could be lockdown related as well, a lot of maintenance was not done or tenants didn't report minor issues out of fear a tradie bringing in the virus. For FY21 the repairs/maintenance side on my tax return was the lowest it has ever been. Surely with WFH during lock down there would be more maintenance/repairs required