In this edition: How long will it take for your property to rent? Don’t Get Caught Out –Tax and Your Rental Property! Queenslanders Confident about the Property Industry – Find Out Why… Learn the Rules of Rent Increases!

August 2014

Could Your Portable Outdoor Gas Heater Become a Fire Hazard? A Selection of Properties Recently Leased Quote Another happy customer—Wow Mo-ment Calendar of Events

Dear Landlord,

The month of July has been

busy. The team have been

working hard in what's frankly

proving a challenging rental

market at present to lease all

vacant properties. Close com-

munication with owners and

tenants have ensured that

wherever possible existing

tenancies have been extended

and all departing tenancies

have been helpful in opening

up the premises to show pro-

spective tenancies. With the

average vacancy rate across

Brisbane now over two weeks

- pricing to match the market

is critical .

Lisa has been jet-setting

around again with a trip to

New Zealand to catch the

snow junkie adrenalin buzz!

We are all looking forward to

her stories upon her return.

Meanwhile back at the office...

none of the property manage-

ment team had to seek the

cold - colds found us! Julie

and Helen have been working

through the winter sniffles for

the last two weeks - looks like

they are finally on the last of it.

Unfortunately I was hit harder

and was off for a week down-

ing lemon and honey and

fighting off the bugs.

With the new financial year

comes a period of consolida-

tion and review. If you are

thinking of the potential sale of

your property or perhaps look-

ing to buy another investment

please contact our team to dis-

cuss how we can be of assis-

tance - as ever, we'd love to

help you achieve your real es-

tate goals!

Best regards,

Christina & the team

Rental market and team updates

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

How long will it take for your property to rent?

That of course depends on the time of the year so here are the latest statistics for July.

BRISBANE STATISTICS The Market

Source: rentfind.com.au

Brisbane, QLD July 2014 Annual Change

Median Weekly Rent - House $410 2.5% increase

Median Weekly Rent - Unit/Apartment

$380 0.0%

Days on Market (Avg) 26.5 1.4 decrease

Days Vacant (Avg) 15.4 2.4 decrease

Don’t Get Caught Out –Tax

and Your Rental Property!

Need help figuring out what’s le-

git and what’s not?

The ATO website ato.gov.au/

rental and the Property page

have information outlining what

you can and cannot claim for

your rental property. If you are

unclear or have further questions,

talk to someone at the ATO

about tax deductions for rental

properties on 13 28 61.

try according to Australia’s larg-

est business confidence survey,

the Property Council/ANZ Prop-

erty Industry Confidence Survey.

The survey polled approximately

2,300 property and construction

professionals nationally, seeking

their outlook as we enter the new

financial year.

―Confidence across Queen-

sland’s property industry has re-

mained stable during a turbulent

period of State and Federal

Budget announcements,‖ Queen-

sland Deputy Executive Director

of the Property Council of Austra-

lia, Chris Mountford says.

―This quarter Queensland senti-

Queenslanders

Confident about the

Property Industry – Find Out

Why…

Sentiment among Queensland’s

property industry remains the

second most positive in the coun-

Refer to your Accountant who will

be able to assist with queries

about your particular circum-

stances.

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

ment rose one point, up to 136

on the scale – five points above

the national index,‖ Mr Mountford

says.

―Queensland’s bullish outlook is

second only to New South Wales

which continues its run as the

most positive State in the coun-

try.

―There is a sense of optimism

about the financial year ahead

with respondents upbeat about

the State’s economic growth

prospects for the next 12 months.

―The industry is anticipating posi-

tive increases in capital values

across the residential, retail, in-

dustrial, hotel and retirement

property sectors.

―This aligns with the Queensland

State Budget projections which

rely heavily on the property in-

dustry to support a predicted 3

per cent growth over the next 12

months.

―This is further evidence that a

healthy property industry is the

foundation of a strong Queen-

sland economy.

sland, while regions exposed to

the mining and resources sectors

are underperforming.

―The outlook for Queensland’s

commercial property sectors also

reflects divergent conditions

across industries, with the secon-

dary office sector in particular

weighed down by weak office

employment and elevated va-

cancy rates. In contrast, the out-

look for employment and capital

growth in the retail, hospitality

and health sectors are more

buoyant.‖

Source: Property Council of Australia

―The only segment that remains

in negative territory is the office

sector due to a unique and chal-

lenging blend of issues confront-

ing the Brisbane CBD and Fringe

office markets.

―Tackling these challenges will

require a collective focus from

industry and government in the

coming months to ensure growth

and prosperity in Brisbane’s

CBD.‖

ANZ Senior Property Analyst,

David Cannington, says: ―while

the economic growth in Queen-

sland has slowed due to the de-

cline in mining investment, eco-

nomic conditions in the non-

mining sectors of the economy

have shown tentative signs of

improvement.

―In particular, improved global

economic conditions and a lower

AUD have provided a boost to

Queensland’s tourism industry,

with international tourism arrivals

increasing in recent months.

Housing market conditions have

also broadly improved, although

remain divergent across the

state, with upbeat conditions in

Brisbane and south east Queen-

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

Rent may be increased at

the end of a fixed term

agreement if you and the

tenant enter into a new ten-

ancy agreement

Rent can be increased dur-

ing a periodic agreement by

giving 2 months notice in

writing

You cannot increase the

rent simply because the

tenant breaches the agree-

ment.

Source: www.rta.qld.gov.au

(June-July 2014)

stance, contact the tenant to see

what they want to do.

If you are happy for them to stay

on without a new fixed term

agreement you could issue a for-

mal notice of rent increase giving

2 months notice of the change.

If you are not prepared to have

the tenant stay on unless they

sign a new agreement you could

issue a Notice to Leave (Form

12), giving 2 months notice.

Rent increases: fast facts

For rent to be increased it

must be at least 6 months

since the last increase

Rent cannot be increased

during a fixed term agree-

ment unless it is stated in

the tenancy agreement

along with the amount of

the increase or how the in-

crease will be calculated

The same process gener-

ally applies to rent de-

creases

Rent increases must be

made in writing and with 2

months notice (whether

fixed term or periodic ten-

ancy)

Learn the Rules of Rent

Increases!

One of the most common topics

of concern addressed to the RTA

by property owners and manag-

ers, is in relation to rent in-

creases coinciding with an offer

to renew a fixed term agreement.

To clarify, following is an over-

view of typical circumstances at

the end of a fixed term tenancy:

A new fixed term tenancy

agreement with increased rent

Rent may be changed at the end

of fixed term lease if you and the

tenant decide to enter into a new

tenancy agreement and all par-

ties sign the agreement at the

new rate.

Property owners and managers

often ask what to do when they

have sent a lease renewal agree-

ment and notice of a rent in-

crease (giving 2 months notice)

but the tenant does not return the

signed agreement.

If the tenant doesn’t agree with

the rent increase in the first in-

Could Your Portable

Outdoor Gas Heater Become

a Fire Hazard?

Portable outdoor gas heaters –

also known as patio heaters –

are a great way to make outdoor

dining possible during the winter

months.

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

These heaters are becoming in-

creasingly popular among home-

owners and are widely used by

restaurants and outdoor enter-

tainment venues. However, they

are known to cause fires if incor-

rectly stored, not properly main-

tained and placed too close to

awnings or other combustible

materials.

When using your portable out-

door gas heater the following

safety tips should be observed:

Only use in well-ventilated

outdoor areas and on sta-

ble, level ground.

Keep clear from overhead

coverings such as awnings,

shade sails and other com-

bustible materials which

can by ignited by radiant

heat. The manufacturer's

instructions will show the

necessary clearances from

combustible materials.

Never store inside a build-

ing and minimise the num-

ber of gas heaters stored

on site. The Australian

Standard AS1596 does not

permit storage within a res-

taurant or a café of any cyl-

inder more than 4.5kg ca-

pacity and a total combined

capacity of 20kg for all cyl-

inders present. Gas cylin-

ders must be stored out-

doors in an approved, se-

cure location.

Have a nominated gas su-

pervisor who knows how to

safely use the heaters and

always ensure children are

supervised by an adult

around outdoor heaters.

Always read and follow the

manufacturer's instructions

for maintenance. Outdoor

gas heaters do require

safety checks and regular

servicing (every two years).

Gas cylinders and hose

fittings must be checked for

faults and damage regu-

larly.

Watch for warning signs.

Gas flames and radiant

panels that burn yellow or

produce soot are not work-

ing properly and require

servicing.

If a gas leak is detected,

turn it off at the cylinder if

safe to do so and call the

Fire Brigade.

Decanting – the transfer of

gas from one cylinder to

another – should not take

place at catering and hospi-

tality premises. A dedicated

area which complies with

A u s t r a l i a n S t an da r d

AS1596 is required for any

decanting. Serious injuries

and damage have resulted

from illegal decanting by

untrained people.

Heaters must be Australian

Gas Association certified

(as shown by a badge at-

tached to the heater).

Additional safety tip

Wherever possible, use fixed

natural gas supply heaters.

Fixed supply units offer a safe,

affordable and permanent out-

door heating solution for hospital-

ity businesses in particular. Res-

taurants, bars and cafes are a

dynamic environment where cus-

tomers can also contribute to the

risk by moving or adjusting port-

able heaters. Fixed supply units

eliminate this potential hazard, as

well as eliminating the need to

store and handle LPG cylinders

on site.

Source: Real Estate Dynamics

Property News—July 2014

15 August Mid Month Accounting 1 September End of Month Accounting

A Selection of Properties Recently Leased

Sinnamon Park House $800 p.w.

4 bed, 2 bath, 3 car accommodation

Quote

“You are never too old to set another goal or to dream a new

dream.”

—C. S. Lewis

Cannon Hill Townhouse $495 p.w.

3 bed, 2 bath, 1 car accommodation

RE/MAX Profile Real Estate 141 Boundary Road TEL 07 3510 5222 FAX 07 3876 5544

www.profilerealestate.com.au Bardon QLD 4065 Chris profilemanager@remax.com.au

www.propertyrentalsbrisbane.com PO Box 388, Paddington, 4064 Helen helenbryan@remax.com.au

Julie profilerentalsteam@remax.com.au

Errors & Omissions: These details have been prepared by us on information we have obtained and while we trust it to be correct, is not guaranteed by us and you should rely on your own enquiries.

Kelvin Grove House $500 p.w.

3 bed, 1 bath, 2 car accommodation

Calendar of Events

Dear Christina, We have been clients of RE/MAX Profile since 2005; having purchased our home through RE/MAX Profile and then using the firm as the letting agent when we moved overseas in 2007. The service provided by your company has been noth-ing short of exceptional. We would especially like to acknowledge and thank property manager, Helen Bryan who time and again, went above and beyond for us... from letting our house, to arranging maintenance quotes, and ensuring emergency repairs on the property were carried out quickly by reputable trades-men, Helen and the RE/MAX Profile team were there for us. As we have now moved back to Australia and are living in our house again we will no longer be a client of RE/MAX Profile, but we commend RE/MAX Profile to prospective clients as a reliable, trustworthy and highly professional estate agency. The event we re-let our property, we will certainly utilize RE/MAX Profile again! With many thanks again, Keira Anderson and Luke Anderson

Another happy customer—Wow Moment