Renting out your strata property
Buying into a strata complex is often a common investment choice as they can make great rental properties. Although it is a strata property, the most common way to manage your apartment or unit is through a RE/MAX Extreme property manager. When necessary, the property manager will liaise with the strata manager.
In order to ensure your investment runs smoothly and successfully, here are some things you need to know.
Just like renting out any property, it’s important that both parties enter into a written Residential Tenancy Agreement. In this agreement, the tenant is made aware of any strata by-laws that affect their conduct within the strata scheme.
Familiarise yourself with the strata by-laws
Strata schemes adopt the standard by-laws under the Strata Titles Act and these by-laws may be changed by the strata company. There are two sets of by-laws; governance and conduct. Tenants will only be affected by the conduct by-laws that govern the behaviour of residents and determine how common property is used. If the strata company has amended the conduct by-laws then it’s important for landlords and tenants to understand the specific rules for the strata scheme.
The conduct by-laws may include restrictions about pets, drying laundry, dumping of rubbish, obstructing or damaging common property and noise. Anything that has the potential to be breached should be disclosed to the tenant and outlined in the by-laws. Check with your RE/MAX Extreme property manager that they will be attaching the conduct by-laws to the lease agreement.
It is important to understand your strata lot’s parking entitlement and the right to use any visitor parking and clearly relay that information to the tenant.
Additionally, it is important to understand how the gas, electricity and water are charged. If there are not separate meters for each strata lot, then the lease agreement will have to specify how the tenant will be charged.
The property manager will ensure that the tenant understands that a breach of strata laws can result in termination of the lease.
Seek the assistance of a RE/MAX Extreme property manager
Renting out a strata property can be overwhelming but if correctly handled it can be very rewarding. Just like any investment property, it needs to be prepared before showcased on the market and this can be more complex and time-consuming when a strata scheme is involved.
However, your RE/MAX Extreme property manager will ensure the tenancy period runs smoothly, making it a worthy investment choice.
A RE/MAX Extreme property manager has access to the strata by-laws and also is aware of any by-laws that are due to be lodged and can assist you in ensuring you are adhering to the requirements of the Strata Titles Act.
SOURCE: www.reiwa.com.au
