Table of Contents
Acts, Legislation and Governing Bodies 4
Equal Employment Opportunity (EEO) 7
Managing Agent 8
Consumer Protection 10
What is Property Management? 12
The Leasing and Management Authority 12
Records Management Systems 14
Client Relationship Management Checklist 16
Marketing the Property for Lease 17
Marketing Activities & Plans 19
Research and Validation 20
Rights & Responsibilities 23
Rights & Responsibilities – Rental Providers (Landlords) 26
Rights & Responsibilities – Tenants 26
Before, During and After the Market Appraisal Appointment 27
Condition Report 28
Periodic Inspections 30
Repairs & Maintenance 30
Contributory Negligence – Balcony Collapse 35
Swimming Pools Safety 30
Risk Management 40
Risk Response 41
Tenant’s Request for Alterations 44
Trust Funds 46
Rent Arrears 48
Protection for Domestic Violence Victims 49
The Bond 50
Handling rental provider (landlord) or Tenant Requests 51
Questions for Understanding Motivation 52
CPPREP4121 Establish landlord relationships (VIC) 2
Listen Carefully 52
Complaint Management 53
Can a rental provider (landlord) sue an agent? 55
Retention of Documents 56
Work Health & Safety Act, 2011 (WH&S) 57
CPPREP4121 Establish landlord relationships (VIC) 3
Acts, Legislation and Governing Bodies
COMPETITION AND CONSUMER ACT, 2011
Commonwealth Statute
https://www.legislation.gov.au/Details/C2020C00079
- Preserves competition of private enterprise to benefit consumers
- Strengthen consumer protection
Australian Consumer Law and Fair Trading Act, 2012
State Act
https://www.legislation.vic.gov.au/in-force/acts/australian-consumer-law-and-fair-trading-act-2012/030
State Body
https://www.consumer.vic.gov.au
- Performs functions as required in the Estate Agents Act 1980
- Applications for objecting and/or granting license applications
- Complaints & disciplinary procedures
- Appeals against disciplinary procedures
- Administer the Property Services Compensation Fund
- Review statements of commissions claims
Estate Agents Act 1980 and Regulations 2018
State Legislation
https://www.legislation.vic.gov.au/in-force/acts/estate-agents-act-1980/128
http://classic.austlii.edu.au/legis/vic/num_reg/eacr2008n46o2008545/
- Sets standards and rules of conduct for property professionals
- Sets out requirements that are aimed at increasing consumer confidence
- Requirements for:
- Licenses
- Certificates of registration
- Auctioneer accreditation
- Corporate licenses
The Act regulates agents’ conduct and competence required to carry out the profession. The Act’s regulatory framework includes industry licensing, disciplinary procedures, and consumer protections.
The Regulations provide the detail for agents to carry out their responsibilities under the Act. It helps to ensure property agent business is ethical and financially accountable to support the Act’s role in supporting fair dealings between agents and consumers.
Residential Tenancies Act, 1997
https://www.legislation.vic.gov.au/in-force/acts/residential-tenancies-act-1997/098
This Act governs the relationship between landlords and tenants. It sets out the rights and responsibilities of both parties. Under statutory regulation, a rental provider (landlord) or agent must provide the ‘Tenant Information Statement’ (available free of charge from CAV) at or before the time of entering into a residential tenancy agreement.
Likewise, the landlords must sign ‘A Landlord’s Information Statement – what you must know before renting out your residential property’. They can only pass this on to the Agent to sign on their behalf once you have their authority to do so, acknowledging they are aware and understand the contents of the Statement.
Residential Tenancy Databases Act – Section 10A. – The legislation has been introduced to regulate the use of tenant databases to:
- Ensure that listed tenants have access to their personal information
- Amend incorrect information
- Tenants objections are listed
- Delete listings within the specified time frames
Equal Employment Opportunity Act 2010
https://www.legislation.vic.gov.au/in-force/acts/equal-opportunity-act-2010/020
- age
- breastfeeding
- employment activity
- gender identity
- disability
- industrial activity
- lawful sexual activity
- marital status
- parental status or status as a carer
- physical features
- political belief or activity
- pregnancy
- race
- religious belief or activity
- sex
- sexual orientation
- an expunged homosexual conviction
- personal association (whether as a relative or otherwise) with a person who is identified by reference to any of the above attributes.
Equal Employment Opportunity (EEO)
Employers should choose the best person for the job, whether or not that person has a disability. They should make this decision based on a person’s ability to perform
Unconscionable Conduct & Behaviour
Unconscionable Conduct:
- The parties meet on unequal terms because of some special disadvantage of the weaker party
- That disadvantage is evident to the stronger party
- The stronger party takes unfair advantage of this situation to gain a beneficial bargain
Unconscionable Behaviour:
- Fail to ensure clients with limited reading skills, or limited English, understand and agree to contracts
- Use a friend or relative of the client to influence the client’s decision
- Take advantage of the client’s sickness, age or disabilities
- Include false statement in contracts
- Create one-sided contracts
What is Property Management?
Property Management provides the “bread and butter” income of the agency. Property Management doesn’t have the external influences that drive the sales department, i.e. fluctuation in interest rates. However, it does have a similar effect of high and low demands and depending on the area, it may also be seasonal. It is a regular source of income and is a tangible asset which can be bought or sold, and banks will lend against a rent roll.
Client Relationship Management Checklist
An important part of the records management is to have in place a system of reporting to the rental provider (landlord) to ensure they maintain trust and confidence in the agency, that they also know what’s going on with their investment and when they can expect to hear from the agency.
These are some of the points that would be addressed in a checklist:
- Provide timely, relevant and up-to-date information to ensure positive landlord/agency experience
- Provide information on client needs in a manner that improves client relationships and the quality of services
- Maintain client service records that provide an accurate and objective record of communication with clients and other service providers
- Handle complaints in a manner that improves the agency’s reputation for quality service and integrity
- Reduce landlord, tenant and agent exposure to risk through prompt communication
- Ensure client satisfaction is surveyed at regular intervals and able to be used to modify or adjust client contact / agency marketing activities (e.g. Change contact information; property sold, etc)
- Ensure reviewed and updated information on agency services reflects current client expectations and improves the agency’s image
- Ensure opportunities arising from information provided by clients is able to be used to update the agency marketing strategy
- Ensure performance indicators enable policy review and activity adjustment to occur
- Process feedback efficiently and effectively