Property Management Questions

Yes, you can manage a property yourself. There is an REIQ landlord course you can complete. Managing a property can be time consuming, especially if you have multiple properties or a full-time job. We do strongly recommend using a professional property manager to conduct relevant tenant background checks; to ensure your property operations are compliant with your local, state, and federal laws and regulations; to manage day-to-day tasks such as rent collection, inspections, repairs and maintenance, as well as urgent issues; and to provide a professional buffer between yourself and the tenants. If you feel that you could comfortably handle all the above tasks, you could reasonably manage your own property.

Professional Property Managers have systems in place for thoroughly screening potential tenants, including vetting tenants' rental and employment history, performing criminal and fraud checks, and checking character references. The highest risk for your Rooming House is the quality and behaviour of tenants. Badly behaved tenants can disrupt the enjoyment of other tenants, or even damage or deface the property, reducing its visual appeal and overall property value. The best way to ensure a great tenant mix, and increase tenant retention, is to use an experienced and effective property manager who can ensure your property is leased to high-quality tenants. A Property Manager can help you reduce the risk of legal liabilities. Their job is to stay up to date with landlord-tenant laws and regulations to ensure your property operations are compliant with local, state, and federal laws. They can also act as an intermediary between you and the tenants, handling communication professionally and resolving issues effectively. A property manager can approach any decisions or maintenance issues objectively, which allows them to make decisions based on the owner’s best interests rather than based on emotions. Property managers also seamlessly manage the payment of your outgoings, rent and manage trades and maintenance and compliance of the rooming house year on year so nothing is left to chance. Property managers can provide detailed financial statements and documentation for tax purposes, making it easier to track income and expenses related to your property. An experienced property manager will also have insights into local rental markets and help you set competitive rental prices to maximise income and minimise vacancy periods.

A good property manager will be around 8% + GST for a full suite of services that include going out to site to carry out inspections regularly, ensuring compliance and trade work is carried out properly and tenants are engaged with politely and effectively so break leases are managed without loss of rent to the lessor.

We do not recommend using very cheap property management. Cheap property managements typically take shortcuts and are invariably higher risk for the lessor. Keep in mind, the highest risk for your Rooming House is the performance and behaviour of tenants. Badly behaved tenants can disrupt the enjoyment of other tenants, or damage or deface the property so its appeal is reduced. The best way to ensure a great tenant mix is to use an experienced and effective property manager who can vet tenants' rental and employment history, perform criminal and fraud checks, and check character references. Good property management, like all things, has an appropriate price.

Keep in mind, the highest risk for your Rooming House is the performance and behaviour of tenants. Badly behaved tenants can disrupt the enjoyment of other tenants, or damage or deface the property so its appeal is reduced. The best way to ensure a great tenant mix is to use an experienced and effective property manager who can vet tenants' rental and employment history, perform criminal and fraud checks, and check character references. Good property management, like all things, has an appropriate price.

We highly recommend specialist property managers. When it comes to managing multiple tenants under one roof, experience, tact, excellent communication skills, effective reporting and compliance management for each lease, week on week without a hiccup, is best done by specialist property managers.

Each room has its own General Tenancy Agreement, so yes, each room can be appointed to a separate property manager. However, this may not be the most effective way to run a Rooming House, as coordination issues will be more involved, such as advising tenants of general inspections, and in issuing entry notices for compliance and maintenance, particularly for leasing and selling.

Good property managers, like all professionals, will have outstanding testimonials from happy clients and tenants. They will also manage a large number of Rooming Houses because social proof demonstrates people are happy to entrust their assets to them to manage.

A good property manager will show you all the lease results from the previous and current quarter for comparable rooms. This demonstrates how they price your rooms for lease. Leasing should be quick and effective when on market price.

Yes you can, however tenants will choose the best value offerings in the market first and the most expensive last. You may lose a couple weeks of rent, potentially costing you thousands of dollars in the long run. The upside of say 5% over market may only benefit you $1000 per annum and cost you double that in a longer lease campaign.

Tenants do prefer the convenience of furnished properties in Brisbane. They will pay more for such a room per week. Given that furniture is only $4500 per room ($27,000 per house typically), furniture is a great return on investment and is typically paid down in 2 years. We advise replacement of furniture every 7 years.

Yes it does. Premium furniture packages can cost up to $40,000 from some builders and will make a better impression to secure higher rent. This must be thought through carefully and matched to the rental potential in the area.

In Brisbane, and inner city locations especially, yes. Tenants in premium locations like spacious tenancies and will pay more to secure them.

Yes they do. With a sample of 4971 leases, brand new 35 - 40m2 1 bedroom suites with a separate bedroom earn $420/week on average, while new studio rooms typically 30-37m2 earn $390/week for most Brisbane suburbs. We highly recommend separation of the bedroom from the living room. There is a clear difference in rental rate of units that are 1 bed versus studio (0 bed), with 1 bed units outperforming 0 bed units.

Yes they do. New rental stock earns between $390-$420/week in Brisbane and older rooms of similar size and amenity earn between $340-$370/week. Older rooms are typically more dated, with older, less attractive furniture, ensuites and kitchenettes.

If the balcony is well sized (over 3m2), the rental income is comparable to a courtyard with a tiled pad of about 3-4m2.

You can put anything you like in the House Rules, however please consult with an experienced property manager to ensure this benefits the household dynamic and keeps tenants happy while prioritising the peace and enjoyment of the home and its upkeep.

Serious breaches can result in instant eviction from the property. Willful or highly negligent or dangerous behaviour that put the other tenants or property at risk, illegal activities, unlawful or unapproved activities such as running certain enterprises or businesses, activities that are particularly anti social such as tuning and building vehicles, or petrol powered tools, cohabiting with others when there is only one person on the lease are examples of a serious breach.

Anything that is outside of the Rental Tenancies and Rooming Accommodation Act, and house rules breaches that are complained about by other tenants will require investigation and may result in a breach notice to the tenant.

They can be given a breach and a warning. If this persists then yes, they can be evicted and the room advertised for lease within a short time frame. This is very different from a normal general tenancy agreement for a house, townhouse or unit which has more paperwork to carry out and may involve arbitration at QCAT to be effected, usually taking at least 12 weeks.

They can be given a breach and a warning. For very serious and dangerous or highly negligent offences instant eviction can occur. If this persists then yes, they can be evicted and the room advertised for lease.

We do not recommend so. It is an invasion of privacy and does not put your tenants at ease to enjoy the property. A good property manager who is vigilant and effective will not require video surveillance.

We recommend that rooms are leased with the bills, included especially if you have a large solar system on the roof that covers most of your variable outgoings (power, water, internet). Tenants can pay for just the room and handle the power, water and internet separately, however net rental income is typically less and not a recommended method of leasing.

Yes as it allows you to offset your tenants energy costs and is most beneficial when charging one price for the rent and bills included.

You should provide a vacuum cleaner, mop and broom at minimum. Some houses have a communal deep freezer, microwave, air fryer or other cooking items. More luxurious Rooming Houses in the inner city with higher rents have been seen to have separate living rooms with wall mounted smart TVs, and sometimes a library or games collection for tenant enjoyment.

Yes, if the tenants have damaged the items beyond reasonable wear and tear.

Before a tenant breaks lease, the property manager will advertise the room for rent and secure a tenant to move in on the vacate day. The advertising cost and loss of rent, if any, is coming from the exiting tenant’s bond.

2.5 years. Two to three 12 month leases are typical before tenants may upgrade to ownership or a larger rental.

We do not recommend leasing to students, as they are typically only employed casually or part time, are younger and more immature, often have insufficient employment and rental history, and if they fail their studies, are prone to moving. If a student is guaranteed by a fully employed parent or partner, then they are an acceptable tenant.

Full-time employed professionals with exceptional rental and employment history who have no marks against them on police and fraud checks, and no pending court checks make for an ideal tenant.

We recommend choosing tenants who do not have pets for reduced wear and tear on the property. However, tenants may be allowed to have pets at your discretion. The Pet Policy for your property is typically outlined in the lease agreement or rental policies. Common grounds for denying a pet request include concerns about potential damage to the property, noise disturbances caused by the pet, or Council regulations which may limit the number of pets per property. You may also consider the type and size of the pet, as well as local ordinances and homeowners association rules that govern pet ownership. It's important to clearly communicate any pet policies to potential tenants to avoid misunderstandings and ensure a harmonious rental experience for all parties involved.

A house must have no more than 5 unrelated adults leasing at a time. If you have 5 rooms, the maximum is 5 single adults leasing. Partners can visit, however to comply with fire code, we recommend not allowing cohabitation.

A house must have no more than 5 unrelated adults leasing at a time. If you have 5 rooms, the maximum is 5 single adults leasing. Partners and family members can visit, however to comply with fire code, we recommend not allowing cohabitation.

Even if they can, we do not recommend leasing to minors, as they are often employed casually or part time, are younger and more immature, often have insufficient employment and rental history, and are prone to moving and breaking leases haphazardly. If a minor is guaranteed by a fully employed parent or partner, then they are an acceptable tenant.

Absolutely, so far as they have excellent rental history and their regular income is affirmed. Retirees are typically quite, polite, and great tenants.

An equal percentage of men and women rent Rooming Houses (from a sample of 4971 leases).

Based on our property management experience, the Rooming House tenant demographic is highly variable. Single adults make up 30% of Brisbane's population and are of all ages.

For new Rooming Houses, we prefer higher earning tenants as they can pay rent more reliably.