Copyright 2014 Action Sales Pty Ltd Trading As Garry Saunders Real Estate Page 1 of 13: Landlord Information Booklet

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1 Page 1 of 13: Landlord Information Booklet

2 Company Details Action Sales Pty Ltd Trading As Garry Saunders Real Estate ACN: ABN: Real Estate Agency License Number: Licensee: Garry Saunders & Andrew Saunders Real Estate Agent Licence Number: & Phone: Fax: Postal: PO Box 554, ROCKHAMPTON, QLD Website: Service Guarantee Our agency strives to provide our clients with the best possible service at all times; from customer service, to a number of modern and innovative concepts we have introduced to our property management services. Our office offers multiple payment options to your tenants to minimise any rent arrears. We conduct daily rent arrears audits and pride ourselves in being prompt with our mid and end of month disbursements and statements. We offer our landlords copies of digital images of our routine inspection photos. Our agency will run a background check on every tenancy application; our agency also subscribes to TICA, exclusively offered to real estate agents. We invite our clients and customers to embrace our modern services; and we still offer traditional services for those who don t have computers or the internet. Our office can provide you with your full residential real estate needs. Should you not be happy with the service we are providing, please forward a complaint in writing in order for us to rectify this promptly. To The Licensee in Charge Garry Saunders Real Estate PO Bo 554, ROCKHAMPTON QLD to: admin@gsaundersre.com.au Page 2 of 13: Landlord Information Booklet

3 Introducing our Property Manager... Andrew Saunders (07) Andrew has been in the real estate since October 2003, over his 12 year career in the industry Andrew has worked in all aspects of real estate reception, administration, property management, commercial leasing and management, residential and commercial sales. Andrew has spent most of his career in the property management field which at times can be quite challenging however can also be quite a rewarding. Andrew looks forward to working with his customers and clients and he prides himself in his honest, reliable and can do approach. Page 3 of 13: Landlord Information Booklet

4 Rent Payment Options for Tenants Our office offers a variety of payment options for your tenants to reduce and eliminate reasons or excuses for rent arrears. EFTPOS Payment: Visa or MasterCard Debit or Credit Card payment by phone. Cheque: Bank Cheque, Business/Company Cheque, Personal Cheque. Automatic Payment: Tenants can arrange an automatic payment from their bank to ours. Internet Transfer: Tenant s pay rent into our trust account at a time they choose. Direct Deposit: Tenants can pay rent into our trust account at any SUNCORP branch. Centrepay: Tenants who receive a Centrelink benefit have the option of the rent being deducted from their weekly or fortnightly benefit before they receive the payment. *Centrelink Fee of $0.99 per payment processed will be charged to the owner. Tenant Selection Our agency provides tenancy background checks on all tenancy applications submitted to you the landlord for final approval. All applicants are checked on the National Tenancy Default Database known as TICA. Landlords have the final say in relation to tenant selection. Routine, Entry, Exit Inspections Our agency conducts Inspections on the property at least 3 times per year. These inspections are made up from the Routine Inspection, Entry Condition Inspection &/or Exit Condition Inspection. The landlord shall receive photos from each Routine Inspection via or they can be printed at an additional cost and mailed to you with your report. Statements & Disbursements You may choose to have your statements and disbursements either at the End of Month or Mid & End of Month. Each disbursement will attract an administration fee of $6.60 including GST. Rent Reviews & Lease Renewals Our agency will conduct a fixed term lease rent review on your property ninety days prior to the lease expiry date, however for landlord approved periodic tenancies, rent reviews will be conducted once every six months. All lease renewal instructions from landlords must be provided in writing; however should you, the landlord, not be contactable before 14 days prior to lease expiry, we as the agent will act in best interest for the property and renew the lease to the current tenant/s at the current rental value on the same lease terms previously agreed by you to the current tenant/s. Routine Maintenance We require all properties within our company s portfolio to be well maintained and to comply with all local, state and federal laws, regulations or requirements placed upon the property. In accordance with section 185 of the RTRA Act you must maintain your properties. We ask that our landlords give us authority to organise repairs for no less than the value of two weeks rent Page 4 of 13: Landlord Information Booklet

5 to be used at our discretion when required so we can meet your obligations to maintain the property. We ask that you allow us to be able to have the same value as the tenant can spend on an emergency repair as per section 218 of the RTRA Act which is two weeks rent per emergency repair required. We will contact all our landlords that wish to be informed of all repairs on your property; however should the landlord not be contactable in the event of an electrical, plumbing or building emergency we shall organise the repair and inform you as soon as possible. We use as our preferred method of contact as it is fast and covers our agencies requirements to have the landlord s instructions in writing before acting. Repair Advice forms will be given to your tenants during the signing of the Lease Agreement and this form is available from our office at reception. Tenants also now have the ability to report maintenance issues online on our very own website or via . Emergency Maintenance All emergencies will be dealt with in an urgent manner. Landlords will be phoned and informed prior to repair if contactable, if you are not contactable we will organize the repair as required under the Residential Tenancies and Rooming Accommodation Act. This includes issues such as: electrical sparks and shortages, burst water pipes, sewage leaks etc. Please note that section 214 of the Residential Tenancies and Rooming Accommodation Act 2008 states what an emergency repair is and section 218 authorises your tenant to arrange an emergency repair up to the value of two (2) weeks rent per emergency repair. 214 Meaning of emergency repairs Emergency repairs are works needed to repair any of the following (a) a burst water service or a serious water service leak; (b) a blocked or broken lavatory system; (c) a serious roof leak; (d) a gas leak; (e) a dangerous electrical fault; (f) flooding or serious flood damage; (g) serious storm, fire or impact damage; (h) a failure or breakdown of the gas, electricity or water supply to premises; (i) a failure or breakdown of an essential service or appliance on premises for hot water, cooking or heating; (j) a fault or damage that makes premises unsafe or insecure; (k) a fault or damage likely to injure a person, damage property or unduly inconvenience a tenant of premises; (l) a serious fault in a staircase, lift or other common area of premises that unduly inconveniences a tenant in gaining access to, or using, the premises. Page 5 of 13: Landlord Information Booklet

6 We ask that you give us the same spending limit as the Residential Tenancies and Rooming Accommodation Act gives your tenant. Nominated Repairer / Tradespeople Our agency has current creditors / tradespeople we work with on a regular basis such as electricians, plumbers, builders, smoke alarm technicians, painters, flooring specialists, lawn maintenance and handymen. If you have a preferred tradesperson please provide these details on your management agreement. Please be aware that if you nominate your own tradespeople, we cannot issue them with work orders or pay invoices on your behalf without them completing one of our Contractor s Appointment Form and providing us with current public liability insurance policies and expiry dates. Our agency wishes to disclose that we use the following contractors on a regular basis; Electrical: Plumbing: Cleaner: Carpet Cleaner: Pest Control: Handyman: Builder: AMPLEC Solutions H2GO Plumbing & Drainage Achieve Services Achieve Services & Ableclean Amalgamated Pest Control & Achieve Services Bill s Repair & Maintenance Andrew Nouwens Builder Advertising & Marketing There are many tools we use to help rent your property. The most popular being the internet, our agencies vacancies list, office window card display, Morning Bulletin advertisement in Property Week, last but not least, your property will be listed for rent on our own website and the number one real estate website for selling, buying, leasing or renting property in Australia: *Fees and Charges Apply. Arrears Management Thanks to our Property Management Program: Console Gateway 2007, we have the ability to conduct easy to follow daily arrears reports. This program also records all communication with your tenants about their arrears. We have the ability to send a merged text message to all tenants on the arrears list, notifying them of their arrears and the amount owed to be paid immediately. Landlords will be notified and receive copies of all Notice to Remedy Breaches issued to the tenant. If a Breach is not remedied within the required time we will seek a landlord s instruction to proceed with a Notice to Leave. Page 6 of 13: Landlord Information Booklet

7 Court Claims and Evictions Our agency will take any tenants to court under our clients approval, which fail to leave once, issued a Notice to Leave for either rent arrears or any other un-remedied breach such as causing malicious damage to the property. Court claims or applications for a warrant for vacant possession can only be claimed providing the agent or landlord has followed the correct and legal procedure under the Residential Tenancies and Rooming Accommodation Act 2008 such as a Notice to Remedy Breach followed by a Notice to Leave in accordance with the statutory time frames. Our agency will represent you and prepare the claim on your behalf to the Queensland Civil and Administration Tribunal. A copy of the claim in its entirety will be provided to you upon request and you shall be informed of the status such as court hearing date and eviction date upon request. Court fees apply for all claims and the cost varies based on the dollar value of the claim, we will deduct the court fee from rental funds in trust if available or invoice you for the fee. *Fees and Charges Apply. Insurance Claims Our agency cannot handle the entire claim process from start to finish on your behalf however we will assist you in any insurance claims for loss or rent, accidental or malicious or natural disaster damage claims by providing any relevant information or documents to yourself or your insurance provider or assessor assigned to your claim on your request. * Fees and Charges Apply. Compliance with the Law Our office complies with the best of our ability with all Federal, State and Local Laws associated with Real Estate Sales and Property Management. Our office complies with the Property Occupations Act, Agents Financial Administration Act, Residential Tenancies and Rooming Accommodation Act, Queensland Fire and Rescue Act, Electrical Safety Act, Building Services Act, Privacy Act, Trade Practices Act and Work Place Health and Safety Act. Communication Our agency will communicate with our landlords in relation to their investment property on a consistent basis and our preferred choice for all correspondence and communication is . Our office encourages landlords and tenants that are savvy to embrace the use of modern technology and instant communication, we recommend you have a folder in you inbox strictly for your property correspondence, this ensures you have a record of all relevant documents and correspondence. Due to the amount of laws, requirements and red tape in the Real Estate industry we do require landlords to give their instructions in writing in accordance with essential term 7.1 of our PO Form 6 commonly known as the Management Agreement. Page 7 of 13: Landlord Information Booklet

8 Smoke Alarm Obligations As of July , there are a number of legal requirements that must be adhered to by owners of residential rental properties. The legislative requirements fall under the Queensland Fire and Rescue Act Under the legislation, lessors are required to test and clean smoke alarms within 30 days of the start of a new tenancy; this will also apply on tenancies that are renewed with existing tenants. In addition to this obligation, the lessor is also required to immediately replace any smoke alarm before the end of its service life. The service life is indicated in some circumstances on the manufacturer s information supplied with the smoke alarms. One of the most efficient ways to manage this legal requirement is to provide our agency with a budget for this purpose so we can organise suitable contractors to meet your legal obligations. If our agency already has a written authority from you to expend money on your behalf, we can proceed with organising suitable contractors to carry out your legislative requirements. The obligation of the tenant to clean and test the alarm only applies if the tenant has a fixed term tenancy of 12 months or longer, in the case of a periodic tenancy where the tenant resides in the property for a period of 12 months or longer. If there is a fixed term tenancy less than 12 months, such as 6 month tenancy, the tenant is under no obligation to test or clean any alarm. This requirement will need to be fulfilled by the lessor upon each renewal of a tenancy of less than 12 months. Tenants are responsible for the replacement of the battery if during the tenancy they become aware the battery is flat, or almost flat. These services can be paid for from the rental funds where this occurs; we will supply a copy of the invoice with your statement. It is important to note that if we do no not receive instruction from you in this regard; our agency cannot accept any liability or responsibility for your failure to comply with this legislation. If you require further information in relation to the smoke alarm laws refer to the Queensland Fire and Rescue website This information on smoke alarms legislation was supplied by REIQ PLEASE NOTE: Our agency employs a Smoke Alarm contractor to carry out the landlord s smoke alarm compliance obligations. This service is billed at $77 per annum + costs of any replacement alarms required at time of service. Smoke Alarm Contractor: AMPLEC Solutions Jason Swanson Electrician License No Page 8 of 13: Landlord Information Booklet

9 Commissions, Fees, Charges and Services Explained. Rent Collection Commission Management Fee Letting Commission Lease Renewal Fee Entry Condition Report Routine Inspection Fee Exit Condition Report Maintenance Fee Additional Quotes Fee Refurbishment Fee 5.5% Inc GST of all rent collected by our agency. 4.4% Inc GST of the weekly rent (1 property) 3.85% Inc GST of the weekly rent (2 properties) 3.3% Inc GST of the weekly rent (3 or more properties) 110% Inc GST of the first weeks rent Commission charged on placement of new tenant only. $77 Inc GST Fee is charged for preparation and negotiation of any new fixed term or periodic lease agreement. If your tenant does not renew lease no fee is charged. $198 Inc GST Fee charged for preparation of Entry Condition Report at required at commencement of tenancy. Digital photos of the property condition on entry. No Charge, service included in management fee Routine inspection report ed with digital photos 3 times per year. No Charge, service included in management fee Conduct outgoing tenant inspection prepare Exit Condition Report, provide copy to the tenant with any relevant photos of cleaning issued, damages or good left at property. No charge, service included in management fee Arrange routine repairs as per management agreement and emergency repairs in accordance with the RTRA Act. $55 per quote Two quotes will be arranged at no cost for any maintenance item that isn t a basic repair or an emergency repair at your request. Additional quotes will require fee for service. $550 Inc GST This fee is charged when you get our agency to arrange a refurbishment or a minor renovation on the property. The fee is payable upon job request. It covers arranging quotes meeting with tradespeople, getting samples and charts for you. Liaising with the tenant for entry times for tradespeople to quote or carry out work. Page 9 of 13: Landlord Information Booklet

10 Application Processing Bond Lodgement Administration Fee Financial Year Statement Title Search Fee ASIC Search Fee File Closure Fee Express Termination Fee Post Management Service Fee No charge, service included in management fee Verify applicant s rental or ownership history, database checking, reference checking, income verification, 100 points of ID collected. No charge, service included in management fee Receive payment of bond from tenant, provide tenant with a trust account receipt, have tenant sign a Bond Lodgement Form and send payment with form to the RTA. $6.60 Inc GST per disbursement Fee includes costs for phone calls, s internet costs, faxes, postage and printing, and bank disbursements. $22 Inc GST per property, per financial year. Provide Financial Year Statement reflecting or rent received and expenses such as management fees and costs for repairs or rates. $23.95 each Inc GST This is charged for new managements only; legislation requires our agency to have a title on file as proof of property ownership. $27.50 each Inc GST This is only charged if the property is owned in a company name. $220 Inc GST This fee is charged to each property on notice of termination of management. This fee covers the costs associated with copying documents for handover of new agent of lessor and to cover cost of the storage of your file for seven years as required by law. $165 Inc GST This fee is applied in addition to the file closure fee if both parties agree to terminate your property with less than 30 days notice in writing. $88 Inc GST Retrieve files from archives; provide copies in PDF format by of any requested documents. Printed copy incurs and additional hard copy fee of $22 in GST. QCAT Costs QCAT Filling Fee RTA Dispute Resolution Claim preparation Mandatory Mediation QCAT Appearances Warrant of Possession $22.20 Min to $ Max, depending on amount claimed. This is charged by QCAT on lodgement of each claim as a filing fee. $77 Inc GST per hour $110 Inc GST per hour $110 Inc GST per hour $110 Inc GST per hour $110 Inc GST per hour Page 10 of 13: Landlord Information Booklet

11 Insurance Claims Claim assistance from office Claim assistance onsite Advertising Property Signage Standard Internet Package Internet feature listing facebook Marketing Newspaper Advertising Emergencies Attendance Fee Office Hours After Hours Two staff members to meet Police and Locksmith at the property on execution of warrant. Go through the property with the Police and Inspect for damages, file report with Police on site. Take photos of property as evidence of properties condition on handover for Police crime report and insurance claim and then carry out exit condition report on property. $88 Inc GST per hour Liaise with insurance companies, tradespeople, assessors, tenants and landlords. Send copies of documents, quotes or photos required to any parties involved. $110 Inc GST per hour Meet assessors, tradespeople or any other party involved in the claim at the property to inspect any claim issues or to inspect repairs carried out by any tradesperson arranged by any party. No charge for standard For Rent sign. *Custom picture boards available at cost, price on application. $165 Inc GST Fee charged for advertising your property on the internet. Your property shall be listed on the following websites; & $90 Inc GST per 30 days This option is charged in addition to the standard internet package it creates higher exposure for your property on realestate.com.au by making the listing a feature property. $50 Min to $500 Max Inc GST We can list your property on our facebook page than apply marketing boost from $50 onwards is our recommended social media campaign. Make sure you share amongst your friends on your facebook page to increase the exposure on your property. Price Available on Request Please note that newspaper ads will only be run at your request. Prices will be obtained from the newspaper at time of query. $110 Inc GST per hour Fee is charged if attendance is required for emergencies such as in the event of a fire, flood, storm and impact damage. $165 Inc GST per hour Fee is charged if attendance is required for emergencies such as in the event of a fire, flood, storm and impact damage. Page 11 of 13: Landlord Information Booklet

12 PREPARING YOUR PROPERTY FOR RENT First impressions last, from the moment a prospective tenant arrives at your property they should be drawn into the home. A tidy home says "Welcome" and "Come Inside". Long grass, untidy gardens are not attractive. Take a look at your property from the street - does anything stand out as messy or untidy? Always remember- first impressions do matter! It is best that you present your investment property to the exact standard that you would expect a tenant to leave it. The following items should be attended to before we begin showing prospective tenants through the property. Neat, tidy & well presented yard/gardens & exterior of the home make for great first impressions. Carry out general pest control for cockroaches, ants, spiders & silverfish also flea control if pets have been kept at the premises. Service garage doors to make sure they are in good working order and make sure remotes have fresh batteries. Have all air-conditioners/split systems/breeze-airs serviced and be sure to clean all filters also make sure remotes have fresh batteries. Be sure to have all carpets & soft furnishings steam cleaned and blinds, curtains etc recently washed. Ensure taps & fittings in bathrooms/kitchen/laundry are not dripping; including exterior taps in gardens and under house. Be sure to have your bathroom sparkling, free of mould, mildew, soap scum & calcium build-up etc... Remember to clean the sometimes forgotten smaller areas of the home such as: window & door tracks, ceiling fans, light fixtures, window sills, back of cupboards/drawers & under laundry tubs. Ensure the oven is exceptionally clean and replace any badly corroded elements and trays. Be sure all appliances work such as dishwasher, air-cons, microwave etc, if not remove them from the property if you don t plan to repair or replace them. If your property has been vacant even for a short period of time, it can become musty and dusty...it s a great idea to have a presentation clean and a nice refreshing fragrance sprayed through-out. Page 12 of 13: Landlord Information Booklet

13 Privacy Policy Your privacy is important to us. This statement outlines our policy about how we manage personal information. From time to time we find it necessary to change this privacy policy to reflect changes in the law or our commercial activities. The latest version of our privacy policy will always be available from our office. We are bound by the National Privacy Principals and our procedures regarding personal information are designed to ensure that your rights under the National Privacy Principals are protected. Who are we? We are an independent, local and privately owned real estate firm our activities include residential sales; commercial sales; commercial leasing; residential and commercial property management; appraisals for commercial and residential property. Openness We will be open about how we handle personal information. We will do this by: *Telling you when we collect personal information, what we use the information for and to whom we may disclose it. *Giving you more detailed explanation of our Privacy Policy when you ask for it. *Giving you access to personal information that we hold about you when you ask for it. You have the right to access personal information that we hold about you under the National Privacy Principals. Details of how to make a request for access are set out at the end of this privacy policy. We may charge you a small fee to cover any costs which we incur responding to your request for access such as photocopying cost or facsimile charges. Why do we collect personal information? We collect personal information in the course of our real estate business for a variety of reasons including: to keep ourselves informed of the prevailing conditions of the property market in our area. to identify and market to potential vendors, purchaser, landlords and tenants in our area. to draw up contacts for the sale or lease of the property to assess the suitability of prospective tenants on behalf of landlords for whom we act to manage tenancies to provide appraisal services We also collect personal information about persons who: apply for employment with our agency: or are involved in the supply of goods and services to our company We do not actively collect sensitive information. We may from time to time hold sensitive information about job applicants. We will not disclose this sensitive information to anyone else. We may also hold some sensitive information time to time about prospective tenants. This material may be used to consider a tenancy application to the extent that it is not unlawful to do so. To whom do we disclose personal information? We may need to disclose personal information to various p people to carry out the service we are engaged to provide. For example we may need to give details about a tenant to a contractor to arrange repair of premises. We may also pass on personal information to a property insurer or a landlord s insurer to process a claim on behalf of the property owner. We may disclose personal information from time to time to other agents, to introduce vendors to purchasers or landlords to tenants. We will seek your consent before passing on your information in this way. Unless you tell us not to we will provide your details to service providers such as property valuers or building inspectors. Management and storage of personal information. We take active steps to protect the security of personal information. We train all our staff about the need to protect your privacy and we will regard breaches of the National Privacy Principals as serious matters. Some of our records are paper based. These records are kept on secure premises away from the general public. We also keep some information in an electronic form. Records kept electronically are within a secure computer system, which contains features such as password access and the latest virus protection. We may keep information for at least 7 years after the completion of a transaction for legal reasons. After that time we will de-identify or destroy the personal information. How do we make sure that information is accurate, complete and up to date? We try to ensure that any personal information that we hold is accurate complete and up to date. We do this by collecting information from you directly or from reliable sources including publicly accessible data bases. If we become aware that the information is inaccurate, incomplete or out of date on our records we will correct that information or if necessary delete it from our records. Contacting us about privacy issues If you wish to: Obtain more information about our Privacy Policy; Obtain access to personal information that we hold about you; or Contact us because you believe that we have breached your privacy;, Then you may contact our Privacy Officer. We will respond to inquiry or complaint promptly (usually within 14 to 30 days). Our Privacy Officer s contact details are Andrew Saunders (07) or andrew@gsaundersre.com.au In addition you can phone the commonwealth Privacy Commissioner s hotline on if you are not satisfied with our response. Definitions ¹ Person Information is information or an opinion (including information or an opinion on a database) whether true or not, and whether recorded in a material form or not, about an individual whose identity is apparent, or can be reasonably ascertained from the information or opinion. 2 Sensitive Information is information or an opinion about an individuals health, racial, or ethnic origin, political opinions, membership of a political association, religious or philosophical beliefs, membership of trad union or professional association, sexual preference or criminal record. Page 13 of 13: Landlord Information Booklet

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