Landlord Fine Highlights Property Management Value

A recent case in Western Australia has highlighted the legal responsibilities that come with managing a rental property, and the potential consequences when tenancy obligations are not met.

A Jane Brook landlord has been fined $3,300 and ordered to pay $2,606 in costs after failing to lodge a tenant’s $2,200 security bond with the Bond Administrator within the required 14-day period.

The bond was received in December 2023, but more than 900 days had passed by the time of sentencing and the money had still not been lodged.

While the case may seem like a simple administrative oversight, it demonstrates the importance of understanding and complying with WA’s residential tenancy laws. For private landlords, managing a property involves much more than finding a tenant and collecting rent. There are a range of legal obligations that must be followed throughout the tenancy.

Keeping Up With Changing Rental Laws

Western Australia’s rental laws have undergone significant changes in recent years, covering areas including rent increases, pets, minor modifications and tenancy processes. Further reforms are also expected over the coming 12 months.

For landlords managing their own properties, keeping up with these changes can be challenging. Failing to understand or follow the requirements can result in financial penalties and create unnecessary disputes with tenants.

The recent case is a reminder that even seemingly straightforward responsibilities, such as lodging a bond, need to be handled correctly and within the required timeframe.

The Value of Professional Property Management

For property investors, engaging a professional property manager can provide valuable peace of mind.

Professional property managers are responsible for staying across changes to tenancy legislation and applying those requirements throughout the management of a property. They also have established systems and processes to help ensure important obligations, deadlines and documentation are not overlooked.

Property management is a specialised profession, and having an experienced professional manage a rental property can help protect both the investor and the tenant.

For investors considering managing their property themselves, the recent Jane Brook case is a timely reminder to understand the responsibilities involved. With rental legislation continuing to evolve, professional property management can offer valuable support in navigating the increasingly complex requirements of owning an investment property.