Discovering Australia

Inspection When moving into a rented property, it is important to complete an inventory of the contents and record the condition of the premises. This inspection report may be used as evidence of the state of repair or general condition of the fixtures and fittings in case of a dispute at the end of the tenancy, particularly about the return of the bond and any damage to the premises. Usually the inventory and inspection report are completed within seven days of taking possession and the tenant should receive a copy signed by both parties. A copy is also lodged with the Rental Bond Board. Additional Costs and Expectations Once the contract is signed by both parties, the following payments need to be made: real estate agent’s commission, bond, advance rent. Real Estate Agent’s Commission Most real estate agents charge tenants a fee of two weeks’ rent for a one-year lease and one week’s rent for a six-month lease, which are the legal maximum fees. Bond When renting property in Australia, a bond (deposit) which is paid against damages must be paid in advance. Common practice is for tenants to pay a bond between four- and six-weeks’ rent depending on each state and territory. The bond is normally higher for furnished than unfurnished properties and can be as much as eight months’ rent for a luxury furnished property, so it is important to confirm the amount before you sign the lease. At the end of the lease, the condition of the property is evaluated, and the bond is returned to you less the cost to repair any damages. Advance Rent In most states, tenants are expected to pay one month’s rent in advance, depending on the type of property and the rental agreement. Helpful Hint: The inspection report must be filled out whether a security bond is paid or not. It is advisable that you take photos of existing damage when you move in, as further proof of documentation when you move out.

Maintaining a Rental Property Maintenance Costs and Utilities

The landlord is responsible for property taxes (council rates) and unit service charges. Depending on the type of tenancy agreement, the utility costs, such as electricity, water, and gas can be paid by either the tenant or the landlord based on the contract.

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Discovering Australia