All news articles.
Vacancy Rates in Adelaide 2008
Tuesday, October 28, 2008
The vacancy rate for Adelaide has continued its decline to 1.07% in September and shows no signs of easing heading into the peak period for rentals, the Real Estate Institute of SA (REISA) said.
Accidental Damage vs Wear and Tear
Thursday, May 22, 2008
Some landlords have unrealistic expectations that their property will remain in exactly the same condition at the end of the lease as when tenants first move in. The reality is though, that wear and tear on a rental property will occur over time.
Landlords should expect a level of wear and tear on their rental property while it is being tenanted. It is important to understand the difference between accidental damage and wear and tear.
While tailored landlord insurance may cover claims for accidental damage, wear and tear is generally excluded and cannot be claimed.
Accidental damage is defined as being caused by a sudden and unexpected event; this might include spilling red wine on the carpet. In contrast, wear and tear accumulates over time.
An example might be carpets. Depending on the quality of the carpet, its life span could be five to seven years. This means that if a tenant has been in the property for a number of years, you can expect there to be signs of foot traffic and flattened or bare patches.
In insurance terms the carpet has not been damaged accidentally or maliciously, but may be in a reasonable condition given the tenants time in the property.
Its like living in your own home over time there will be signs you have lived there, but this wear and tear cannot be claimed on insurance.
One of the main reasons landlords confuse wear and tear for accidental damage is because after leasing their property they often dont see it again until the end of the rental agreement.
This is why it is important to carry out regular inspections and advise Landlords on the propertys upkeep.
Examples of accidental damage
Spilling red wine on carpet
Hole in the wall caused by tenant moving furniture
Cracked floor tiles after a heavy saucepan is dropped
Examples of wear and tear
Foot traffic marks on carpets
Scuff marks on floor coverings
Minor scratches/scuff marks on paintwork
Dirty hand marks on curtains/blinds
Grease accumulated in the stove range hood filter
Good tenants are too good to lose
Wednesday, March 12, 2008
Landlords who raise their rents too high risk losing good long-term
Following recent interest rate rises and in line with current low rental
vacancy rates, some landlords may be tempted to increase rents.
Rising interest rates are likely to be taken into consideration by
landlords when leases on their properties come up for renewal so it is
understandable that landlords may need to raise their rents to keep
pace with rising costs. However, financial considerations should be
balanced against the importance of keeping good tenants in a
Unreasonably high rent increases may prompt the angry departure of
good long-term tenants, leaving empty rental properties generating no
income for weeks, it could turn out to be a very costly affair.
The message is simple: donâ��t take good tenants for granted.
A tenant who pays their rent on time and maintains your property is well
worth keeping. This doesnâ��t mean you should never raise the rent, but
think carefully if you are considering a significant increase. In some
cases it may be worthwhile â��rewardingâ�� good long-term tenants by
keeping rent rises to a minimum.
Given that it can take four to six weeks to re-let a rental property, you
need to weigh up the benefit of an annual rent increase against the
cost of losing a good tenant. The legal guidelines relating to when a
landlord can raise the rent and under what circumstances vary from
state to state, and landlords considering a rent rise should check with
their relevant rental tenancies authority.
When raising the rent, many landlords with long-term tenants often
forget to review the bond amount. In a scenario where a tenant has
lived in a property for a number of years with regular rent increases,
the bond that was lodged may eventually fall short of the requirement
for a certain number of weeksâ�� worth of rent. If you are raising the
rent, make sure you also consider a â��top upâ�� of the bond amount. You
should check with your relevant state authority for guidelines on this.
Thursday, November 15, 2007
And the winner is...
BEC & JASON HICKSON
Congratulations! You have won a $500 travel voucher courtesy of Crusing Plus Travel, to spend on flights, accommodation, cruise, tours etc.
McCranor Property Management recently held a competition for our clients called 'Referral Rewards,' which was very successful. Thank you to all our clients who entered into the competition.
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