In the vast majority of instances, tenants are signed to a fixed-term lease of six or twelve months. However, circumstances can change during the lease in ways which are not anticipated at the start of the tenancy. This could be a relationship break up, change in work circumstances, disagreement between tenants, or any of a number of other reasons.
In this article we take a look at what happens when tenants wish to make changes to the names on the lease, and what happens where there is disagreement over who stays and who goes.
Recently the NSW Parliament passed the Residential Tenancies Amendment (Review) Bill 2018, which covers a number of amendments to the Residential Tenancies Act 2010.
The aim of the changes is to "increase protection and certainty for renters, while ensuring that landlords can protect their investment and effectively manage their properties" (sourced from NSW Fair Trading).
The amendments also aim to provide greater protection for victims of domestic violence, make it easier for tenants to make a rental property a home and reduce repair and maintenance disputes.
When a tenant signs a fixed term lease, they are providing a commitment to remain in the property for the full term. This provides the landlord a degree of stability and security, knowing that the weekly rental income can be counted on for the duration of the agreed period.
Sometimes however, a tenant may need or wish to break the lease early. While this is possible to do, there are usually costs involved for the tenant as well as the otherwise unanticipated time and effort to put the property to market, run open inspections, and so on to find a replacement tenant.
A fundamental aspect of owning an investment property is knowing when and how to appropriately increase the rent. There are many things to consider before deciding to raise the rent, including understanding your legal obligations and how to minimise the likelihood of losing the current tenant.
Carnelian Property Management Newcastle NSW
We are a family-owned and run Newcastle real estate agent offering expert property management across Newcastle and Lake Macquarie.
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