From 30 January 2017, changes to the Residential Tenancies Act 2010 (the Act) make it mandatory for landlords and real estate agents to invite tenants to lodge their rental bonds using Rental Bonds Online (RBO).
The amendment does not change any other provisions in the Act, including those relating to the lodgement and claims for bonds.
Landlords and Real Estate Agents
From 30 January 2017, landlords and real estate agents are required to be registered with RBO and invite new tenants to provide their email address for the purpose of initiating the RBO bond lodgement process.
A landlord or agent who fails to invite a new tenant to lodge their bond using RBO, prior to accepting a bond, will be in breach of the Act. A penalty of $2,200 may apply.
Tenants who do not have internet access can continue to give their bond directly to the landlord or landlord’s real estate agent. The landlord or agent is then required to lodge the bond with the Rental Bond Board using the current paper based method.
More information: Contact our Property Management Department on (02) 9719 8288 or email us.
On July 1 this year the Federal Government activated a new measure to capture capital gains tax on the sale of property by foreign owners. This was in response to a realisation that almost all foreign owners selling property at a profit have quickly been moving their money off-shore – thus avoiding payment of capital gains tax.
The new regime affects all properties sold for $2,000.000 or more. The purchaser of a property must hold back 10% of the sale price at settlement and remit this to the ATO.
Sellers can apply for an exemption. The reality is just about all applications, where the owner is an Australian tax payer and/or there is no capital gains tax payable, are approved and the settlement of the sale goes through in the normal way. However – there is a massive “trap” that will undoubtedly catch many purchasers. This is the “trap”… If a purchaser is not provided with an exemption certificate and does not retain the 10% then the PURCHASER STILL HAS TO PAY THE 10%, PLUS INTEREST!!
Imagine purchasing a property for $2,200,000 (not hard to do in Sydney) and then, a few months later, receiving a demand from the ATO for $220,000 plus interest!! It may be easy to dismiss this new regime as one affecting only expensive properties. However, with the passage of time more and more properties will fall into this category – and there is no guarantee that the regime will not be expanded to include properties of lesser value.
Never has it been more important to get the best professional advice when buying or selling property!
Australia’s National Asbestos Awareness Month this November aims to stop Australian’s from playing ‘Renovation Roulette’. The initiative has been put together by the Asbestos Education Committee, in partnership with the Asbestos Diseases Research Institute and the Heads of Asbestos Coordination Authorities. The campaign aims to educate homeowners, renovators, handymen and tradespeople about the dangers of asbestos and how to manage it safely.
Asbestos in Australia
Australia was among one of the largest consumers of asbestos containing materials in the world with asbestos-containing products still found in one in three brick, weatherboard, fibro or clad homes built or renovated before 1987.
A spokesman for the Asbestos Education Committee said: “Asbestos was used in the manufacture of a broad range of products. It could be anywhere! Without knowing where these types of asbestos-containing products might be located or how to manage and dispose of asbestos safely, Australian’s play a risky game of ‘Renovation Roulette’. If they disturb asbestos-containing materials and release fibres that can be inhaled, it may cause asbestos-related diseases including malignant mesothelioma.”
Asbestos can be found in carpets, linoleum, vinyl tiles, behind wall and floor tiles, in cement floors, internal and external walls, ceilings and ceiling space (insulation), eaves, garages, roofs, around hot water pipes, fences, extensions to homes, garages, outdoor toilets, backyard and farm structures, chicken sheds and even dog kennels.
More information: www.asbestosawareness.com.au.
New strata laws will start on November 2016. They have been modernised to fit the reality of
living in a strata townhouse or apartment today.
The new building defect bond scheme will start on 1 July 2017.
Currently more than a quarter of NSW’s population lives in, owns or manages strata.
Many new requirements will not impact strata communities immediately. This includes allowing
time for pre-appointed strata managing agents, building managers and executive committee
members to continue in their roles once the law reforms start.
Contact your property manager for more information or check out www.fairtrading.nsw.gov.au.