Leasing in Western Australia

Leasing in Tasmania

Tasmania, also known as Tassie or Tas, is an Australian island state. It is located on the southernmost part of mainland Australia, separated by the Bass Strait. Tasmania is the 26th-largest island in the world. It is also surrounded by 334 small islands.

This island state has a booming economy. Recently, the tourism industry has seen a steady rise, leading to employment of people who needs a place to stay. If you have a property in Tasmania, this is a perfect opportunity for you to make a profit out of it. However, you need to know some things about property management first in order to have a continuous flow of earnings.

Leasing in Tasmania: Frequently Asked Questions

What are the necessary documents and permits do you need for leasing in the Norther Territory?
What are the important documents I need to require potential tenants?
How do I craft a tenancy contract?
How do I settle disputes concerning tenants?
How can I make property management easier?

What are the necessary documents and permits do you need for leasing in the Tasmania?

Leasing your property for the first time is not as easy as it seems. As mandated by the Tasmanian law, you need to secure documents and permits first before renting out your property.

Here are some of the permits that you need to secure:

Planning and Building permit

If you want to lease your property, you need to make sure that it is in good condition first. For that matter, you need to secure planning and building permit for minor to major repairs.

Heritage Permit

If your property is located within or near a heritage site, you need to secure a permit from Heritage Tasmania Works and Development first. However, if the repair entails only removing of non-significant painting or fabric, then you can apply for Certificate of Exemption.

Swimming pool or spa permit. According to Tasmanian law, all spas and pools must comply with Australian Standard 1926.1 & 2. Before you lease your property with a swimming pool, it is best to secure it with good barriers to prevent small children from drowning.


Leasing in Tasmania

What are the important documents I need to require potential tenants?

Leasing a property requires many legalities that both the tenant and the landlord need to fulfill. If you are going to lease your property in Tasmania, you need to be as legal as possible to avoid troubles, both with the tenant and with the state or federal law, in the long run.

If you are interviewing potential tenants, make sure that they submit the following documents:

  • Proof of identity
  • Employment details
  • Proof of income
  • Recent bank statement
  • Character references

Once they have given you the documents, kindly inform them that you are going to call the names of the persons that they have submitted. This way, the persons you have listed won’t be surprised once the call came in.  

How do I craft a tenancy contract?

Any kind of agreement that you enter anywhere in Australia, whether verbal or written, is considered legal and binding. Tenancy contracts in Tasmania are also the same. Crafting a written tenancy contract is good physical evidence that you can show the authorities in case a dispute arises.

There are two kinds of contracts that you can enter with your tenant. These are:

Fixed-term leases

If a tenancy contract has a fixed end date, it is called a fixed-term lease. In Tasmania, a fixed-term lease should be at least four weeks. The landlord or the owner does not have the power to force the tenant to move out of the property unless the tenant has breached a provision of the contract.

Non-fixed-term leases

A non-fixed-term lease does not have a specific end date. Like the fixed-term lease, you cannot force a tenant to vacate the property unless he or she has broken certain provisions of the tenancy contract.

Before crafting a tenancy contract, make sure that your property is at least:

  • Weatherproof
  • No leaking roof
  • Clean
  • Good repair
  • Good bathrooms and toilets
  • Excellent cooking facilities
  • Excellent electricity and water connection
  • Excellent lighting capability
  • Has a working heating facility
  • Well-ventilated

Turning over your property to the tenant in an unsatisfactory condition is a grave violation of the Residential Tenancy Act 1997.

If both parties have agreed to put their contract into writing, the landlord must give the tenant a copy of the contract within 14 days before the tenancy. The contract must be easily legible, clearly expressed, printed in a font size of 10 or more, and signed by both parties.  

You have to remember, though, that you cannot agree to things that are not permitted under the Residential Tenancy Act 1997. Also, any kind of amendments to the contract such as an increase in rental fee must be communicated properly to the tenant before executing them.

When the tenancy contract is ready, you can now advise the tenant to pay the bond. A bond or security deposit is a payment made by the tenant that would serve as a security for the landlord or owner of the property. This is a protection that a landlord may incur in case the tenant breaches any part of the contract, such as non-payment of rent or damage to property.

You have to remember, though, that it is illegal to receive the bond directly from the tenant. If the bond was paid to your agent, the agent must then forward it to Rental Services. It is the Rental Services that holds the bond until the tenancy contract is fulfilled or when someone on the lease claims it back.


Leasing in Tasmania

How do I settle disputes concerning tenants?

Disputes between landlords and tenants are not unheard of. Disputes arise when one party violates one or two provisions of the tenancy contract. Under the Tasmanian law, there is a certain number of conditions where the tenancy can be ended. A good example of a contract-ending situation is when the tenant has dealt a great damage to your property and/or neighbouring properties during their tenancy. Ending a tenancy contract is known in Tasmania as termination.

If you believe that your tenant is in violation of their tenancy contract, you can do the following steps:

Speak to the tenant directly

Speaking to the tenant in person is the first step in resolving any kind of dispute. You can speak to them through the phone or personally. Just be calm yet authoritative.

Issue a notice of breach of contract

If talking to the tenant directly was not effective, you can issue them a notice of breach of contract. This will make sure that the tenants are aware of their breach in contract. If the supposed breach is not resolved within a time period, you can issue the tenant a notice to vacate.

Bring the issue to a third-party mediator

The third-party mediator is commonly known as the Magistrates Court. If the notice to vacate has been issued but the tenant is still using the property, the Magistrates Court can give the landlord an Order for Vacant Possession.

To apply for an order, you can use the Form RT02.  

If the court has decided to order the tenant to leave the property, the tenant has no choice but to obey the law. You need to give them a copy of the court order first before executing it. However, you cannot physically remove them from the premises no matter how extensive the damage they have brought to your property.

 

How can I make property management easier?

If this is your first time to manage a property in Tasmania, it is highly recommended that you hire a property manager. This way, you can slowly orient yourself to the real estate scene. Once you have acquired all the knowledge and confidence, you can now begin to manage your own property.

It also pays a lot to study and update yourself with the Tasmanian law. This way, you can stand your ground firmly during times of disputes with tenants. Knowing a great deal about tenancy laws can save you money and time. It also prevents you from bringing the issue to the court.  

 

Professional property managers are always updated with the current regulations regarding tenancy, especially in the specific state they have been working in. If you are looking for property managers in the Tasmania, send us a message and we'll connect you with a reputable property manager to fulfill your needs.