Navigating the responsibilities of a rental property provider (RRP) can be challenging, with numerous questions arising around insurance, property management, and tenant relations. From understanding the benefits of landlord insurance to knowing when and how to issue a Notice to Vacate, it’s crucial for RRPs to stay informed and compliant with legal requirements. This article addresses some of the most common questions that RRPs face, offering insights into best practices for routine inspections, handling rent increases, managing water consumption charges, and maintaining property safety standards. By understanding these key areas, RRPs can effectively manage their properties and ensure a smooth and profitable rental experience. 

What benefits does landlord insurance provide?

Landlord insurance covers any event that may affect an investment property such as fire/floods, theft, or renters not paying their rent. Landlord insurance is provided by most general insurance companies, and the policies include a combination of landlord insurance, building insurance, and contents insurance to cover the costs of loss of rental income and property damage.

Why do we need professional photography?

Professional photography ensures higher engagement with our listings, as it displays eye-catching and high-quality photos.

How often are routine inspections conducted?

At McKean McGregor, the first routine inspection for a brand new renter is conducted three months into the tenancy, and from there, routine inspections occur once every six months as per the Residential Tenancy Act. This means there will always be two routine inspections conducted per year.

How do I give notice to my renters if I want to sell the property?

If you are wanting to sell the property with vacant possession, we are required to serve the renters a minimum 60-day notice to vacate for the property to be sold with vacant possession. A fully signed sales authority is required to be sent to support this notice. If you are wanting to sell with the renter still residing in the property, we are required to serve a Notice of Intention to Sell to the renter, which allows the renters 14 days to get the property ready for advertising and inspections.

Can I charge my renter for water consumption?

If the property is separately metered, the renter is responsible for the water consumption charges. This applies unless the rental provider agrees to pay, in which case it should be outlined in the rental agreement. At the beginning of a tenancy, we lodge a request with Coliban Water on the renters behalf so that they are separately invoiced.  If the property doesn’t have its own meter, the rental provider is unable to pass on the water consumption charges.

How often can I increase the rent and how do you determine the rental increase value?

The rent can be increased once every 12 months. The rental provider is not allowed to increase the rent during a fixed-term agreement unless the rental agreement has an additional term allowing for an increase. Any properties that rolled over to a periodic lease before 19/06/2019 and have not entered into a new lease since that date are eligible for 6 monthly increases. A rent increase is determined by a comparable market report, where we look at similar properties in the same area that have recently been leased.

How often do the gas, electrical and smoke alarm safety checks need to be done?

Gas and electrical compliance checks are required every 2 years, and smoke compliance checks are done annually.

Can I prohibit my renter from getting a pet?

Rental providers must have a good reason to refuse the renter’s request and cannot unreasonably refuse a pet. Rental providers can apply to VCAT for an order to refuse permission.

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