When you're a landlord and you step on the wrong side of the law, you very rarely come out in front. Michelle Anne Farbon from PEB Real Estate shares a recent media release that highlights just how important it is for a landlord to have their affairs in order and conduct themselves in accordance with the Residential Tenancies Act.

MEDIA RELEASE - Consumer Protection

A landlord who spent their tenants’ security bonds, harassed a tenant and took too much rent money up front, has been fined $24,000 after Consumer Protection prosecuted him for breaching tenancy laws.

The 37-year-old,  owned and leased out a property in High Wycombe during 2013 and 2014 and failed to appear at the Magistrates Court to face charges. He was found guilty of 13 contraventions of the Residential Tenancies Act in his absence and in addition to a $24,000 fine, he was ordered to pay costs of $462.

The acting Commissioner for Consumer Protection says it was important to take this legal action after receiving complaints from affected tenants.

“The landlord took bonds from three tenants and failed to deposit the money with the Bond Administrator at the Department of Commerce. The law ensures that a tenant’s bond money is secure and will not be misused, so private landlords as well as agents need to lodge the funds with the Bond Administrator as soon as practicable and certainly no later than 14 days. Tenants need to be assured that their funds they hand over are safe and secure,” he said.

“The landlord would also constantly turn up unannounced and uninvited when one tenant was renting his property and he harassed her via phone calls and texts. A landlord must respect a tenant’s right to privacy, peace and comfort. Notice of no less than seven days and no more than 14 days must be given for any routine inspections, which have to be at a reasonable and convenient time and can only be carried out four times a year. Even in the case of inspecting necessary repairs, 72 hours written notice is required.

“On top of this the landlord made tenants pay him four to six weeks rent up front when a landlord is not legally allowed to take more than two weeks rent in the first two weeks of a tenancy. Preventing tenants from being forced to pay more than a fortnight’s rent in advance was one of the important changes to the Residential Tenancies Act in July 2013 to help ease financial pressures when renting a home in WA.”

Charges also related to:

  • The use of incorrect forms when putting new tenancy agreements in writing.
  • Not providing receipts for rental payments.
  • Insisting on receiving a bond in excess of what is allowed at law. Bonds can’t exceed the equivalent of more than four weeks rent, unless the weekly rent is greater than $1200.

The acting Commissioner for Consumer Protection hopes this significant result will send a strong message to private landlords that, like real estate agents, they must comply with tenancy legislation.

When tenancy laws changed in July 2013, Consumer Protection conducted a campaign to inform landlords and the public. Landlords can learn about their rights and responsibilities by reviewing Consumer Protection’s webpages and videos, at www.commerce.wa.gov.au/tenancy

Media contact (Consumer Protection), Consumer Protection, Media release, 29 Oct 2015

Do you know what a Tax Variation/Withholding declaration is?

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If learning the Residential Tenancies Act sounds too difficult, contact PEB Real Estate on 1300 187 894 and they can find a property management package to suit your situation.

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*This article is for general information purposes only. It is not intended as financial or investment advice and should not be construed or relied on as such. Before making any commitment of a financial nature you should seek advice from a qualified and registered financial or investment adviser.

PEB Property Group is a complete financial planning advisory service for Perth families. Offices are located in Inglewood and Willetton, Perth, Western Australia and offer - Financial Planning · Finance Broking · Property Management · Real Estate Sales · Property Investment · Development.

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