Discovering Australia

Understanding the Rental Contract Prior to signing the lease, it is important to read and understand the terms of the rental agreement. Your Dwellworks consultant will act as your advocate during the process. In some states, rental contracts for apartments are usually in a standard, pre-printed format, while in others there are usually minimum conditions which cannot be reduced by landlords. The contract will outline the length of time you rent the property, how much notice you need to give when you plan to move out, the rental amount, the responsibilities of both parties and it should provide a fair balance between the landlord and tenant. Be sure to read the contract carefully, as once it’s been signed, its conditions will be legally binding. Details relevant to the property are filled in by the landlord and or real estate agent. Duration of Rental Contracts There are usually two types of rental agreements: fixed-term agreements and periodic agreements. Fixed-term Agreement This type of agreement is generally signed on a six-month or one-year basis, although it can be for any period as long as the period is fixed. The fixed-term agreement cannot be terminated easily before the end of the lease term. This applies to both sides, the landlord and the tenant. Tenants are liable to pay rent up to the end of the lease period. In case landlords want to early terminate the lease, tenants cannot be evicted unless the landlord obtains an eviction order. In order to be evicted a tenant must be in breach of lease, e.g., by damaging the property, failing to pay the rent, refusing the landlord entry. It is advisable not to sign a fixed-term agreement that allows for rent increases during the term. Periodic Agreement The contract is valid for an unlimited period of time; there is no set finishing date. It can be cancelled by both parties with the legal cancellation requirements that apply to each state and territory. Rent may be payable weekly, fortnightly, monthly or any other period agreed by the both you and the landlord. Most states have a Residential Tenancy Tribunal to investigate complaints by landlords and tenants, and disputes over bonds, evictions, excessive rents and repairs. Transfer/Diplomatic Clause Your employer may require that a Transfer or Diplomatic Clause be included in your lease. This allows you to terminate the lease without a large monetary penalty in the event that you are transferred. If your company requires a Diplomatic Clause, your consultant will help you negotiate the inclusion of this clause. Please note: not all landlords are willing to include this in the lease; your consultant provides guidance in the event that a landlord is unwilling to accept a transfer/diplomatic clause.

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Discovering Australia