Got Notice to Vacate - Had Signed and Returned 6 Month Lease Renewal

LSwanson approved on 10/05/2019 - 10:28
Last edited 13/05/2019 - 13:47

Hi all, need help with the current tenancy situation. Will try to explain all details about the situation.

Our 12 fixed term lease was coming to an end, the agent got in touch and asked for preference in renewal (12-month, 6-month & periodic). We went back with preference of periodic(month-to-month) as we were planning to buy soon. However, the agent came back with landlord's proposal to sign 6 month. Discussed with wife and decided to hold off 6 month to help with finances. Got lease paperwork from agent in mail outlining existing terms but for 6 months. Signed and returned to the agent within last month of existing lease. There was an inspection that very month and all went well(we never had an issue of any sorts) with landlord in attendance. They spotted some minor issue issues with the structure and left. Never head back from the agent. We assumed we were good for next 6 months and started planning finances and diverted some into investment as we wont need it for 6 months.

Towards the end of 1st month of supposed new lease, we got a 60 day notice to vacate in the mail to our surprise. Contacted the agent to find out what is going on. All we are told is the landlord didn't return the signed lease to the agent and they are looking to sell. The landlord let the lease default to a periodic lease while pondering over the ownership of the property and upcoming repairs to address the structural issues(imo). We were never communicated that lease is now periodic before getting the notice either by agent or landlord.

We are stuck in a hard place now where we cant rush to buy in 60 days because it will cause loss to withdraw from my investments and we don't want to get another 12 month lease as we don't want to delay buying for another year. Do we have a chance to appeal this to VCAT where somebody has forgone their duty of care and not acted in good faith, or should just suck it up and try other alternatives to find accommodation. Any help will be very much appreciated. FYI we are in VIC and Tenants Union Victoria (TUV) is shut at the moment

EDIT: Also have this conversation with the agent over email where they have apologized and offered help to find another property.

Thank you all for you inputs and thoughts. Had a chat with TUV this morning. TUV advice: We have a strong case to go to VCAT as lease provided for us to sign was 'Intention to Deal' and should be binding as there was no communication/notice that the offer was being reconsidered. Even if the documents were unilaterally signed, that was our part and intention was there, it was the other party where Intent is called into question. We should apply for VCAT to make a declaration that the contract be made binding and dates on contract should be applicable.

Home & Garden

Comments

  • [Deactivated] on 10/05/2019 - 10:36
    +7

    Never head back from the agent. We assumed we were good for next 6 months

    You should have followed this up. You are now paying the lazy man tax.

    • Swanson approved on 10/05/2019 - 12:46
      +2

      life lessons maybe. But surely that doesn't entitle them to do what they did.

  • redforever on 10/05/2019 - 10:55
    +1

    I don't recall ever signing any leasing agreement when my rental property was let.

    The only agreement I have signed is when I engaged my property manager. I think it authorised the property manager to act on my behalf.

    They did ask for my approval for decision making but only via email. In your case, given the owner was the one proposing the 6 months agreement, I would seriously expects the agreement to start when you return the signed form. Maybe check the agreement to see if the owner is required to sign.

    • Swanson approved on 10/05/2019 - 12:45

      This has been my past experience and hence why i was surprised by this. Agent is playing the victim saying they tried to chase the landlord but didn't get anything back until the decision asking them to serve the notice.

  • neil on 10/05/2019 - 10:57
    -2

    Do we have a chance to appeal this to VCAT where somebody has forgone their duty of care and not acted in good faith, or should just suck it up and try other alternatives to find accommodation.

    Yes, best to wait to hear advice from TUV. Keep in mind it's difficult for a landlord to actually remove someone from the property especially when there is a dispute as in this case. They can say 60 days and if you are not out they'll have to go through a further procedure. You have room to negotiate here.

    • Swanson approved on 10/05/2019 - 12:43

      Yes, will speak to them and get some advice. They are due to open Monday next week

  • stratbargain on 10/05/2019 - 10:59
    +6

    If they are going to sell in this current market there is a good chance the house will be on the market for 3-6 months.

    Do you really want strangers walking through your home 1-2 times a week for inspections? Because they are completely entitled to do that with the correct notice if you had signed for another 6 months.

    Take this as a blessing and move out.

  • [Deactivated] on 10/05/2019 - 11:39

    If both parties have signed to continue for 6 months, surely they can't vacate you.

    Unless it is only unilaterally signed in which case…

    • Seraphin7 on 10/05/2019 - 12:47
      +1

      It would appear the latter is the case …

    • [Deactivated] on 10/05/2019 - 19:38
      +1

      Unless it is only unilaterally signed in which case

      Presumably the RE drafted the new 6-month lease agreement upon receiving instructions from the landlord. The tenant signed the agreement in good faith, why should he be penalised? I would take it to VCAT.

  • SnoozeAndLose on 10/05/2019 - 12:06

    I dont think landlord need to sign on the least for renewal as it should be between the agent and the tenant. Landlord just has the contract between agent and themselves which authorise the agent to do the renewal

    I am in NSW cant speak for different state.

    • Swanson approved on 10/05/2019 - 12:42

      Agent is playing the victim card as well, stating they have been put in similar tough situation and the sale is happening with different agency

      • SnoozeAndLose on 10/05/2019 - 13:03

        Nothing to do with you. If you have a signed copy then you can use it with N or V or QCAT. Landlord need to put the sale on hold until your six months is up

        • Swanson approved on 10/05/2019 - 13:06

          The agent specifically requested all 3 copies to be signed and returned which we did.

  • esosite on 10/05/2019 - 12:12
    +3

    i had a similiar situation in QLD and all we had was an email confirmation for lease extension for about 4-5 months confirmed by all 3 tenants. (we were travelling away so couldnt sign and return lease).

    we got home and they had put notice to vacate and by time we were back we had about 7 days.

    went to QCAT and contract was deemed effective based on email confirmation alone. I think you would have a pretty reasonable chance of winning with VCAT especially if you have email records of extending lease and that it was returned. They can't exactly shred or discard the contract you returned which was signed.

    They shouldn't have offered you the lease extension and contract to sign as others have said, i think that is binding.

    Edit: as others are saying having inspections 1-2/week is a pain, and if you piss the agents off doing this it might make life more difficult. Good luck :) Happy to go into more details about my QCAT experience if it helps

    • Swanson approved on 10/05/2019 - 13:13

      Thank you for explaining your experience. Are you able to pm any further details regarding what sort of confirmation you had that was upheld by court?

  • [Deactivated] on 10/05/2019 - 12:12

    Got lease paperwork from agent in mail outlining existing terms but for 6 months. Signed and returned to the agent within last month of existing lease.

    Did you keep a copy of the lease paperwork? Was it sent back by registered mail to the agent? Do you have anything in writing to prove that you were offered a 6-month lease and you agreed to it?

    • Swanson approved on 10/05/2019 - 12:41
      +1

      That correspondence with the agent happened over email and have got those handy. Also, the cover letter which came with the renewal lease states that it is a 6 month lease that needs to be signed and returned to the agent for renewal is with me.

      Unfortunately had returned all signed copies as it asked for all 3 back. I didn't cater for malicious intent then, should have taken scans.

      • [Deactivated] on 10/05/2019 - 12:57

        Did the agent ever acknowledge receipt of your signed lease agreement in writing? I would still take my chances with VCAT if I was you.

        • Swanson approved on 10/05/2019 - 13:02

          Unfortunately not. it was returned in regular post envelope that was enclosed with the lease. I did converse over the phone because they rang me as post was late.

  • holdenmg on 10/05/2019 - 12:45

    Wonder if the owner actually wants to sell and can't list it for sale until the minor issues with the structure are attended to.

    Seems odd that the landlord was in attendance at the inspection as well…

    I sense that the agent handling this might also become the selling agent if it were listed for sale.

    I don't suppose you are financed to or want to buy the property as is? :+)

    • Swanson approved on 10/05/2019 - 12:51

      Definitely not that property. I was home when 1 of the repairer came to have a look and do the quotes, he said this an engineering issue and not an easy fix and he wouldn't be doing any patch work. Then another guy did come out and basically filled cracks with foam and plastered over them

      • holdenmg on 10/05/2019 - 12:53

        Yeah, that is the "It's a rental" answer.

        Buyer beware if the place is listed for sale.

        Whether is actually structurally safe to live in… who knows?

        • trustnoone on 10/05/2019 - 15:38

          Whether is actually structurally safe to live in… who knows?

          Yeah, wondering if its better to move out just for safety to be honest. If it helps OP I've heard a few places within Sydney City is maximum 3 month contracts (then moves to month to month afterwards) due to an apparent zoning law.

  • crashloaded on 10/05/2019 - 15:02
    +1

    Find out what the law is regarding legal time frame the landlord has to notify that the 6 month lease is not going to be approved. Usually they have to respond within 15 days (in QLD) of you giving your notice of intention to renew.

    If they did not respond within this time frame to tell you that they are not approving your renewal, they have no case.

    Your agent is acting on behalf of the landlord so it is their responsibility to inform you within that time frame that the renewal you signed is not going ahead.

  • Meho2026 on 10/05/2019 - 15:19
    +1

    The agent is a liar.
    Like a few people have mentioned, the landlord never signs a lease renewal.
    Tell the agent you have a copy of your signed lease and you intend to hold them to it and take the matter to the tenancy tribunal.
    Most likely the agent will back off.
    The owner has obviously changed their mind and decided to sell after you signed the new lease. Dont let them away with it.
    Stop communicating with the agent by phone and use email so you have evidence, most real estate agents have a dumb arrogance that means they inevitably trip themselves up and put in writing something that gives you ammunition.

  • iand on 10/05/2019 - 15:27
    -3

    get another place and wait at least 12 months before buying, don't forget Labor will most likely win the election and Shortarse has promised to lower the price of houses so best to wait than buy now and have him honor his promise and make it worth less than you paid

  • Swanson approved on 10/05/2019 - 16:41
    +1

    Would like to address as it is a common theme in comments, We don't have a copy of the signed lease as all copies were returned to the agent(specifically requested by them). I however have the cover letter saying exactly the same, signed by the agent, emails informing us of the landlord preference of 6 month renewal and acknowledgement that they will draft up the aforementioned lease paperwork and send to us for signing.

    Also have switched communications with agent to e-mail for keeping record.

    • Meho2026 on 10/05/2019 - 16:47

      Call the agents bluff and tell them you do have a copy of the lease you signed.

      • crashloaded on 10/05/2019 - 18:09

        yep this is about your only option, because without a signed and dated copy, they can just say it never happened.

  • theguru1 on 11/05/2019 - 07:44

    Thus is the way I see it. The owner offered 6 months and you accepted it.
    Take it to Vcat, I think they would have the same opinion.

  • Potofgold on 11/05/2019 - 10:43
    +1

    If you still have the cover letter and a copy of an email stating the agent never received from the landlord (in WA the agent always signs on behalf of the landlord) should be enough to prove the 6 month extension was agreed.

    However if you do choose to fight, it could cause a lot more issues for you down the track, especially if the landlord decides to nitpick over minor things at the final vacate inspection, which can hold up the bond release and result in having to go to court and fight for it. Plus the downside of having people through the property to view. I would try to maintain a good relationship with the property manager, and ask for their help securing a new property for 6 months given the situation. Even if the landlord didn't return the lease, the real estate should have definitely kept a copy before sending.

    • Swanson approved on 12/05/2019 - 20:39

      I am just cross with the whole treatment. We have always been ideal tenants, never an issue with anything and yet landlord and agent did this. I understand the system is biased towards landlords and agents get paid by the landlord, but they definitely have a duty of care towards tenants.If it were not for tenants, there will be no rent

      • Potofgold on 13/05/2019 - 10:27

        I totally agree with you. Another option would be to speak with the licensee of the company. Given the property manager offered you a 6 month lease which you accepted, they can't just wash their hands and say it's out of their control now. Make sure everything is in writing even phone calls, follow up with an email summarising the conversation.

  • HeWhoKnows on 12/05/2019 - 18:55
    -1

    If the agent did not forward a fully signed copy of the lease to OP then one was never effected regardless of any discussion or forwarded paperwork for signing. Just like any contract! Both sides must sign otherwise its null and void. Just As the agent kindly explained.

    OP needs to move on and re-organise themselves.

    The agent has offered to help knowing the situation so would be sympathetic to OP's issues.

    Realistcially OP has declared that they have no firm dates or plans anyway so nothing lost and nothing gained. Its all just a maybe and OP might not buy at all in the near future.

    • Potofgold on 13/05/2019 - 10:28

      OP received the paperwork from the agent, which was signed and returned.

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