Five things to do before renting out a property
ARE you thinking of renting out a property? Before you can even enlist a real estate agency to start the process of finding ideal tenants for your property, here are five things you must do by law to make your house safe and secure for tenants.
>> READ MORE: ESSENTIAL TO-DOS BEFORE BUYING A HOME
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Smoke alarms
As of January 1, 2022, interconnected smoke alarms in residential rental properties must be installed.
Under the Smoke Alarm Legislation, any rental property, regardless of its age, must have interconnected photoelectric smoke alarms, that comply with AS 3786–2014, installed in all bedrooms and hallways that connect bedrooms and the rest of the dwelling.
Interconnected means that when one alarm detects smoke, all the alarms are activated. Interconnected smoke alarms can be interconnected wirelessly or through hardwire. Hardwired smoke alarms need to be installed by a qualified electrician.
Properties with non-compliant smoke alarms will not be able to be legally rented out and insurances may also become void as properties must comply with Queensland Government or other statutory requirements at all times as part of most product disclosure statements.
For smoke alarm installation, Smoke Alarms Australia is the longest-running specialist in smoke alarm compliance with more than 1.7 million smoke alarms services completed since 2005.
2. Property maintenance
A rental property must be fit to live in and it is the landlord’s responsibility to present a fully functioning, safe and livable property for tenants.
Your property must be vacant, clean and in good condition before tenants can move in.
Therefore, see to any ongoing maintenance issues and fix anything broken or repair anything that isn’t functioning properly.
Tenants are responsible for minor maintenance including replacing light bulbs, cleaning windows, dusting, removing cobwebs and routine garden maintenance such as watering, mowing and weeding but landlords are responsible for repairing and maintaining the property during a tenancy.
For property maintenance, Budget Guys are Mackay’s one-stop-shop and they partner with Baileux Real Estate to offer exclusive services to landlords of residential, commercial and industrial properties.
>> READ MORE: HOW TO MOVE FROM RENTING TO BUYING
3. Electrical wiring
Faulty wiring is a common cause of house fires.
Before listing your property for rent, check for any loose outlets and lighting fixtures and employ a licensed and qualified electrician to check all the hidden wiring in the property.
Electrical fires can start from faults or knots in the wire which create electrical resistance that generates heat. It can be hard to detect a smoulder from a faulty wiring fire early if it’s hidden in the roof or another unseen area.
It is your responsibility, as a landlord to check any hardwiring during a tenancy and it is the responsibility of tenants to check their devices and appliances.
For electrical services, Barcam Electrical Services is a locally owned and operated business that has been providing the Mackay region with dependable, affordable electrical installations and repairs since 1957.
4. Condition report
Before listing your property for rent, you or your property manager will need to complete a condition report.
A condition report is a visual inspection of the property and includes photos and comments on the condition of all items internally and externally.
Landlords are required to complete a condition report, including photographic evidence, prior to a tenancy.
Take plenty of quality photos of the entire property from internally – every room including ceilings, walls, floors and inside cupboards – to externally.
Use a checklist to make comments including detailed descriptions about the state of each room and external spaces for your own records.
For a full list of every item on a condition report, see a PDF of the Queensland Residential Tenancies Authority’s entry condition report here.
>> READ MORE: HOW TO BUY A PROPERTY GUIDE
5. Insurance
There is a big difference between home and contents insurance and landlord insurance.
Before listing your property for rent, update your insurance or take out landlord insurance.
Landlord insurance is designed to cover the costs of replacement or repair when certain events occur that damage your investment property.
Landlord insurance can protect you from forms of property damage caused by a tenant, damage to any contents such as appliances or furniture included in the lease of the property, legal liability for injuries incurred in the property, storm/disaster damage and income protection such as rent cover if the tenant should miss or default on payments.
Always read the Product Disclosure Statement (PDS) to ensure the product is the right one for you.
This information is general in nature and does not take into account your personal situation.
