We have all heard the old saying that there are two sides to every argument. In property management, this means that every situation must be viewed from two perspectives. One perspective is from the owner and the other from the tenant. When the subject under examination is rental arrears, we approach it from both sides. However, the bottom line is always that the rent must be paid on time.
So how does a property management agency ensure that tenants do not fall into arrears? Here at Position One Property we have strong management systems designed to protect the legal interests of both parties. We are members of two of the leading professional organisations in our industry, and we operate our business to the highest ethical standards.
Protection for Property Owners
To protect our property owners, we scrutinise every tenant application to ensure that we are putting forward only the most reliable people. Our belief is that if we accept tenants who have already proven themselves, we are unlikely to be dealing with a default situation further down the track. Not only do we conduct thorough security and reference checks but we also check the Tenancy Information of Australia database for previous defaults.
Missed Payments are under Immediate Scrutiny
Under the terms of the tenancy agreement, rent must always be paid in advance. Our systems monitor the timing of payments. If a payment is missed, we act immediately rather than let tenants fall further behind. We offer them a range of payment options including BPay, bank cheque, money order and internet or telephone transfers.
Our property owners receive monthly and bi-monthly payments deposited directly into their accounts. Electronic statements are emailed simultaneously. Consequently, they can check that the rent is being received as per the tenancy agreement. We also conduct regular inspections of the rental property to check that the tenants are looking after it.
Options for Tenants at Risk of Arrears
Our tenants are also our clients, and we treat them with the respect they deserve as the occupiers of our rental properties. Sometimes though, despite good references and income, unexpected circumstance arise that affect their ability to pay their rent on time.
We always advise our tenants to contact us immediately their circumstances change. The Position One Property approach is to work with them so they can continue their tenancy where possible. This is always preferable to allowing the situation to get to the point where we have no choice but to take legal action.
Solutions for Both Parties
To further protect our owners, we recommend they take out Landlord Insurance . This is purely for those rare occasions where tenants have fallen into arrears. An insurance claim in these circumstances allows them to recover lost income. This is another way to minimise the impact of rental arrears where they cannot be avoided. At Position One Property we like to provide both parties with solutions.