IMPROVES the quality of your tenants & REDUCES the risk of rent default...
We first subscribed to Trading Reference Australia (TRA) in 2001 and have had resounding success in providing a professional ‘edge’ in referencing Tenants, ensuring your Tenants rental payments are paid on time and are kept up to date and motivating the tenants to better maintain the property.
Since the implementation:
- rent arrears and defaults have reduced by 87%
- we have rejected numerous new tenant applications based on their poor rating or their unwillingness to sign the authority form to allow us to perform a Tenant data base check
- the appearances at the Residential Tenancy Tribunal has reduced by more than 90% for rent defaults when compared to the same period prior to its implementation
- property damage by tenants has reduced and the general upkeep of the property by the tenant has improved
Furthermore, due to the increased number of Tenants from interstate and New Zealand we have subscribed to a second Tenancy data base provider being National Tenancy Database (NTD). This improves our position when the Tenant is aware that their poor record is available to other real estate agents throughout Australia and New Zealand.
Most other property management firms do not subscribe to a tenant data base service or if they do, then it is most likely to be only to one service provider. We subscribe to two service providers to maximize our data base coverage to ensure that we provide a better service to you the Landlord.
We incur significant costs and utilize extensive resources as a result of subscribing to and implementing the procedures to check tenant applications and keeping tenants paid up to date. When a tenant falls into arrears or damages the property we generate a warning letter from TRA and/or NTD which notifies the tenant that they may be listed on the data base if they do not remedy the breach.
As a consequence we need to charge a nominal annual fee. This represents an effective after tax cost of 1 cappuccino per month to ensure your tenants pay their rent on time. Since its implementation 16 years ago we have not increased the cost to you even though our costs have increased over this time.
As you can see, the benefits far exceed the minimal outlay.