If you have not paid rent by when it is due, you are in rent arrears. This is a breach of your tenancy agreement.

What is the typical policy when a tenant is in arrears?

Our policy here at Dowling Real Estate Maitland whereby a tenant is followed up on daily basis. This includes:

  • Text Messages
  • Phone Calls
  • Letters

When the tenant is 15 days in arrears, we issue a termination notice to the property. If a tenant hasn’t responded within 14-15 days they will certainly respond when receiving the termination notice!

What should be in the termination notice?

Your real estate agent may have their own breach notice template that you can work off but there’s no specific form you need to complete.

Essentially, a non-payment termination must be signed by either yourself as the landlord or your acting real estate agent and detail:

  • The reason for terminating the lease agreement.
  • The property address.
  • The date the tenants will be required to vacate the property.
  • A statement which states that if the rent is paid, the lease agreement will be upheld (it’s really important that you include this).

You can issue the notice in person, by fax or by mail, bearing in mind that you’ll have to add extra 4 days to the 14-day written notice requirement, bringing the total number of days to 18.

You’re also permitted to hand the notice to somebody aged 16 or over at the tenant’s residential or business address.

If the tenants aren’t home, you can also put the notice in their letterbox in an envelope addressed to the tenants.

These various methods of delivery can help minimise the chance of your tenant purposely avoiding any contact with you.

I have an agent and they aren’t following up on arrears

Your property manager should certainly be chasing this up and if they aren’t then we suggest finding out why this may be the case and give them a second chance to follow up with the tenant.  They choose not to do that, then we suggest you start looking for a new property manager.

At Dowling Maitland, much work is done to find a suitable tenant –. If you wanted more information please contact us via email: [email protected]

 

Hi, I’m Roseanne Gaut

And I’m Monique Gaut

And we’re from Dowling Maitland.
 
Roseanne, what's your office arrears policy?
 
We have a really great policy in place, whereby the tenant is followed up on a daily basis.
They have text messages, letters, phone calls.
When the tenant is 15 days in arrears, they’re 15 days behind in their rent, we issue a termination notice usually put into the letterbox of the tenant.
And if they haven't responded all through the 14 or 15 days, they certainly respond when I give a termination notice.
 
Sure. So, what would I do if I'm a landlord and I'm with another agency and
the agent isn't following up on the rent arrears?
 
I'd probably have a conversation with that property manager.
Probably give them a second chance and find out if there's a reason why they've not followed up and encourage them to do that.
If they choose not to do that, I would probably look to, going to somewhere else for property management.
 
Maybe us?
 
Yeah. I think that sounds great!
 
OK, great, thanks for the information. If you've got more questions about rent arrears and you want to get in contact with us, it's [email protected]








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