How Long Do I Have to Vacate Based on Rental Increase Mandated from Agent?

alkalinity on 16/05/2023 - 11:25
Last edited 18/05/2023 - 15:38

We have a lease for a 1 BR apartment in Syd for $700 per week. The lease ends in ~5 weeks. Our agent just called us asking if we would be willing to go to $800 p.w over the phone. I said we'd think about it. Few questions -

Don't agents have to give us 60 days notice? What does this notice mean if the lease ends before this notice period is up?

If we refuse the additional $, how long do we have to vacate? Is it at lease end? Or is there a longer period either because of law or because of the notice period mentioned above?

Does any of this change if we haven't received anything in writing yet?

TIA

UPDATE: Agent sent us a written notice to enter into a 800 pw. agreement - I went back to try negotiate 750 per week. I can update again if people care.

Home & Garden

Comments

  • hmac on 16/05/2023 - 11:34
    +10

    Rent Fair Trading
    Rent Increases

    • lunchbox99 on 16/05/2023 - 12:54
      +1

      wtf have people downvoted this.

      • EightImmortals on 16/05/2023 - 13:46
        +7

        OzBargain, don't try to figure it out.

      • hmac on 16/05/2023 - 14:10
        +4

        People don't like it when they have to read the top results in google lol

  • Hybroid on 16/05/2023 - 11:36
    +1

    The landlord must give the tenant at least 60 days written notice before the increase starts.

    Once the lease ends, you default to a periodic lease if do not renew the contract so the price increase will be enforceable from the +60 days date. They will outline exact date in writing to you but it will be minimum +60 days.

    If you leave when your contract ends in 5 weeks, the rent increase does not affect you as will not have kicked in.

    Your existing contract remains valid so leave periods remain the same. Either end of the contracted 5 week period or the standard terms for a periodic lease if it's beyond that.

    • alkalinity on 16/05/2023 - 12:17

      So just checking, if I go back to my agent now and say we only want to pay 700, can't they say tough and give 30 days notice before lease ends and kick us out then?

      • ThithLord on 16/05/2023 - 13:49

        Why would they, though? That's a lot more hassle than it's worth. Either you accept the rent increase at the renewal, or move out.

        I'm sorry they're increasing the rent, m8. It's 'king rough out there, I feel for you.

      • MITM on 16/05/2023 - 15:35

        If a new lease is not entered and current lease not ended properly, the lessor will risk having the current tenancy convert to a ‘periodic agreement’. Under the RTRA Act, a periodic agreement cannot be ended without grounds and can only be ended under specific prescribed grounds. This may cause issues for your client if they wish to take vacant possession of their property in future.

        For a periodic tenancy, rent can be increased if the tenant is provided with at least two months’ notice in writing and it has been at least six months since the last rent increase, or since the initial term of when the tenancy started.

      • elgrande on 16/05/2023 - 16:51

        Yes, as the end of ur lease is approaching, they can give you 30 days.

      • Bearhay on 17/05/2023 - 09:45

        Why not go directly to the Real Estate Institute who have heard it all before and can give you clear guidance on current legislation and your possible options?

  • Bargainitis on 16/05/2023 - 12:51
    +1

    OP, your time is limited eitherway if you don't agree to the rent increase. Its going to be either 60 days or the 5 weeks from now when your lease ends. We are talking 5 or 8 weeks… so either you go back and renegotiate and see if you can find a half way house (pardon the pun) or you start looking for a new place.

    Its unlikely you will find a new place to exactly align with your lease termination date so use those remaining weeks wisely.

  • tallkid123 on 16/05/2023 - 13:05

    If we refuse the additional $, how long do we have to vacate? Is it at lease end?

    Yep, if you refuse, you'll need to be out at lease end as your lease won't be renewed.

    That's why the agent contacted you now. So that if you refuse, then they can start finding a new tenant offmarket/at open inspection as your lease runs out.

    • tallkid123 on 16/05/2023 - 13:43

      Downvoter has probably been in this situation :(

    • eckorock on 18/05/2023 - 21:34

      I don't think this is accurate… if you dont' agree to the lease, it just rolls over onto a month-to-month agreement - they still need to formally request you to leave under the 60 day provision.
      If the lease isn't renewed, you don't need to be out by the end of the lease, it has to be from 60 days that you receive written notice.

      • MITM on 02/06/2023 - 21:32

        Pretty sure the current lease you agreed to says you’ll vacate, clean and return the keys by midnight of the last day of the lease. There are no provisions for you to stay on. By then the PM would have made it clear they’ll want vacant possession for whoever signs the new lease.

        • eckorock on 08/06/2023 - 13:21

          I don't believe that this is true, that any tenant has to vacate and clean by the last day. I think the laws state that once you're in, you stay in unless you're asked to vacate. After the lease ending date it just becomes perpetual monthly lease

          • try2bhelpful on 08/06/2023 - 14:27

            @eckorock: Agree with you on the lease. After our lease was up we just went month by month.

  • pharkurnell on 16/05/2023 - 13:36
    +4

    We have a lease for a 1 BR apartment in Syd for $700 per week

    Intercoursen hell!

    • AustriaBargain on 16/05/2023 - 13:46
      +2

      $100 a day, in Adelaide you can get a hotel room for that.

      • Save 50 Cent on 16/05/2023 - 14:12
        +9

        In Yugoslavia, I can get a small town for that. Doesn’t necessarily mean I want to live in Yugoslavia!

        • Nugs on 16/05/2023 - 14:42

          Now you are just being Ridiculous
          .

        • elgrande on 16/05/2023 - 16:53
          +4

          Beats adelaide tho right?

    • alkalinity on 18/05/2023 - 15:38

      My life is a waking nightmare

  • jellykingdom on 16/05/2023 - 14:29
    +2

    Our agent just called us asking if we would be willing

    Wow! I wonder who says "yes" to that without any followup. Shuttup and take my money indeed.

  • MITM on 16/05/2023 - 15:14
    -2

    Don't fight the increase - it's inevitable.
    He's done you the courtesy of phoning you before putting it in writing which becomes non-negotiable (take it or leave it).
    14% increase - A) Ring him back and say you can afford a 10% increase - providing you can.
    Or B) agree to the 14% increase to come into affect 6 months (or 3 month) into the new lease.

  • try2bhelpful on 16/05/2023 - 16:07
    +3

    I just don’t get the price of housing. I hate to be “back in my day” but, as a student in the ‘80s, three of us rented a renovated half house in Malvern for $75 a week. My other half’s brother bought a Victorian cottage in Richmond for $54,000. There is something, seriously, wrong with what has happened to house prices.

    • brendanm on 16/05/2023 - 16:26
      +8

      There is something, seriously, wrong with what has happened to house prices.

      A) There is only so much land in places people want to live. Lots of demand, little supply.

      B) Import millions of people, don't build enough housing for these people. Lots of demand, little supply.

    • Mechz on 16/05/2023 - 16:36
      +2

      Governments are fixated on infinite growth in a finite world.

      What was the average income in the 80s, like 25k/pa?

      • try2bhelpful on 18/05/2023 - 22:53

        Is the current wage $250kpa? We were three students so between us we had a lot less than 23k pa.

    • alkalinity on 19/05/2023 - 18:51

      It's tough out here

  • 2esc on 17/05/2023 - 08:32

    Glad im not renting my 3 bedroom house. My house loan repayments are half that and for the fortnite.

    • alkalinity on 18/05/2023 - 15:39

      Can I come live with you?

  • Odin on 17/05/2023 - 09:20
    +2

    Just delay answering. Once the lease ends your you must be given 60 days notice to vacate. Once the lease ends you are then on a continuous lease agreement

  • eckorock on 17/05/2023 - 17:09

    Just out of interest which suburb is this in?

  • alkalinity on 18/05/2023 - 15:39
    +2

    UPDATE: Agent sent us a written notice to enter into a 800 pw. agreement - I went back to try negotiate 750 per week. I can update again if people care.

    • eckorock on 18/05/2023 - 21:31
      +1

      Yeah let us know.
      Is your apartment a luxury apartment? How does $800/wk compare with other similar apts? It seems really expensive, like you could pay off a mortgage on a 2 bedroom city apartment in Melbourne for the same amount.

      Re: written notice - you don't HAVE TO respond. You can just drag it out past the end of the lease.
      5 weeks = 35 days. You need to be given 60 days notice. Therefore you can stay for AT LEAST 35+60 days, continuing to pay $700/wk.

      So when they get back to you, offering somewhere between $750/wk to $800/wk, say "thanks, I will get back to you soon after I review my options."
      Then you have the following 5 weeks to look for another place, or decide to stay.
      If you decide to stay, then you will go onto a $700/wk month-to-month agreement.
      At that point, the REA might come back to you and say "have you decided?"
      and then you can either sign another 12 month lease @ $750-800/wk , OR just say "I haven't decided yet" and keep paying $700/wk.
      At that point, they can send you a letter saying that they give you 60 days notice (because they want to get a new tenant in who will pay $800+/wk) but at that point you could reasonably go to tribunal and try your luck against the tenant protections claiming whatever premise you choose to give. Or just sign the new lease, if you don't want the headache of going to tribunal.
      But with the court delays and so forth, you're actually very likely to be able to stay there for a longer period continuing to pay $700/wk , just by stringing out the rental agent by saying "I'm still deciding what I can afford" etc
      (Obviously keep paying your rent on-time and keep the place neat, etc)

      • alkalinity on 19/05/2023 - 18:48

        Thanks for the detailed reply. It is a fairly big place in SYD CBD, very central. It is not a luxury apartment whatsoever - our building does not even have a gym. I stay here mostly because of proximity to work - I'm originally actually from Melb and will move back when I can based on work to lock in cheaper prop as you say.

        Thanks for the tips on delaying this - moving soon is actually annoying for us timeline wise so we'll keep those tips in mind.

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