Archive for category: Property Management Tips

Important Things to Know About Water Damage in Rental Properties

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We don’t see it but our home is filled with pipes that bring water in and out of our property. A constant flow of water is needed for taking a shower in the bathroom, flushing the toilet, cleaning clothes in the washing machine and other essential household tasks. But this amount of water inside the home raises the possibility of water damage when one of those pipes break.

Severe storms and cyclones can cause flooding. These natural disasters are not only a threat to life but also to property. Properties in low-lying areas are especially vulnerable to flooding. When flood water comes into the home, it could damage the furniture, appliances and even the basement and the foundation of a property.

When you know how water damage can happen, you can take precautionary steps to avoid a leak or flood. You’ll be aware when water accumulates in an area where it shouldn’t be and enable to address the problem immediately.

Causes of water damage

Leaking pipes: Backed up drains and toilets can cause severe pressure in the pipe, which can cause it to burst or leak. Roots from shrubs or trees in the yard that pierce sewer lines can also cause pipes to burst or leak. Watch out for aging or rusty pipes as these are more likely to leak.

Faulty plumbing: It is impossible to detect some plumbing issues within the walls. However, they are commonly caused by hoses and pipe joints not being completely connected. Check under your sink periodically to identify any plumbing issue quickly.

Crawl space, basement and attic issues: These areas in a home are more prone to water damage. It is where piping and electrical wires within your home are located. If any of these areas collect moisture, mould and rot can occur. Have your home checked periodically to ensure there are no drippings or moisture.

Damaged home appliances: It is common for the pipes of aging home appliances to starting rusting and cracking and their hoses starting to weaken. Washing machines, refrigerators and dishwashers will naturally deteriorate, so keep an eye on them.

Heating, ventilating and air conditioning units (HVACs): Water damage can also be blamed on HVAC. Air conditioners especially need regular servicing and maintenance to prevent moisture build-up. Mould can grow inside the unit when moisture cools and interact with mould spores in the ducts.

Typhoons and other natural disasters: We have no control over natural disaster. The only way to minimise the damage to our home is take all the necessary preventative measures.

The effect of water damage in your property

The effects of water damage can either be felt or seen within minutes or it can take a few days or weeks. Here are the health and safety hazards that water damage can cause to a property and to the people living in it.

Moulds and Health problems: When water build-up is left untreated, it can encourage mould growth because mould thrives in a damp environment. Moulds pose risk to your health. If you sense that your allergies are acting up more frequently, the first thing to check is mould presence.
Mould can also destroy the aesthetic of your home. Mould growths can leave black or green marks in the form of fungi. You will see them grow on the surface of your wall.

It will take a few weeks before the effects of moulds on the health become obvious. These health issues may include respiratory troubles such as allergies, asthma and bronchitis.

You can also tell if there is mould growth through smell. The quality of air starts to become poor once mould starts to grow.

Damage to furniture and appliances: Flood can damage your valuables including your furniture and electrical appliances within minutes. For wood furniture, exposure to water can weaken their structure and promote mould growth. Other types of furniture are also sensitive to water. They can swell or their colour starts fading. With electrical appliances, they can malfunction if they get soaked in water. Certain damages can still be fixed, but more often than not, you have to buy a replacement as the risk of electrical hazards is too high.

Structural damage: Water build-up can weaken the structural integrity of your home. If you have wooden floors, water can make it swell. These damages, if left unrepaired, can make living in the property dangerous. The walls also cannot avoid the destruction that water brings. Being soaked in water can cause discolouration on your walls. For example, white walls can show yellow marks from flood waters, especially if it took a long time for water to be removed.

Signs of water damage in your home

Some signs of water damage are easily spotted, while others will need a professional eye. Pay attention to the following signs if you suspect water damage:

  • Dark or wet marks on the walls or ceilings
  • Flakes or cracks on drywall
  • Drips or pools of water around the pipes, sinks, toilets, etc.
  • A damp or musty odour that appear all of a sudden
  • Water dripping sound even when taps are turned off
  • A sudden increase in water bills could be due to an unseen leak
  • A sudden feel of dampness or humidity inside the home

Tips to prevent water damage

“An ounce of prevention is better than cure.” This is very true for water damage. It is much cheaper to take preventative measures than make repairs. Here are ways to prevent water damage in your home:

Plant away from water lines: Invasive roots can damage pipes and water lines. Be careful where you plant and research the type of plants or trees you’re planning to plant.

Keep your roof gutters clean: Leaves, sticks and other stiffs can accumulate in the roof gutters if you don’t clean it regularly. A clogged gutter can send rain water spilling into your home’s foundation and down to your basement. That can seriously weaken your home’s structural integrity. So include your gutter in your list of seasonal cleaning. If it’s too high, hire a professional to do it.

Monitor your water bill: A sudden increase in your water bill can signal a leak. Since you can’t see the various pipes that intersect your home, it is a good idea to keep track of your water usage. If it suddenly increases with no reason, you may be looking at a possible leak somewhere.

Never use unclogging chemicals: Use a drain snake instead when unclogging your drain. These caustic chemicals may be an effective unclogging solution but they will eat away at your pipes and may be not be good for your health. A drain snake is inexpensive and similarly effective without giving you red and watery eyes.

Avoid pouring grease down your sink: Don’t do this whether you’re pouring the grease with hot or cold water. The grease will solidify and stick to the pipes and could block or destroy them. What you can do is pour the grease in an empty can and store in the fridge. Once it hardens, you can just throw it in the trash.

Who is responsible for water damage in a rental property?

Under the Residential Tenancies Act, the landlord’s responsibilities include keeping the property in a reasonable state of cleanliness and a reasonable state of repair.

Repairs are the landlord’s responsibility. However, if the renter or a guest of the renter caused the damage, the landlord can ask them to arrange or pay for repairs.

This is the general rule that must be followed when it comes to water damage.

The rules on water damage caused by flood and other natural disasters are more specific or clearer.

If the home has flood insurance, any damage must be reported by the landlord to the insurer. It makes sense to have flood insurance, in addition to the standard homeowner’s insurance, if your property is in a flood-prone area. This is necessary because most homeowner’s insurance doesn’t cover most flood damage.

Any damage to the tenant’s property is not the responsibility of the landlord. It should be covered by renter’s insurance, which all tenants should have. Landlords must be forthcoming with the tenants if the property is located in a flood-prone area.

It is important for the tenant to check that the property is clean and in reasonable good condition before moving in, and complete the condition report. If the tenant is not satisfied, contact the landlord immediately to discuss. Make sure to get the landlord’s agreement for repairs or cleaning in writing.

What to do if you find water damage?

If you find a problem area, take steps to prevent further damage. You may need to soak up still water on the floor with towels, or shut off the water supply.

This is where your home insurance comes in handy. Contact your insurance company to report the problem. Then call professionals to do the clean-up. The evaluation from the water damage restoration company will help you determine your plan of action.

Timing Is Everything – Rent Now For Stability

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It appears that we have reached the bottom of the boom and bust cycle in Western Australia, and the news for 2019 is positive. Not only are house prices recovering but also there is a decline in the number of properties being offered for rent. This means the start of a recovery in the rental market also, and while rents overall may not increase for some months, the huge discounting that caused owners so much grief may be coming to an end.

Good News All Round

This is good news for both parties in the rental equation, that is, the owners and the tenants. Investors who have purchased properties to rent them out are now beginning to see some increases in their returns. Tenants, who were struggling to find suitable homes at affordable prices a few years ago, are now settling into better accommodation closer to facilities and within range of a reasonable budget.

Don’t Expect Miracles

This does not mean that rental values will leap quickly to their previous record levels. Experts predict that rental values will remain within a reasonable range for some time, and although demand for rentals is increasing, it is being balanced out by first-home buyers. They would normally be renting but can now purchase affordable new homes by using the attractive packages on offer by developers.

What does this mean for us at Bunbury Real Estate? As a seasoned and professional sales and property management agency, we have ridden the ups and downs of the property market. At all times we are looking after the best interests of our clients, whether they are sellers, buyers or renters, regardless of what market forces are at play.

Renters Should Lock in Lease Agreements Now

To our renters we are currently saying that now is an excellent time to lock in your lease agreements as rental values are expected to stabilise. There is no point in waiting for the rental market to fall further, as all the trends are indicating an upward trajectory. Now is the time to secure your ideal rental property on a long-term lease at an affordable price.

Owners Should Grab Quality Tenants Now

We advise our owners to secure these quality tenants now, so they have some certainty around the returns they can get for their rental properties. The discounting may be gone, but this does not mean an immediate bounce back in rental values. This will be a slow and steady climb, so having good tenants to fill their vacancies should be the focus for the time being.

The market is finally breathing a sigh of relief, and we can now look forward to sustainable prosperity without the wild swings and roundabouts we have recently experienced.

Landlord Preparations for the Summer Season in Western Australia

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Western Australia’s weather can be best described as blue sky days year round. The capital Perth enjoys an average of nine hours of sunshine daily. This almost perfect weather has shaped the lifestyle of the people living in this part of the country.

The lifestyle is relaxed. The coastline features beautiful beaches, ranging from tiny and private to big ones for the family. Most summers in Perth are around 30 degrees C.

But the flipside is it can get scorching hot. We’re talking 40 degrees C for the entire week.

If the heat becomes too unbearable, people head to the coastline to cool off at the beach, or take in a movie in a cinema. But the heat can become a problem for some people, especially at night when there is no air conditioning.

Temperatures in Western Australia can get pretty high and unpredictable. One day it’s warm and sunny and the next day and for the next few days it could be so hot it can melt the pavement.
Follow these tips to make sure you and your home survive the summer season in Western Australia.

1. Check your cooling appliances

Western Australians have found so many ways to beach the heat during the day, such as going to the beach or local swimming pool, public places with air-conditioning like shopping malls and cinemas, and public parks watering their grass with sprinklers.

Fans and air conditioners are overworked during summer. They are used to keep the home cool throughout the day. To make sure your cooling appliances don’t conked out on you in the middle of a heat wave, clean your fans and schedule maintenance for your air conditioning unit. Your units may be an older model, or it may have been worn out after years of use.

2. Check your summer appliances

Aside from fans and air conditioners, it is a good idea to check other appliances that are essential for summer.

The Aussie BBQ is a mainstay of any summer dinner party. Before summer arrives, deep clean your hot plates, check the gas and make sure all fittings are working in order.

If you have a pool and spa, you’re lucky to have these private spots to escape the summer heat. Make sure your pool and/or spa are ready for the summer heat by having them cleaned, checking the jets and ensuring the safety fence and gates are in proper condition.

3. Prepare your deck or patio

You will probably be spending many hours and nights in your outdoor space during the months of December through March. In this case, add your deck or patio to your spring cleaning list.

Here are a few of the things you can do to make your outdoor area summer ready:

  • Mow your lawn, prune the shrubs and trees, and get rid of all weeds.
  • Remove debris from the pavement by hosing it down
  • If your deck is finished with oil, clean and oil it to make sure the timber is protected
  • Check your window shades such as curtains or blinds, deck umbrella, and roof panels in your outdoor area

4. Start your summer decoration

Deliciously scented candles and heavy fleece linens are for winters. For summer, the most appropriate décor is a light one.

Take out your lighter, cotton sheets for the bedroom. For your living room, time to put those fluffy blankets back to storage and replace them with fluffy blankets.

Don’t forget your living room and kitchen. Place a few low-maintenance plants and succulents to create a summer atmosphere. Plants can make a room airy and purify the air.

5. Keep those flies and mosquitoes away

These pesky insects come out in full force especially early in the summer. Though the horde somewhat lessens when the middle of summer start, you still don’t want to keep swatting your hand across your face to ward them off.

Check the ‘fly screens’ on your doors and windows for any break or hole. You can open the doors and windows to allow the air in while keeping the flies and mosquitoes away.

Flies can be annoying but we have to accept that they are part of nature because of the important part they play in our ecosystem.

6. Dealing with snakes

During spring and summer, many replies come out where they are hiding to enjoy a little sun.

Venomous dugites and tiger snakes are common in Perth. Probability is high that you will see a reptile or two during the day and at night during warm weather.

You have to take extra care when walking in bushlands and grassy areas. Walk only in areas where you can see the ground.

Cut the long grass around your house and remove all items lying on the ground like discarded wood or corrugated iron, which can be used by snakes to hide.

If you find a snake in your garden or house, don’t kill it, don’t approach it or annoy it. Call Wildcare Helpline and ask to be referred to a reptile remover, or get online to find a local snake remover service.

Follow these tips to enjoy summer in Western Australia. It generally has a enviable weather but in case there is a heat wave suddenly, you and your home are prepared and will survive it just fine.

How To Keep Your Home Safe Against Christmas Burglars

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The Christmas and New Year holidays are special, not just because of the gift-giving, seemingly endless parties, and family get-togethers, but because it is also the time to take a much needed break from daily life. In short, it is the perfect time to take off somewhere for pleasure and relaxation.

But before talking off for that exciting holiday, there is the matter of the house you would leave behind for a few days or maybe weeks. While people are busy planning for their Christmas and New Year celebrations, burglars are also busy staking out the houses they could break into. There is cause to be wary as statistics show a spike in burglaries during this time of the year.

Your house is vulnerable to home invasion during the Christmas season and New Year because burglars know that homeowners are more likely on holiday. But there are measures to keep your home safe.

Weeks before your scheduled departure, conduct a security audit around your house to identify any weaknesses in your home security. Check whether the locks on the doors, windows and gate, as well as the exterior lighting, are in good working order. This is also the time to secure all valuables you have outdoors.

Here are a few more preventive measures you can implement to prevent your home from being broken in while you’re away on holiday.

1. Lock up

The first order of business is to make sure all entry points to your home are secured properly. Lock all entry points and fasten the locks properly.

In the rush of last minute organisation, locking up oftentimes become an afterthought. To ensure that you don’t accidentally leave your doors or windows ajar, lock everything up the night before you leave.

2. Lights up

An obvious sign that your house is unoccupied is when it’s dark even at night. Burglars take note of properties like this.

Investing in even just the basic security devices such as motion security lights and timed lights will go a long way towards protecting your home against home invasion. The motion detection lights will spot anything that moves around your property. Lights that turn on and off sporadically will fool people looking outside that someone is at home.

3. Make it appear that someone is home

Aside from the time lights which turn on at night, there are other things you can do to make your home look occupied:

Park your car in the driveway.
Don’t let newspapers, mail or flyers accumulate on your property by asking a neighbour to collect them for you.
Don’t send packages to your home when you’re not there. Uncollected packages on the doorsteps are a sign that the owners are not there to accept them.
Ask a friend to come to your house to open and close the blinds or curtains during the daytime.

A home that looks to be vacant or unoccupied will be more attractive for possible burglary. Thieves know the signs that the owner is not home. Eliminate those signs to keep the burglars’ eyes away from your property.

4. Take a social media break

People in the digital age are documenting their every move by posting statuses complete with photos to their social media accounts. The savvier burglars are not only spying on your house, they are also stalking you on social media. Remember this before you share on Facebook that you’re taking a two-week trip. You’re not only sharing this information to friends and family, you’re practically sharing it to the whole world.

The same goes with sharing photos of your house and your possessions. Burglars take note of what items are valuable to steal and when your home will be left unattended.

It’s difficult to go offline even when it’s just for a short time. If you can’t make yourself go silent online, at least take the time to adjust the privacy settings of your social media accounts to block people you don’t know from seeing your updates.

5. Start to get smart

Landlords, under the Residential Tenancies Act, are responsible for supplying the locks and making sure doors and windows are intact and very secure. But you may want to consider a few home security technologies for your investment property. Doing this will give the the peace of mind that comes from knowing your investment is safe and secure.

There are endless options, including a smart doorbell, which senses motion and gives a view of your front door from your smartphone; smart security lights, which deliver real-time push alerts to your phone if someone is skulking outside your home; and smart light bulbs, which you can turn on with a swipe of a finger or you can operate remotely.

6. Be wary of door to door salespeople and telemarketers

You can’t really be sure that these people are legit. It is possible that they are checking out your home and looking at items that are worth stealing. Their simple question of: “When would be a convenient time for you to talk?” could be their way of trying to find out when you’d be out of the house. Be cautious and don’t be free in giving away personal information.

Christmas and the New Year holidays are busy and festive times. Sadly, thieves are hard at work trying to spoil the fun by burglarising homes. You can outsmart these bad elements by being proactive and being practical about your home security by following the tips provided above.

Furnished or Unfurnished Rental Property: Which Should You Get?

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Renters do not only face the issue of what type of rental property to live in. They also need to decide whether they want a full furnished, partially furnished or unfurnished rental property.

As the name implies, a furnished rental property includes all furniture and appliances. A partially furnished property normally includes only furniture. An unfurnished property has no furniture and appliances.

Here are a few pros and cons to consider for each option before deciding which one is the best fit for you:

Furnished Rental Properties

The actual items that are included in a furnished property will differ depending on the landlord and what type of property you’re renting, but the following items may also be included:

  • Rugs, scatter cushions for beds and couches, linens
  • artwork for the walls, centrepieces, mirrors
  • cutlery, dining sets, cookware, stemware, knife block
  • bookshelf
  • other accessories

Appliances should include:

  • a standard refrigerator
  • stove
  • dishwasher
  • washing machine and dryer
  • air conditioner.

For entertainment, these items may be included in the property:

  • LCD TV
  • DVD player
  • cable and stereo system

The Pros

For tenants

  • Moving will be easy, especially if you frequently change address. You can move on short notice because most of the cumbersome items like furniture will already be in the furnished rental. It’s less expensive to hire professional movers as they’ll have fewer things to pack and move.
  • You don’t need to buy furniture, therefore you save money.
  • If you’re moving on short notice, or if you’re relocating to a different state and can’t see your new home on moving day, renting a furnished property will save you a lot of trouble. Your home is ready to move into; all you have to do is show up.
  • If you’re not ready to commit to a long-term lease, renting a furnished property is the right one for you. Landlords of furnished properties will often accept a shorter lease as they cater to people who don’t remain in one place for too long such as students, sales representatives and other travelling professionals.

For landlords

  • You can easily access lucrative markets, including the business and corporate travellers, and tourists, which in turn can land you high-quality tenants.
  • You can charge about $50 to $100 more in the weekly rental, depending on the location and the quality of the furnishings.
  • The furnished market gives property owners more flexibility in pricing, allowing them to adjust rent according to market trends.
  • There are tax benefits for furnished rental properties. Property owners can write off furniture and other items as a depreciating asset.

The Cons

For tenants

  • Furnished rental properties may require a higher security deposit. This is a kind of insurance for any possible damage to the furniture.
  • Your liability is greater because there are a lot of items that you can break. You don’t own most of these items, so be careful. Your security deposit may not be enough to pay for all the damages throughout your stay.
  • You have no say about the interior design. The looks of the rental property and all the things in it are controlled by the landlord. If you happen to dislike the couch or the bed, you could buy a new one. But what would you do with the old one? Would the landlord allow you in the first place?
  • There are not many furnished rental properties out there. Though a furnished property has a competitive edge in the market, it takes lots of hard work on the part of the landlord to furnish and maintain a property. This makes furnished rental properties hard to come by.
  • The items in a furnished property vary. There is no guarantee what you’re getting because there is no specific standard for “furnished”, so you have to expect to provide the “missing” items in your rental.
  • You may not have a lot of things but you have a few things. If you rent a furnished home, you may need to find room for them. Expect to have some difficulty finding room for the stuffs that you already have.

For landlords

  • Your target market is limited to people who already own furniture and appliances, which can leave your rental property vacant for longer periods of time. The kind of renters that gravitates to furnished rental properties is looking for short-term leases, which means a higher rate of turnover.
  • With a lot of items inside the home, wear and tear is higher, which means more to pay for maintenance costs.
  • Consider your location in your decision to enter the furnished market. Furnished rentals located in the heart of the CBD, with stylish décor and furniture, will attract more prospective tenants than those in the suburbs.

Unfurnished Rental Properties

An unfurnished rental property is empty. No furniture. No appliances. All items are provided and belong to the tenant.

Majority of tenants are looking at a long-term lease, a place where they can stay long enough to make it their own. This category of tenants is mostly looking for an empty property, or with a few neutral-toned furniture or appliance that they can work around to fit their particular taste.

The Pros

For tenants

You are free to decorate the house the way you want it. You may need to ask the landlord’s permission to paint the walls with the colour you like, but you can pick the furniture, appliances and furnishings that match your style.
You can sign a long lease with an unfurnished rental property. This gives you the time to settle in and create a place that you can call home.
An unfurnished house is the perfect way to incorporate your personal style into a place and turn in into a safe haven.

For landlords

  • You’d be attracting tenants who are looking at a long-term lease. This is steady rental income, which means financial security.
  • You don’t need to spend money on buying furniture and appliances.
  • You don’t need to maintain a furniture inventory and stress over replacing any item that becomes
    damage.

The Cons

For tenants

  • If furniture shopping or interior design is not your thing, you’d probably feel annoyed at having to fill up an empty property.
  • It is expensive to buy furniture and appliances, and you’d have to deal with bringing bulky house stuffs when you move. You’d be the one who has to move everything and take out everything again when your lease expires.

For landlords

  • It is not likely to attract high paying tenants like transients and travelling executives.
  • You’d miss out on the group of renters who are willing to pay more for the convenience of living in a home that is already fully furnished.

Partially Furnished Rental Properties

A partly furnished rental property has a few items in it, such as couches, tables, chairs and white goods like a refrigerator, washing machine/dryer, stove and dishwasher.

Tenants who prefer to bring their own belongings but don’t mind a few items already in the rental property, specifically white goods and furniture, would fit greatly with a partly furnished home.

This is a way for property owners to tap into both the furnished and unfurnished markets. It is even better for property owners who have storage where they can keep the furniture and appliance if tenants prefer to use their own.

For investors, consult with your property manager regarding what is best for your property: furnished, unfurnished or partially furnished. They know the market, what most tenants are looking, and how you can position your rental property to appeal to a broader range of renters.

Relocating With Your Furry Friends? What You Need To Know

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Moving from one residence to another is never easy regardless of whether the move is to the next suburb, the closest city, another state or overseas. There are seemingly endless details to attend to, so that all your possessions and your family members arrive at the new destination safely.

Requirements for Moving with your Pets

It is even more complicated when your pets are moving with you. If you have purchased your own residence, you have most likely checked that the property is pet friendly, and your type of pet is permitted to live in the area. If you are renting, there are other requirements to be met before your pet is safe and secure in the new residence.

Licences and Permits Required for Some Pets in WA

This is particularly important for people moving to Western Australia from the eastern states. Apart from dogs, cats and agricultural animals, owners require an import licence and a permit from the WA Department of Parks and Wildlife to bring other pets with them when they relocate. Many birds, reptiles and amphibians from the eastern states pose a threat to the native flora and fauna of Western Australia so check with the authorities before the move.

Here at Bunbury Real Estate, we are accustomed to dealing with questions from tenants about pets such as cats and dogs, and we are aware of the requirements for permits for other pets. Some of our property owners permit tenants to have pets, and in Western Australia, lessors (property owners) can legally require a tenant to pay a pet bond, as well as the usual tenant security bond.

Lessors Legally Allowed to Charge a Pet Bond

The law states that where tenants are permitted to keep pets that can carry parasites that are able to transfer to humans, the lessor may charge a pet bond. The only exception is if the pet is an assistance dog, in which case they cannot. In a residential tenancy the pet bond must be no more than $260 unless set by regulation, and for a long-stay tenancy in a residential park, no more than $100.

Bonds Lodged with the Bond Administrator

The total security bond is lodged as normal with the Bond Administrator as a single amount, with the amount of the pet bond specifically noted. Because pet bonds are not usual in the eastern states, a tenant coming from there may not know this. Providing such advice to tenants is part of our role as property managers.

Check Local Government Requirements and Get a Good Freight Company

Our advice is to also check the local government regulations regarding enclosures, fencing, amongst others, and only use reputable freight companies with experience in transporting pets. We want you and your pets to love it here, so if the trip is as hassle-free as our tenancy process, you may want to stay.

Buy or Rent Property? Or Do Both at the Same Time?

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Housing affordability is an ever present concern for many modern day Australian citizens. This is why the first thing on their to-do list is determine whether to rent or buy.


Of course, for many there is only one decision to make, which is rent, because they don’t have the huge amount of deposit required to enter the property market in many Australian cities.


But there are also many who believe that home-ownership makes the most sense. Rent money is a waste as it’s not an investment. All you’re doing is paying someone else’s mortgage.


To those who are still undecided, which is the best way to go?

 

Rent or buy?

Both options have their pros and cons. In the end, it is up to you whether to rent or buy, depending on your current personal and financial situation.


Renting gives you flexibility because as a renter, it’s easy to move from one home to another and from one suburb to another when your lease ends.


Signing a lease is a cheaper alternative to purchasing a home. Many young professionals cannot afford to buy in inner cities and near city locations where the lifestyle they prefer and career opportunities are easily accessible.


It’s true that rents are increasing. But it is also a fact that rental payments is usually higher than the monthly mortgage repayments they’d pay for a comparable property.


In addition, there are many costs associated with buying and selling property. There are agent’s fees, advertising fees, stamp duty, government fees, loan establishment fees, etc.


The biggest advantage of renting is that it is not your responsibility to pay for the cost of expensive maintenance, repair, insurance premiums, and more that comes with owning your home. These ongoing expenses are the responsibility of the landlord.


As for the drawbacks of renting, renters don’t have a say with regards to how long they can stay in the rental property; it is the landlord’s decision. This can be extra tough if the renter has become fond of what they consider their home.


The home you’re renting is never your own. You can’t make upgrades to the rental property, or even hang even something as simple as a wall art, without your landlord’s permission. Plus, the landlord or property manager can enter your home, with proper notice and with good reason, for things like regular inspections.


The major factor worth considering is the rising cost of rent. Renting may be the cheaper option now, but rent is constantly increasing in time with the rising value of properties.


You will pay rent as long as you are renting. In contrast, paying mortgage typically ends within 25 to 30 years.


There is a feeling of constancy and stability if you’re living in your own home. You can make whatever upgrades you want; you decide how long you stay there (as long as you’re faithfully paying your mortgage repayments; and you build great equity.


Consider owning while renting

There is a growing trend in the property market, especially among young buyers, called rentvesting. This is a property investment strategy in which you continue to live in a rental property while owning another property that you’re renting out.


The difficulty of getting into the property market experienced by many first-home buyers due to housing affordability has given rise to rentvesting. It provides a solution if you want to live in an area where homes carry a hefty price tag. You rent an ideal home in the area you prefer and purchase a property in a suburb where prices are within your reach. You rent out the property to help you cover your own rental payments and later sell it for capital gain.  


The beauty of being a renter investor is that it’s a way for you to own property while renting in an area close to the city where the jobs and all amenities are easily accessible. You can enter the property market sooner through rentvesting. Because you can buy from another state, or in a more affordable suburb in your state, you will need a smaller amount of deposit.


Of course, with all types of investment there is also a risk to rentvesting. Way your options properly, so you can make an informed decision about whether this is the strategy that fits you.


Weighing the rent versus buy decision


Renting and buying a property each have their pros and cons. But the final decision ultimately depends on a number of factors, including your financial circumstances, your long-term goals and the outlook of your local real estate market.


Here are five questions to ask yourself if you’re mulling the buy or rent dilemma:

  • What type of home is within your reach and how much savings do you have?\
  • How many years do you plan to live in the property?
  • Which do you prefer: stability or the flexibility to relocate easily?
  • Do you want to shoulder the cost of repair and maintenance?
  • What do you want to achieve for your finances, career and personal life?


Make an informed decision by doing research. The internet offers plenty of rent vs buy calculators that you can use to calculate the cost involved in both approaches. You can also get a wealth of knowledge about purchase prices and rental rates in the neighbourhoods you’re considering. Lastly, it doesn’t hurt to seek expert advice from a reliable mortgage broker.


Your decision all boils down to carefully weighing all the benefits and drawbacks of both buying and renting, and factoring in your personal and financial circumstances.

Want Great Tenants? – Get A Good Property Manager

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Are you a homeowner looking for great tenants who will look after your property as if it was their own, and pay the rent on time, every time? There are plenty of horror stories in the media about tenants who wreck every wall and fitting in the house, refuse to pay their rent and resist every legal action to move them on. However, there is a lot you can do to make sure you are letting your property to reliable people who do the right thing.

The Best Tenants Prefer Good Locations

The best tenants are just like the best home owners. When you looked around to buy your home, were you attracted to properties that were clean, neat and tidy, had modern conveniences that worked properly and were located close to employment, transport, schools and other facilities? Of course, you were, and so are the ideal tenants for your home.

Good Tenants Appreciate a Clean and Tidy Property

If your property is looking a little worse for wear, now is the time to spruce it up. Clean any rubbish out of the yard, tidy the gardens, mow the lawn, do any minor repairs, including painting, and finish off the exterior with a complete washing down. The interior should be just as spotless with all fixtures and fittings in working order, window treatments and floor coverings cleaned, and cupboards emptied.

Managing Your Own Rental is not Easy

Now that the property is ready for inspection, you need to decide if you are going to manage the whole rental process yourself, or hand it over to professional property managers. One of the biggest mistakes made by property owners is in believing that finding and keeping good tenants is easy. Property management is time consuming and requires current knowledge of relevant legislation, an administration system that keeps records of prospective tenants, an accounting system that tracks rental payments and staff who know the property market.

At Bunbury Real Estate, we ensure that our property managers are professionally trained and we provide them with all the resources they need to follow up enquiries, perform tenant reference checks, conduct inspections and perform all the other duties that come with this demanding role.

Professional Property Management is the Answer

As a home owner, naturally, you are looking to secure a suitable, reliable tenant for your property. You want to keep your vacancy rates low, your maintenance costs under control and have your rent regularly deposited into your bank account. If you engage a professional property management company like ours to act on your behalf, all this will be done for a small fee, leaving you plenty of free time to get on with your life.

Missing The Boat On Rental Applications? Preparation Is Everything

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Having a safe and secure place to live is an essential part of having a fulfilling life, so if you are constantly missing out on a rental property, you must review your application process to find out how you can improve your chances. If you have a history of being a reliable tenant, it could just be an adjustment to your application documents that is needed to get your next home.

Are Your Income Details Current?

Most of the application forms used by rental agents ask for similar information, even if the forms themselves are slightly different. Obvious identifiers are your personal details, current address, previous addresses and your income details. Make sure these income details are the current ones and not those of the previous financial year.

Fill Out All the Fields on the Application Form

A common mistake that we see all the time is a tenancy applicant not completing all the fields in the application form. Often these are names and contact numbers of referees, so we then need to contact the applicant to obtain that information. This delays the application and it could be the difference between making the shortlist and missing out altogether.

An agent asks for detailed information for one reason. It is our responsibility to make sure that the tenants we place in the properties we manage have the financial capacity to pay the rent on time. At Bunbury Real Estate, we also carefully check all our tenant references, so our owners can be assured that their properties are occupied by responsible people who will look after them.

Have Multiple Copies of Identification Documents on Hand

There are two other pieces of advice we can give you to prevent you from missing out on likely rental properties. The first is that you have multiple copies of your identification documents ready on hand to be attached to any application form. Time is of the essence, so instead of chasing around to get copies when you see a suitable property, you can fill out the application and lodge it immediately with the rental agent, complete with attachments.

Check Contact Details for your Referees

The second piece of advice is to have references from former rental agents and/or property owners ready on hand, rather than wait to find a property then need to chase them up. Again, this causes delays in your application. Also, make sure you check that the contact details you have for them are current, and let them know you are moving and that rental agents will be contacting them.

Remember that preparation is everything when looking for a rental property and being the best prepared of all the applicants could just be the edge you need to get your next home.

How Much Do You Know About Tenancy Laws?

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More people than ever these days are living in rental properties, so tenants need to understand their rights and responsibilities. The Residential Tenancies Act is the legislation governing tenancies, but the issues most often reported are ending a lease before the time is up, who pays for maintenance and repairs, getting behind in the rent, tenants’ right to privacy and getting the bond back when the tenancy is over.

Reputable Property Managers do the Right Thing

If you are a first-time tenant looking to rent a property, using a reputable agency like Bunbury Real Estate is your best chance for a hassle-free tenancy. As property managers, we observe all laws, from the day you lodge your application to the end of your tenancy. Many tenant problems arise when the property is rented directly from lessors, who may have their own interpretation of the law.

Breaking a Lease

Sometimes tenants find themselves in situations where they need to leave their rental property before the lease is up. If you have signed a fixed term lease, you could be liable for compensation to the lessor if you break the lease. There are processes to be followed so get advice from a property management agency like ours before you act.

Who Pays for Repairs?

A rental property should be in a reasonable state of cleanliness and repair before you move in. The tenant is responsible for keeping it clean and advising the lessor if any damage occurs. If intentional or negligent damage is caused by you or a guest, you are liable for the cost of repairs. However, you are not responsible for repairing the normal deterioration that takes place in any property.

Getting Behind in the Rent

Sometimes, even the best tenants get behind in the rent through unemployment or other circumstances. You must notify the lessor immediately to avoid your lease being terminated. However, the lessor cannot just evict you without following some legal processes. You may be able to negotiate a payment plan to bring your rent back on track.

Tenants Have Privacy Rights

As a tenant, you have the right to privacy, so the lessor cannot drop in unexpectedly to check the property. The correct notice period must be given to the tenant and this includes instances where tradespeople need to do work, and if the property is being showed to prospective buyers.

Getting Your Bond Back

For tenants who leave the property in good condition, getting their bond back is a major concern, especially if the lessor tries to claim it without sufficient reason. Be assured that the bond money can only be disposed of by consent or court order, all of which involve legal processes.

For peace of mind, select your rental property through an agency such as ours, and leave all the legal issues to us.