Real Estate Services & Strata Management Services
Geraldton: (08) 9904 7235 Perth: (08) 6311 2864 Mobile: 0427 146 165 firstname.lastname@example.org
Understanding Property Management
In Western Australia the primary statutory reference sources in governance of a rental tenancy in residential property is the Residential Tenancies Act 1989 and Residential Tenancies Regulations 1989. The Residential Parks (Long Stay Tenants) Act 2006 applies to long stay Tenants who reside in park homes, lifestyle villages and caravan parks. For commercial rental properties the Commercial Tenancy (Retail Shops) Agreements Act 1985 regulates retail shop tenancies. The intention of these various Acts is to principally focus on the need for transparency of information and fairness when parties enter into a rental agreement as this agreement is a contract. Other reference sources or publications is secondary material which can be used for guidance to simplify interpretations of the Acts.
Owning a rental property of any kind requires a balance of having a good owner, Tenant and property manager. An owner who maintains their asset in peak condition can also expect good returns especially in times of economic downturn and competition with other Property Owners. Depending on the market and economic conditions, a well presented and well maintained property will attract a good Tenant who seeks the best value for money. Ask yourself the question - would I pay rent to live or work in an environment which was poorly maintained, had suspect plumbing or looked run down both inside and outside if I had a choice? A reasonable person would just look for a better value property, especially in a competitive market. Property Owners also need to understand the basic economic fact or reality is that if there is an oversupply of properties in the rental market and an undersupply of Tenants it is unreasonable and illogical to expect that every property can be leased. It is not physically and mathematically possible. Property Owners need to understand this fact; many external factors also contribute to the condition of the marketplace like the available local job market and long term stable employment, the cost of living, educational opportunities for children, locality to amenities such as shopping centres and medical facilities to name a few. Property Owners cannot expect that every Tenant has the desire to rent their property. Tenants want good value for their money.
Many landlords think by not maintaining the property the Tenants rental income will cover the cost of their maintaining their investment property. Some Property Owners choose only respond to reactive property maintenance when something completely wears out or becomes unserviceable beyond economical repair. Some landlords are even of the opinion that they don’t recognise fair wear and tear and expect the Tenant to pay for repairs. This is obviously an unconscionable and unfair practice. This is unrealistic and you cannot expect the Tenant pay for repairs to a poorly maintained and managed property. The Property Owner has a statutory obligation to provide a secure safe environment for the Tenant to live or work in to enable them maintain a healthy state of well being. As a reasonable person, do you expect to have your vehicle serviced then pay the Servicer Repair weeks later? The DSM Team endeavour to balance the welling being of all parties. Trying to help each other with acts of professional courtesy, respect and dignity cost nothing. This practice is part of a mutually beneficial relationship which includes open transparent communication between the Tenant , Property Owner and the DSM Team.