Tenant/rental ledger request reasonable prior to purchase?

Discussion in 'The Buying & Selling Process' started by lettert, 24th Mar, 2020.

Join Australia's most dynamic and respected property investment community
  1. lettert

    lettert Well-Known Member

    Joined:
    25th Oct, 2019
    Posts:
    99
    Location:
    Vic
    Am looking to purchase a tenanted property; lease agreement will end around the settlement date so I could either ask for vacant possession or try to keep tenants on (they are keen to stay on)

    Is it reasonable to request the tenant/rental ledger? The selling agent is different from rental agent and has indicated she doesn't understand what this is, so I'll have to push a bit to try to get her to obtain it - and even then she might not. Ideally I'd also like to see the tenant's rental application for this property

    Am a bit extra worried about tenants in this current situation, many threads on other forums about tenants planning to squat due to "vcat being closed and public sentiment with the tenants" etc.

    If the sales agent doesn't provide the rental ledger etc, is there any way I can obtain it? Or is it well within the agent/vendor's rights not to provide the info?

    Full disclosure: we'd like to make major renovations to the property after a year and then move in, but during this one year I'd definitely like to have the place tenanted out, assuming we settle successfully. Also I would ask my preferred rental agent to take over from the current agent.
     
  2. Westminster

    Westminster Tigress at Tiger Developments Business Member

    Joined:
    13th Jun, 2015
    Posts:
    8,517
    Location:
    Perth
    Various ways you can get it:
    1. You can ask the current property manager for a copy of the tenant ledger or
    2. ask the current tenant to get it for you (as then no privacy issues). If they are keen to stay on then they should happily provide it to you so you can decide if they are suitable tenants for you or
    3. ask your preferred PM to reach out to the current PM to get a copy

    However some of these things might not be able to happen if you don't have a contract yet so seek some legal advice on how to word the contract so your interests are protected. Ensure that all valid notices and timelines suit your needs.
     
    wylie, Mel Morgan and lettert like this.
  3. Scott No Mates

    Scott No Mates Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    20,353
    Location:
    Sydney or NSW or Australia
    The ledger can be a requisition during settlement or a condition of the offer. The requisition goes back through the solicitor to the vendor not via the selling agent.
     
    lettert likes this.