You've Been Approved. What's Next?
Congratulations you have been approved, here are the next steps.
Your agent will be sending you through a number of documents to sign. It is important that you understand what you are signing. Read everything put in front of you.
Agreements, Bonds, And Reports: Knowing The Nitty Gritty
General Tenancy Agreement (Form 18a) and Tenant’s Acknowledgment
This is a legally binding document between yourself and the landlord, commonly known as the lease. Make sure this document is given to you and that you read it carefully. Ask any questions or seek clarification before you sign it.
The tenancy agreement will include:
- Name and address of each tenant, the owner and the property manager
- Lease start and end dates
- Rent – how much is to be paid, when it is to be paid and how it is to be paid
- The length and type of tenancy
- The amount of bond required
- Standard terms – what the tenant and the owner/property manager can and can’t do
- Any special terms
- Any other conditions or rules
Bond Lodgment (Form 2)
A bond is separate to your rental payments and acts as security for the landlord if you don’t meet the terms of your lease agreement. The amount of bond is equivalent to 4 x the weekly rent. This must be paid before you take possession of the property or you may be eligible for a bond loan. Bond loans are available through a variety of organisations.
Your Bond is held by the RTA (Residential Tenancies Authority) and will be released to the tenant upon satisfactory vacate, which is determined by the property manager. A satisfactory vacate is when the property is left in the same condition as when you moved in (subject to the ECR – see below), with fair wear and tear taken into consideration, any outstanding rent and your final water invoice is paid. At times funds from the Bond may be used for cleaning and/or repairs required to meet a satisfactory vacate. Upfront and clear communication with your property manager will assist with this process. (more about vacates in a separate blog)
Entry Condition Report (ECR)
The ECR goes into detail about the condition of the property prior to the tenant moving in. Details include fittings and fixtures, any damage or wear and tear on the property. It is your responsibility to check the ECR against the property itself to make sure you are satisfied. You may add details about any repairs/issues you have noticed in the property. It is also a good idea to take date stamped photos of the property before you move in. By you taking your own photos and if there is a disagreement between yourself and the agent, these photos may help in bringing any disagreement to an end.
Tenants are given 3 days to check the ECR and make any additional comments/notes on the report and return their signed ECR to the property manager. You will then be provided with a copy of this ECR within 14 days. If you do not return a signed copy of the ECR, the initial office copy will be relied upon at vacate.
Other Documents
Electronic Transmission Consent (ETC) – authorizing the agent to use electronic communication, eg. sms/text messages, emails.
Simplerent – a preferred way of paying rent via a centralized rental payments management program. Direct debit, set and forget.
When everything is completed and your move in date is upon you, your property manager will provide you with the keys to your new home and you are officially a RENTER!! Have fun but be respectful.
