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Legal Q&A: Claiming Rental Losses

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Your Investment Property | 10 Jun 2013, 12:00 AM Agree 0
Despina Priala advises on evicting tenants and claiming rental losses from landlord insurance
  • Nik | 01 Apr 2015, 08:09 PM Agree 0
    Hi Despina,
    I have a property in Melbourne CBD managed by Ray White. The previous lease for this property was till the 23rd of January 2015. On the 8th of Jan however, our agent, Leslie sent us an email saying that the tenants will vacate on the 13th of Feb and she will start advertising towards end of Jan. The head of rental department, Rebecca was copied in the email. As agreed, the property was advertised on various website between 25th and 27th of Jan. On 5th Feb we received correct rent and on 14th Feb a new tenant moved in.

    However, on 16th Feb we received an email from Rebecca that Leslie had resigned and there has been a discrepancy. According to her, Leslie put the wrong dates in the system and the previous tenant was incorrectly charged till the 13th of Feb. According to her the property was in fact vacant between 24th Jan and 13th Feb. She even refused to acknowledge the email sent by Leslie. She however agreed that Ray White advertised the property late, and hence they will not charge us the advertising fee ($200) but they will deduct that rent from 24th Jan to 13th Feb ($1750) from our next months payment, which we didn't agree to.

    We argued that since Ray White had advertised the property late, either Ray White or Leslie should bear the lost rent for the vacant period. In reply, Ray White delayed our next months payment by 11 days and then paid us the rent minus the $1750. They didn't charge us the advertising fee.

    We also asked Ray White for proof like Bond Release document that clearly shows the date when the tenant vacated the property. We also asked them to provide an explanation about why the property was advertised late. We did not get a reply. Instead, a senior manager from Ray White, Eric called me up and said if we pursue this matter, Ray White wont be able to afford our property and we might have to go to someone else.

    I would also like to add that a very similar issue happened in 2013 when according to Ray White, our tenant just disappeared 3 weeks before end of lease and Ray White said that the tenant's bond was release by mistake so we will have to bear the costs out of pocket. At that time, again it was Eric who kept arguing this. However, finally another senior manager, Andrew agreed that it was Ray White's fault and he gave us our money back.

    The two incidents lead me to believe that there is a pattern here. I have been overseas since 2012 due to work and I think Ray White is just trying to exploit this fact. This has caused a lot of headache for me and my family. I would just like to know about my rights as well as recommended path of action in this case.
  • sideeffect18 | 06 May 2015, 03:28 PM Agree 0
    great advice..
  • Howard | 06 May 2015, 10:24 PM Agree 0
    If you want to know about these rights, you should consider the near by real estate agent. Only they can provide with you full information.
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