Rental Lease Help needed

Hi,

I have been renting for 2 years at this property in Brisbane. After 1 year I requested a month on month lease, which according to the agent was not acceptable by the owner and did a 6 month and because of pandemic I extended for another 6 months (with a rent increase and I sucked up the cost). Now they have come back with 1 year with no other option.

Ideally I would like month on month and happy to give 2 months notice. In my previous rental, this was not a problem, but the agent here is too rigid. I would like to move out as soon as it is safe to do so.

What are my options? want to be polite and want to go with short term lease (want to buy a property and move out) and I need to reply soon.

Any help and suggestions would be great. I don't want to be thrown out (have had excellent payment and cleanliness history) but want to negotiate a short term lease.

Comments

  • +13

    Now they have come back with 1 year with no other option.

    So your contract is almost up? Give notice and move out.

    but want to negotiate a short term lease.

    If the owner doesn''t want that, then you don't have that option.

    • +2

      I don't believe this is correct:

      https://flatmates.com.au/info/qld-landlord-termination

      "The landlord can lawfully terminate the agreement without a specific [reason] as follows.

      Terminating a Fixed Term Tenancy: 2 months notice - if the landlord does not have a specific reasons for termination, they can terminate a fixed term tenancy at any time after the end of the fixed term. The landlord must give at least 2 months notice. The notice [may] be given before the end of the fixed term." †

      You are always entitled to say you're arranging your affairs and to give you another week to consider your options. It's on the landlord to work out you are not going to sign another year extension and issue that notice. Equally there's nothing "bad" about being evicted because the fixed term contract has expired - so don't sweat it. However why a landlord would want the hassle of replacing a tenant in this economy is beyond me: Queensland is now shutting out swathes of people from New South Wales, Victoria and overseas. Personally I wouldn't sign a year extension and see what happens. You may get evicted but, if you do, that was the likely outcome all along.

      † You might want to double-check these details though - the missing words that I added in square brackets don't inspire confidence in the source.

      • +1

        It looks like they are still outside of the two months notice required as OP says he his happy to give two months notice.

        As a landlord, I'd normally ask if the tenant wants to renew a 12 month lease around the 3 month period and if not, give the two month notice.

        • +1

          Well it's your choice - my experience has been that landlords and agents are typically not that organised. But, out of interest, are you still insisting on a 12 month contract in the current market?

          • @markathome: I just had them move out at the end of the lease. Currently doing a little work to sell it in the next couple of weeks and upgrading my main place.

  • +1

    Yes almost up, like I said I want to purchase another house and move out… The timing now is not right.

    • +5

      Bad luck. Go to a caravan park if required.

  • +5

    What options are you looking for? You either accept the landlord's terms or don't and move on elsewhere.

    • +1

      Theres a notice period of 90 days the owner must give in nsw.

      • +1

        Even if you have a fixed term contract end-date?

  • +2

    They can't "Throw" you out per se, but it would be that once the contract is over you would have to ensure you've paid up fully and then leave on the agreed date. They can't really tell you off if you do everything right.

    Not surprised agent is trying to lock you in, it means less work for them and many areas are going down in rental prices because of intl students unable to rent for uni+ people losing jobs so not upgrading or staying with family + people not wanting to move during the pandemic (plus other reasons).

    Don't know what its like in Brisbane though, but the market has changed quite a bit here, I easily negotiated a drop in rent of $50 a week and honestly I'm still higher then everyone around me (but am okay with it, the agent is nice to deal with so would pay more). Honestly if you look around I wouldn't be surprised if you could find a cheaper place that better supports the time frame you're looking for?

    Just keep in mind agents are wary for the 3 to 6 month lease time because thats when uni ends and people are even more with family due to Christmas and less likely to move and many agents are on holidays in the christmas break so they'll want to push past it.

    • Excerpt of what I received: what do you think

      Please see attached the General Tenancy Agreement renewal. May you please sign and return by the 21/08/2020.

      If we do not receive the attached signed General Tenancy Agreement renewal from you by 21/08/2020, we will believe that you want to leave at the end of your current lease (18 Oct). We will start to organise prospective tenant inspections and have the apartment advertised on realestate.com.

      In the event that you do not extend your lease I have attached a form 12 which is a Notice to Leave it has the end date of your current agreement. Please disregard this notice if you are intending to renew your lease. We attach the Form 12 according to the guidelines set by the RTA (Residential tenancies authority).

      • +4

        I think your choices are quite clear.

      • +4

        Basically you can choose to renew lease or give notice to leave.

      • They could use this strategy to intimidate you. Check properties around you and for how much they market. If you are paying more or the same, they would be stupid to evict you.

        • +3

          How is that intimidating? They wan't him to sign a lease, otherwise they'll look for someone who will.

          • @ozhunter: His lease would convert to a period lease. The contract won't end if he does not sign the extension.

            It is intimidation because it does not mean the agent will not change his mind the moment OP tells him he is not signing, but he would like to continue with the period lease. It is questionable if the agent can find a new tenant who will pay the same in the current times. That's why I said it depends on how much he pays compared to other properties offered in his area.

            • -1

              @Mistredo: The owner wants a tenant on a 12 month lease. The OP is more than welcome to be that tenant or they can choose to move out. No intimidation at all.

              It is intimidation because it does not mean the agent will not change his mind the moment OP tells him he is not signing,

              who knows if he will or won't

              It is questionable if the agent can find a new tenant who will pay the same in the current times.

              Irrelevant. That's the owner's problem. Nothing to do with the OP.

              • @ozhunter: Exactly, it is unknown what he will or won't do. The property market is currently struggling, so it is not wrong to assume the agent might budge.

                I don't think it is irrelevant to ignore if the agent will be able to find a new tenant for the same price. It gives OP a lever for negotiation. The market is currently on his side.

                • -1

                  @Mistredo: It is irrelevant.

                  If the owner wants to risk finding a new tenant who will sign a 1 year contract, that's his choice to make. Based on the OP's comment, that looks like what he is going to do.

                  • @ozhunter: If you see all things as non-negotiable, then sure. A lot of things can be changed even when they appear they were already decided.

                    If you read this comment https://www.ozbargain.com.au/node/555560#comment-9083719 you will see it is not uncommon for agents to use this strategy but budge the moment a tenant says ok, I am leaving.

                    • -1

                      @Mistredo: Maybe they are bluffing, maybe not.

                      If OP wants to take that risk, it's up to him.

  • The joys of renting.

    That's why they are called the landlord and you are called the tenant.

    If you don't like their options then don't sign the contract and move out.

    • +14

      Actually you can just not sign the contract and stay until they say you have 2 months to leave. I've ignored many requests to extend leases and agents just tend to forget about you if you're otherwise a very good tenant.

      • That's what I did when renting and didn't want another 12 month commitment. In the end, if you're still paying rent why would they want the hassle of finding a new one, there's almost always a bit of downtime/lost rent between tenants, which is not ideal for the landlord or agent.

        • Exactly, they are just playing hardball. This is a great time to move on anyway, lots of bargains around.

        • Often the reason is because then you can determine the schedule and plan it around your needs.

          Just an example, but if a tenant on a month to month gives notice to move out in December, it's harder to get new tenants. You may always go away around a certain time of the year and not want to deal with the Real estate while you're away.
          Therefore you try and organise a 6/12 month lease so that you can avoid inconvenient times.

      • +4

        Finally, a correct answer rather than just the usual OzBargain crap of “you’re a tenant, if you don’t like it leave”.

        • Lol.

          He can leave or he can sign the lease, it's his choice to make.

  • +6

    I extended for another 6 months (with a rent increase and I sucked up the cost).

    When everyone else was getting reductions you took a increase? WTF!

    Now they have come back with 1 year with no other option.

    Tell them to knock 30% off the rent and you'll sign.

    • 30%! Impressive. I've only ever got $10 off between leases lol.

      I asked for a $40 reduction in rent per week on my current 6 month lease (mid Feb before covid became so apparent, and unrelated to that), they agreed. My lease ends in a few weeks and they've already said they want the rent to go back to original rates. I'd love to continue paying the reduced amount, or get it reduced even further…

      I think them stating they want it back to normal means they're unlikely to negotiate again :(

  • +8

    UNless they have other tenants lined up ready to go, they aren’t kicking you out. If you don’t re sign a lease then you are automatically on periodical lease.

    • Agent has said if I don't sign, would mean I am not taking the offer and ending the current lease as per the date

      • +14

        The Agent is not correct and seems to be deliberately misleading you. As loulou1 says above if you don't re-sign then you automatically move to a periodic lease and the Agent cannot force you to sign a new lease, the only thing they can do is give you notice to vacate and in Queensland it appears the notice is two months https://www.rta.qld.gov.au/forms-resources/forms/forms-for-g…

      • True, however, It is up to them to provide you with a notice of termination, which may be 3-4 weeks from memory.

      • +1

        They still have to give you notice of to move out, even if your contract expires.

        It depends on how the agent has worded it. It may be worded so that you are effectively being given notice of termination unless you choose to renew the lease.

      • +2

        If you don't sign, the contract is over and you start a new contract called "periodic lease". Agents hate this because it means they cannot kick you out without a 2 months written statement, whereas the tenant only needs to give a 2 week written notice.

        But that's all moot, since no landlord/agent is allowed to kick any tenants out at the moment due to the pandemic situation.

        For once in a lifetime situation, tenants have equal power with landlords. Landlords hate this, so by proxy their employees (the agents) also hate this. Which is why they are trying to pressure you into signing the agreement, and they will use false information to do so as long as it is not written/traceable. Keep that in mind. The agents are not your friends, they can be, but seldom they are.

        • and they will use false information to do so as long as it is not written/traceable

          Already served Form 12 NTL

          Moratorium ends 20/9 and lease ends 18/10

        • …it means they cannot kick you out without a 2 months written statement, whereas the tenant only needs to give a 2 week written notice.

          then

          For once in a lifetime situation, tenants have equal power with landlords.

      • +1

        may be agent want to generate revenue (new contact fee from Lanlord).

      • Nope, they need to give you notice. That’s just crap

        • He already got the notice (Form 12). Read his other messages.

          • +1

            @Mistredo: Nah. That won’t hold up. They need to give you written notice not an “if you don’t do this, then…”

            • +1

              @Vote for Pedro: His message says Form 12 is filled and attached to the message he received from the agent, so that should qualify as written, no?

              I am quoting:

              In the event that you do not extend your lease I have attached a form 12 which is a Notice to Leave it has the end date of your current agreement. Please disregard this notice if you are intending to renew your lease. We attach the Form 12 according to the guidelines set by the RTA (Residential tenancies authority).

              • @Mistredo: Still needs to give the required 2 months notice, which it doesn’t appear to do.

                Also, seems to be contract by coercion which doesn’t pass the typical aussie pub test.

                I’d love to get more details from OP but also opinions from others as to whether this coercion would stand up.

                At the end of the day OP will have nothing but PITA with this agent so I’d wish them well and bugger off. Owner will likely back down as there are re leasing costs for the owner. These often take weeks to recover if owner increases rent.

                • +1

                  @Vote for Pedro: His lease ends in October, so the agent is giving him 2 months notice.

                  But yeah, I agree this agent seems PITA.

                  • @Mistredo: Fair enough. Still unreasonable to offer contract by coercion but I’ll let smarter people debate whether that is legal.

                    I’ve had mostly fantastic rental agents where we recognise the mutual interest and obligations, but there is high turnover in their game. As soon as I sense a new agent trying to ‘stamp their authority’ i hit back three times as hard. That way we come to a mutual understanding.

                    Only once have i decided the agent was going to continue to be a PITA and left, but I did this by making them give me notice.

                    Again, I only do it if a new agent wants to play the master / servant game (usually the early to mid 20’s “I’m the rental manager” type)

  • +4

    You don't have to sign a new lease - you automatically go monthly when it ceased. To do that you literally do nothing - just tell REA you won't sign a new lease and happy to go monthly. Monthly means they can give you notice to leave however but why would they?

    I'd just do that as the market is so poor they won't be able to get new tenants in quickly and probably not at the same price.

    • +2

      And if the LL do find new tenants, the LL can give the minimum required notice period and OP is out of there.

      Going month to month is a double edged sword.

        • +1

          I didn't think you can refuse it if they give proper notice?

            • @Mechz: So the LL is following due process and exercising their legal rights afforded by a mutual agreement with the tenant…

              … and you are suggesting using deception to squat?

              • -7

                @[Deactivated]: If you think paying rent to live somewhere is squatting, then sure, why not.

                • +1

                  @Mechz: I'll let the squatters know that the only reason why they are doing something illegal is because money hasn't changed hands. It has nothing to do with contracts and property owners are not entitled to said property.

                  Everyone else is making suggestions within the law. You're encouraging deceit.

                  • -2

                    @[Deactivated]: It's all in the contract if you could be bothered reading, This is from a standard tenancy agreement used all over.


                    6 - Continuation of fixed term agreement – s 70(1)
                    This clause applies if – (a) this agreement is a fixed term agreement; and(b) none of the following notices are given, or agreements or applications made before the day the term ends (the end day) – (i) a notice to leave;(ii) a notice of intention to leave;(iii) an abandonment termination notice;(iv) a notice, agreement or application relating to the death of a sole tenant under section 277(7);(v) a written agreement between the lessor and tenant to end the agreement.(2) This agreement, other than a term about this agreement’s term, continues to apply after the end day on the basis that the tenant is holding over under a periodic agreement.

                    Division 8 When agreement ends
                    Ending of agreement – s 277(1) This agreement ends only if – (a) the tenant and the lessor agree in writing; or (b) the lessor gives a notice to leave the premises to the tenant and the tenant hands over vacant possession of the premises to the lessor on or after the handover day; or(c) the tenant gives a notice of intention to leave the premises to the lessor and hands over vacant possession of the premises to the lessor on or after the handover day; or(d) a tribunal makes an order terminating this agreement; or(e) the tenant abandons the premises; or(f) after receiving a notice from a mortgagee under section 317, the tenant vacates, or is removed from, the premises.Note – For when a notice to leave or a notice of intention to leave may be given and its effect and when an application for a termination order may be made to a tribunal, see the information statement.(2) Also, if a sole tenant dies, this agreement terminates in accordance with section 277(7) or (8).Note – See the information statement for detail

                    • +2

                      @Mechz: You have pasted a whole lot of words you did not read or understand.

                      OP and the LL do not have a mutual agreement to extwnd the agreement. The lease agreement is coming to an end. The landlord will give notice to vacate the premises, probably to coincide with the end of the current agreement.

                      See 277 (1)(b).

                      The tenant does not have the right to impose an ongoing month by month agreement. That is only a default agreement if the LL is agreeable to OP tenanting the premise. In this case, OP has specified the option of month to month is not available. Ie. The landlord will seek other tenants.

                      Pretty hard to lease out a property on the terms the LL wants when the property is being tenanted.

                      Painstaking to spell out the logical conclusion but here it is - the LL will be asking OP to vacate should OP not want to extend the lease for a full year.

                      • -3

                        @[Deactivated]: Given the market right now I am sure the LL will puff their chest about having a signed agreement then meet with the agent about replacing the tenant because they haven't signed and the agent will show them how much it will cost them in advertising etc and the LL will fold because it always costs less to do nothing.

                        If the LL was smart they would increase the rent if the OP doesn't sign, or agree to current rates for a signature. I doubt they're that intelligent though.

        • +1

          Yep and you can refuse them access to new prospective tenants i

          Form 9
          24hrs notice
          Can lodge dispute if unable to reach agreement with R/E, can't deny access.

      • 90 days notice in NSW and 60 in qld for month to month (i know nsw for sure, only quickly read qld rules)

  • +2

    Ideally I would like month on month and happy to give 2 months notice.

    So do that.

    What are my options?

    Negotiate. If you are being left with take it or leave it, well, you can … take it or leave it.

  • +1

    Don’t worry. Australia is now in a renters market. Tell the REA that you want the monthly agreement or you’ll walk when your time is up.

    • Generally, but not all suburbs. Definitely near unis.

  • +1

    All my rentals were happy to go month to month after 2 years.

    Buy yeah, you dont like it move, since its corona a lot more places coming available 👍

  • +5

    Ok here's what I'd do, ask for the new lease to be sent to you then ghost them for a while until they get the idea. If you're a good tenant they would be dumb to force you out unless you're paying well under market rates.

  • +1

    Do you own all the furniture?
    If not and it's furnished, I'd either leave (stick it to the landlord) or risk the default periodic and hope they don't terminate it themselves.
    If you own it all, it's effort to move twice in a short time period, but I'd maybe still risk the default periodic. I'd have thought/hoped if you explain you're in the market to purchase a property they would be understanding, but my experience is most agents/owners don't care about the tenant. So, if you're gonna end up in the same boat either way, figure out what costs them more money/effort.

    Keep in mind most agents take something like 1-2 weeks rent as a "finders/advertising fee" type thing when they get a new tenant, and any time the apartment is untenanted is money lost.

    Knowing that, if I was an owner I wouldn't want to change from a known (good) tenant to an unknown (maybe bad) tenant just because the current tenant wants a shorter lease than I want. The time the property will become available may matter e.g. for international student arrivals etc (though maybe not at the moment).

    In my experience, rental agents do next to nothing, and owners aren't reasonable, so I'm not against doing things (while following the rules) that cost them money, e.g. they give me notice to leave in 3 months because I won't sign the lease they want, and they won't negotiate, so I give them the (required) 2 weeks notice and leave. They likely lose money because they can't find a replacement in time. The notice to leave in 3 months had the reason along the lines of "owner needs vacant possession of the property" (aka a catch all reason to terminate the periodical lease)

    Look up similar rentals in similar areas and how many are available, how much they cost, etc. Use this information in the negotiation.

    Them giving you notice to leave isn't something that goes on your record as far as I know. You're not forcibly removed, you're just given notice that they want to end the current agreement (for either fixed term or periodic by default). Unless someone or something says otherwise, I wouldn't worry about your record as long as you continue to pay rent on time, keep it clean, etc.

    Also look up your rights as a tenant, and what they can/can't put on your records and the reasons for it, and ask for a copy of the records if you like (I believe that's allowed).

    When looking it up at one point, I found that the date rent payment is made is considered to be the date the transfer is MADE by the tenant, not the date it's received. I don't know how they're meant to know what date it was sent, but that means they can't legally put a "rent payment was late" note on your record because the auto transfer was a day late due to a public holiday (as happened to me). They'd have to remove the note.

    • 3 months notice to leave? Is that how long they need to give notice?

      • In NSW it's 3 months but I don't think it is in QLD

      • I think it's 2 months here in QLD but they gave 3, probably so it aligned better with the start of uni or something. Maybe they were hoping I'd change my mind about the lease so made it longer than necessary. I dunno.

  • Call their bluff. P Mgrs are inherently lazy and incompetent so you're in with an above 50% chance of staying. Also Covid

  • -1

    they more than likey want the cash as you may get the covid and may not get through it and they would be getting a bonus.go to the ACCC and your state or territory fairtrading / consumer affairs and ask them for for information.

  • If you only want two months, then don't sign any contract. They will have to give you notice to move out until then it is automatically month to month. With notice you likely have 2 months anyway.

    Just ignore the agent and landlord until they give you notice to vacate the property.

    • My experience with the agent has not been very pleasant… Always has this one up attitude for no reason.

      • +1

        Then play to the rules. Make them follow the steps. Ignore any requests to sign a new lease. Ghosting Buys time as well. Make sure to pay rent on time.

        Did this recently cause new agent wanted to stamp authority. They gave notice and i said ok. They then backtracked and said they were happy with month to month. I still moved

      • +1

        Hey,

        Do any of the matters at:
        https://www.rta.qld.gov.au/renting/covid-19-changes

        e.g.
        A COVID-19 tenancy dispute may cover topics such as:
        ending a tenancy early or extending the end date of an agreement, due to the tenant or the landlord’s circumstances being impacted by COVID-19.

        give you grounds to lodge an Online COVID-19 Dispute resolution request?
        https://www.rta.qld.gov.au/forms-resources/forms/online-covi…

  • Are you me? I went through this exact same thing. Your mistake was letting the RE know your plans to move out because that means if they want they could give you a notice to vacate right after your lease is up. I didn't want to tell my RE anything but because they kept nagging me about signing the lease I finally told them I wanted to be on a periodic lease and they said I had to get approval from the landlord to do that. Luckily I knew my rights and ignored them and gave them my two weeks when I was ready to move out. I felt a bit bad giving them minimal notice but in the relationship of landlord/tenant it is often a zero sum game and it reduces annoying inspections in the house.

    • I finally told them I wanted to be on a periodic lease

      And this is why you see LL get antsy about tenants and probably prefer longer leases. So they don't have to put up with this entitled behavior.

      • +1

        Entitled? Wtf are you on about? It’s a market transaction where people agree to terms and money is exchanged. This is basically the negotiating going on. Either party can exercise their legal rights.

        Your attitude is everything wrong with the rental market

        • Yeah and the OP is trying to nosey their way out of signing a lease and stringing the landlord's along as much as they can when the landlord's have made it clear they don't want short-term leases.

          By the sounds of it the OP doesn't want to make the hard choices and move out so they'd rather just screw the landlord over until forced to leave.

          • @Jugganautx: The OP doesn’t have to sign. The landlord can exercise their right to give notice. Either way, ball in landlords court. But in OzBargain traditions, it’s all the tenant’s fault

    • I don't think the zero sum game concept is being applied correctly here… it's a concept of utility, not a relationship game.

      • Except when the contract relationship game is impacted by ego’s.

      • +2

        How is it entitled behavior when a fixed term lease automatically turns into a periodic lease without me doing anything? All I did was inform them that I had no intention of signing the new lease when they kept nagging me. I had no obligation to get approval to do so but the RE acted like I needed one and I just called their bluff.

        I could have told them of my plans to go on a periodic lease earlier but then that puts me at risks of being given a notice to vacate earlier than I am able to. Or I could just ghost them and then give my notice to vacate when I am ready. I don't know if you've met many agents but a lot of them do not have your best interest in mind, so you got to act accordingly.

        EDIT: replied to the wrong person.

  • +2

    As a landlord I have to say you have a very silly landlord. Pre COVID it would cost me 8-12 weeks rent to get a new tenant, commercially it is in my best interest to ensure my tenant is happy within reason. A lease doesnt mean much to a landlord financially, the problem is most landlords don't know how to do maths or they don't take time to understand leases so they place way too much value on them as yours seems to do. I don't know what the rental market is like where you are but if this was in Sydney I would call his bluff, tennants have landlords by the balls down here.

  • +2

    when your lease is up, you can move out with 4 weeks (i think) notice. If they want you out, they also have to give 4 weeks notice (i think).

    It is not a matter where my lease is up, out I go. If they want you to leave the moment your lease is up, they have to notify you that that is the case.
    I usually try to explain it with scenario but this case will have more typing than I wanna do right now.

    Whether it is cohersion or not is a different matter. I feel your real estate agent is just too arrogant for me to want to do business.

    There are no default options. They cannot say if you dont reply by xxx date that means xyz. They have to officially give you notices in writing.
    You vacate, when you give notice to vacate, OR when they give you notice to vacate.

  • +1

    I'd just be polite and say although you have no immediate plans to move, your longer term plans are uncertain so you're unable to commit to a fixed term at the moment.

    Does tend to be in the landlord's interests to have tenants on a fixed term so it's not surprising their agent will invite you to sign another one, and some agents will be pushier than others. But it also indicates they're fine with you as a tenant, and it's generally not in the landlord's interests to terminate a tenancy over this. Nevertheless, I wouldn't doubt there are a few knuckleheaded control freaks willing to take a financial hit to enforce their way of doing things.

    You're kind of lucky in QLD to have two months notice at the end of the fixed term, so it's not as risky as it'd be in say NSW where you have as little as 30 days notice to vacate in the same situation (although if you do proceed onto a periodic lease in NSW, it changes to a cushy 90 days notice - personally I think QLD's two months for both makes more sense).

Login or Join to leave a comment