Aunty has not paid rent for a year

eneloop on 14/10/2016 - 09:06
Last edited 17/10/2016 - 19:32

Guys, I need your advice.

My aunty(mums sister) owes me one years worth of rent.

She is a single mother she has a son(my cousin) unemployed( not receiving any government payments) 24 years old.

I have a unit in Sydney 2 bedroom and am currently renting it out to my aunty for $325/week when the market value is between $450-510

She has been living in the unit with her son for about 8 years now and I have never increased the rent.

She has been in and out of different jobs in that period of time and my cousin has also been in and out of work.

The last rent was paid 13 October 2015. I initially didn't say anything for about 6 months hoping she was putting the money aside for me. When I asked her about the rent she said "you didn't say anything and I said stuff him and put have been putting the money towards my personal loan".

I really feel sorry for them. My nrs even said to me to wipe off all her debt and let them start from scratch.

Another thing is, these people don't appreciate this.

My cousin just got back from an overseas holiday where he told me he spent 9K

What should I do?

I want to put the rent up, but they can't even pay the $325 I want to kick them out but it's my aunty and they won't be able to afford anywhere else.

Update:

So I have been thinking today while I was at work and am going to take the following steps to try and sort this out.

I don't want to damage the relationship I have with my cousin, I'm not to concerned about my aunty. My cousins father left them when he was 9 and this effected him a lot. My aunty remarried but that didn't last too long. I have been somewhat of a father figure to my cousin but he does have some anger issues and can be very stubborn at times. I am currently trying to find him a job.

I am going to sit them both down and explain the situation, I'm not sure if my cousin even knows I'm not getting rent as I never mentioned this to him. I'll ask for rent to be deposited into my account when it is due. I will raise the rent to $450 January 1 2016. I will still persue the money they owe me which is $23,000

Update 2 (15/10/2016)

I just spoke to my aunty and cousin they thought that I was letting them stay for free because I didn't ask for rent.

Financial

Comments

  • outlander on 14/10/2016 - 12:31
    +5

    Talk to her mother and father. Tell them what a disappointment shes being

    • onetwothreefour on 14/10/2016 - 12:41

      Haha I think that only works on 8 year olds.

      • outlander on 14/10/2016 - 12:50
        +5

        Everyone's a 8 yr old once you peel back the layers. Rat her out

    • MeesusEff on 14/10/2016 - 18:02
      +6

      especially if they are asian!

      note : i am an asian.

      • fruit on 16/10/2016 - 19:03
        +2

        I'm disappointed in you.

        note: I'm a fruit.

  • eneloop on 14/10/2016 - 12:44
    +1

    I have always had a soft side when it comes to people who are in need, no matter who. The sad thing is they are family.

    I don't think that they are trying to screw me. They have looked after the unit I won't deny it. I have a very understanding wife and she helps me out giving me money each week out of her pay.

    I am not rich, I live on rent myself, I ha ent been on a holiday since I got married in 2011 and I drive a 2005 Holden that my father gave while my cousin drives a 2013 Lexus (on finance) but these don't matter to me.

    I just need to ask them both nicely and tell them I would like to increase the rent starting January. I was thinking $425 and that's still cheaper than it is.

    • kerfuffle on 14/10/2016 - 12:46
      +22

      But how can you increase the rent when they won't even pay you rent? Plus the cousin drives a Lexus …

      • Wampus on 14/10/2016 - 14:07
        +31

        Yeah, if they're going on 9k holidays and can pay off a Lexus loan/lease, they're not 'in need'. They're taking advantage of you.

    • onetwothreefour on 14/10/2016 - 13:06
      +30

      don't think that they are trying to screw me.

      Sorry but not paying rent for 12 months while going on $9k holidays and driving a lexus is screwing you.

    • [Deactivated] on 14/10/2016 - 13:10
      +11

      I don't think that they are trying to screw me

      they are certainly trying to screw you. they knew they weren't paying you rent and just decided not to mention it and spend the money on their personal loan. How did they even get a personal loan if they can't afford to pay rent? How did they afford a 9K overseas holiday? How can they afford the lexus?

      Also, you're a sucker for letting it go for so long without bringing it up. They sound like the kind of people who will be impossible to evict. Just sell the place

    • Randxyz123 on 14/10/2016 - 13:25
      +11

      I am not rich, I live on rent myself, I ha ent been on a holiday since I got married in 2011 and I drive a 2005 Holden that my father gave while my cousin drives a 2013 Lexus (on finance) but these don't matter to me.

      I don't think that they are trying to screw me.

      You're trolling right?

      Of course they are. Basically Tell them to get the f*** out of your house. I would actually just say that to them.

      You don't need a reason it's your apartment.

      Driving a lexus , going on a 9K holiday and living in your f***ing apartment for free is SCREWING YOU.

    • Olokun on 14/10/2016 - 13:27
      +3

      I just need to ask them both nicely and tell them I would like to increase the rent starting January

      Just be prepared for them to either turn on the water works and cry poor me or turn nasty on you and slam the door in your face.

    • duchy on 14/10/2016 - 17:56
      +10
      1. Get landlords insurance
      2. Get property manager
      3. Increase rent
      4. Let PM to deal with the storm
      • fruit on 16/10/2016 - 19:04

        wasn't there a thread about how landlords insurance is bs?

        • tonka on 17/10/2016 - 18:48

          Plus can't get landlords insurance while rent is in arrears.

    • dellbon on 14/10/2016 - 22:44

      Sorry to say, but I think they think you look like a bitch.

    • shalala on 15/10/2016 - 00:53

      Mate, by the look of it I think your are not even remotely close to your rent. You better fix it or it will end badly. Your choice :-)

    • Peanut money on 15/10/2016 - 12:32
      +2

      It's really only a Toyota

    • sleet on 16/10/2016 - 04:23
      +2

      I think you need help more than they need help. Please open your eyes man, please.

    • releasethekr4cken on 16/10/2016 - 09:23

      sorry guy, but I had to downvote this comment because it's pretty obvious they are screwing you, whether you think it's intentional or not, they know it's intentional.

    • the frost on 17/10/2016 - 23:01

      I just want to say you're a really good person. It's good to ask here for advice but don't get caught up in all the negativity some people are shooting at you.

  • eneloop on 14/10/2016 - 14:01

    Guys. I don't want to sound like a victim and give you guys a sob story. My cousin is 24 his mum is probably late 40s. The reason I let it go initially was that I used to get my rent as cash. I have Mondays off and my cousin used to bring it down to me( I would go to their house to pick it up) and then I would end up hanging out with him going lunch and the bill will always end up on me(I'm 35 so I used to think big cousin thing and him not working) I didn't mind at first but his attitude started to get to me so I stopped going and just thought let the rent build up, at least I will have some money saved up on the side. My aunty does not use internet banking.

    • tomsco on 14/10/2016 - 14:11
      +9

      I'm sure your cousin uses internet banking, let him handle it.

      • JediJan on 15/10/2016 - 13:34
        +1

        If he drives a Lexus then he certainly has a mobile phone; most plans come with included data … use that for internet bankIng, or they can go to Maccas. My mother is 88 and she does internet banking.

    • BigTed on 14/10/2016 - 15:41
      +7

      Are you hinting that you are committing tax fraud by failing to declare your rental income?
      Does that also mean that you don't have a lease or bond?
      My sympathy for your (self-inflicted) situation is evaporating fast.

      • twoface41face on 14/10/2016 - 15:50
        +5

        I don't think he's asking for tax advice. He's asking about alternatives on how to deal with his current rental situation.

      • cocomelon on 14/10/2016 - 16:24
        +5

        he is not the only person who is doing it, better than taking money from centrelink

        • callum9999 on 15/10/2016 - 14:59
          +3

          It's also better than mass murder, doesn't make it acceptable.

        • altomic on 26/10/2016 - 23:59

          @callum9999: I don't think murdering his aunt and cousin is the answer.

      • syousef on 14/10/2016 - 18:17

        Hinting? Heh.

    • callum9999 on 14/10/2016 - 16:43
      +6

      So they didn't decide to stop paying, you stopped collecting it because you didn't want to buy your cousin lunch (and for some reason couldn't just tell him that?)?

      It seemed like a weird story.

    • Randxyz123 on 14/10/2016 - 16:54
      +1

      Alright send them a text saying you'll be there on Monday at 10am to pick up your money. If they don't have it tell them to start looking for somewhere else to live.

      Who the heck doesn't use Internet banking , it's 2016 for gods sake.

      Regardless tell your aunt to go into the bank and make a transfer if they can't give you cash.

      There are definitely details missing here…

  • snook on 14/10/2016 - 14:21
    +6

    ppft, haven't paid rent for a year and not screwing you?
    Please.
    Chuck them out.

    A WHOLE year!? Unbelievable. You are a sucker.

  • altomic on 14/10/2016 - 14:33
    +2

    Put the rent up to market value. Tell them to start paying it regularly or get out. It's not your problem. You've been giving them a break for a long long time. It's time they became responsible

    • [Deactivated] on 17/10/2016 - 19:03

      He can't. Rent can be raised by only 5% every six months no matter how much he is charging at the moment. If I were OP, I would send them an eviction notice. Even then his aunt is still allowed to refuse to leave the property and take the dispute to the local stats's civil tribunal.

  • lethalmoney on 14/10/2016 - 14:41
    +1

    Save yourself… Notice of eviction straight up.
    None of this "wipe the debt, give them a hug bullshit"…

    When they refuse to move out and you have to go to civil tribunal, you'll want all the leverage you can have. Magistrates live to fell sorry for leeches of society.

    Good luck. Be tough.

    • JediJan on 16/10/2016 - 13:20
      +2

      You can bet your life on it … if it does go to a civil tribunal (highly doubt that the OB would have the guts to do this) … Then they would simply say "but we have paid the rent; we gave him cash and we didnt bother with receipts anymore because we are family." Who do you think the magistrate would believe? Then court costs are also awarded to the OB to pay, and he is still stuck with Aunty and cousin living in his property … rent free of course.

      Notice of eviction really needs a qualified legal courier to deliver, or again, no proof one was delivered in the first place.

      • ATD on 16/10/2016 - 14:44

        Nice story, but not really reality. They would have to show evidence that the money was coming out of their account weekly for rent. Where a problem could arise is if they took that exact amount out and then used the cash to pay something else (loan) thus making it appear they were paying rent in cash. Of course, a risk of perjury if they lie about their finances and it is found out.

        What is a "qualified legal courier"?

        • JediJan on 16/10/2016 - 14:57

          A reputable one that a solicitor would use for despatchimg summons etc. I would be wary of the OB giving them one, as they could simply deny it. They would probably treat it like a joke. Yes, many people commit purjury in court … quite often when money is involved. As these two adults have not paid any rent for a whole year, I simply would expect them to lie, as their scruples so far seem rather indicative of that. Probably have more than one account, deduct the cash and place rent money in the 2nd account; to spend on cars and holidays etc.
          Easily done.

  • garetz on 14/10/2016 - 14:51
    +1

    You were foolish, its a valuable lesson, learn from your mistake. Waiting 12 months is pretty crazy, i would wait 3 months for family, but also keep talking to them about it, letting it go and "hoping she was putting the money aside for me", was a delusion on your part. Communication is the best form of actually finding out what they are doing/thinking. If they are willing to screw you for 12 months rent, imagine how they are treating your place, probably not as well as you think. They obviously have no respect for you, and don't care that you are their family, so why would you reciprocate. At this point if i was you, i would bill them for what they owe, send it do a debt recovery agency, then give them notice before kicking them out.

  • MagicWhip on 14/10/2016 - 14:51

    It is a delicate situation. You are in your rights to demand the back-payment etc but that will be difficult with family politics etc.

    Best option may be to write-off this debt and sell the property. Tell them in advance you are selling as you have accumulated debt from supporting them and can't continue.

    This may provoke a reaction.

    Alternatively, perhaps transfer the arrangement to take the rent through a property management company. Update the lease.

  • JimmyF on 14/10/2016 - 14:53
    +3

    Yep OP, you're being taken for a ride…. Tell them to pay up, or start the process to have them removed.

  • Trying2SaveABuck on 14/10/2016 - 14:54

    Oh family and money always a difficult situation. To be frank from the sounds of it you're doing quite well financial and you aunt and her son are not.

    Which always makes renting to family difficult! you cannot expect them to pay a cent if you dont have a contract in writing and my advice is because it is close family if you have the financial capabilities write off the debt but tell them they need to move out because you cannot allow them to live rent free.

    Be honest did you try to do the 'cash job' without an agent or contract to avoid taxes etc (that what it sounds like to me) It sucks that your family is leeching off you but that is the risk when doing business on any level with family.

  • macrocephalic on 14/10/2016 - 14:57
    +2

    Put the property in the hands of a RE, see how long they can go without paying rent. Let the REA do all the paper work of getting them kicked out.

  • fullmetal on 14/10/2016 - 15:17
    +3

    If they can find money for holidays and lexus, they can find money to rent another place. Don't feel bad in increasing rent or evict them.

  • CI on 14/10/2016 - 15:38
    +6

    Unfortunately you'll have to harden up. It may have been understandable if they were your brother or sister and also didn't go on a holiday to spend that much. But in this case you'll have to man up. My father bought his brother a house fully paid off before he got one himself - they haven't spoken in years due to a fall out - worse decision in my opinion. But if it gave him satisfaction in doing that then I still support my father.
    I simply do not mix money with family. I straight up say no. Instead I do things such as "don't worry I'll pick you and drop you to airport", "please borrow my car for a week because yours is broken down, don't worry it's fully insured I will even pay excess if ssomething happens". Simple little things to show your support for family, it's human nature.

    • JediJan on 14/10/2016 - 16:50
      +5

      I have gamblers in my family. There is a saying about not helping others with money unless you can afford to give it away and forget, so basically any loan is a write off but if you get paid back a bonus.

      I have been abused because I wouldn't do a cash advance on my credit card … I am a total bitch because of that. I have given much time, and small amounts of financial help, to my family and friends in the present and past but I won't part with money to gamblers.

      Your father sounds like a wonderful and generous man; you must be very proud of him. Such a shame the two brothers cannot mend their differences.

  • HoracePinker on 14/10/2016 - 15:46
    +5

    You know if you let this go on long enough they will have squatters rights and claim this property as theirs…

  • booyakasha on 14/10/2016 - 16:02
    +3

    Hurts reading this… Have they at least taken you out for dinner? You should have at least been wined and dined before they screwed you!

    • JediJan on 14/10/2016 - 16:37

      LOL; Did you miss the bit about him being footed with the bills before.

      • fruit on 16/10/2016 - 19:05
        +1

        South Park reference

  • Excelsior on 14/10/2016 - 16:08
    +5

    Just going to be blunt and honest here. If you give people the chance to walk all over you, they'd happily do it. If they really consider you "family" they would at the very least be 100% aware of how you must be feeling and bring it up to you no matter how uncomfortable the conversation might be. The fact that they pretended to be oblivious about it says it all. No money for rent but ok to blow $9k overseas? Yeah okay.

    In this case you need to put yourself first. People will continue to take life for granted if they don't learn to live the hard way.

  • JediJan on 14/10/2016 - 16:15
    +2

    Hire a solicitor to do the legal stuff; I think that would be money worth spending. As nice as you are a person, I don't think you can do this without that kind of help. Sure there will be some flack, but they have already indicated they have no respect for you, so there is nothing to lose. Distance yourself from them; you are better off, financially and mentally, without family like that.

    Next time have a solicitor (or, ahem, a real estate agent) draw up a legal lease and take out landlord insurance. Also, don't let the unit to anyone remotely related to family or friends.

    And … don't worry about Aunty and cousin; they will most definitely be able to find somewhere else.

    Ps. I just bet one (or both) of them is also claiming rent assistance from Centrelink, illegally too. Just hope that they don't scam somebody else. Wipe your hands clean of them.

    Pps. Anyone else from your family displaying any discontent can certainly be dealt with "Well, you can look after them (no rent and all) then" and expect to hear their excuses. They will soon skulk away silently.

  • wako on 14/10/2016 - 16:17
    +3

    I would stop reading here and start the ball rolling

    Amount of notice required
    If you want the tenant to vacate you must give them a termination notice. The notice must:
    be in writing
    be signed and dated by you or your agent
    be properly addressed to the tenant
    give the day on which the residential tenancy agreement is terminated and by which the tenant is required to vacate
    where appropriate, give the grounds/reason for the notice.
    You can write your own notice or use the model termination notice provided by Fair Trading.
    The minimum period of notice you can give the tenant to vacate is:
    14 days – if the tenant is 14 days or more behind with the rent or has committed some other breach of the tenancy agreement

    http://www.fairtrading.nsw.gov.au/ftw/Tenants_and_home_owner…

  • JediJan on 14/10/2016 - 16:30

    If she goes with your suggestion you would have to ensure the notice is delivered appropriately too, by registered mail or by a solicitors preferred courier service. I can see the aunt and cousin ignoring such a notice otherwise. Doesn't sound like they have a lease agreement to start with. Even though word of mouth is acceptable it is very difficult to prove otherwise.

  • johndoe789 on 14/10/2016 - 17:08
    +1

    Because the way you structured the payment (cash in hand, off the books), I assumed you don't want to blow this up to "official" eviction nor small claims court cases.

    I would just tell them "My financial circumstances had change and I want to start leasing the place at market price and through proper channels. If you want to stay, you can send your application to my property manager".

    Wipe their debt and move on.

  • winhhh on 14/10/2016 - 17:22

    They're taking you for granted. Sure, they're family, but family doesn't screw over family.
    It's time to have a serious talk, either let them pay or evict them. What's fair is fair, and what's not fair is you losing thousands upon thousands of dollars because they can't get their act together.

  • Stphen on 14/10/2016 - 17:48
    +1

    Ask yourself the question, can you afford to let them stay rent free, as this will continue to happen if you let it? Get active with this, go see your family in person, ask them for rent and let them know you cannot afford it. Give them and yourself a wake-up call.

    Sounds like you have grown apart from them and do not see them very often. Make it easier for them to pay rent by providing some options to pay, you do not seem to have given them one and "hoping she was putting the money aside" is an option to opt out of paying.

  • [Deactivated] on 14/10/2016 - 17:53
    +3

    I volunteer as tribute to drag then out of your house. Ungrateful dropkicks make me rage

  • DrDollar on 14/10/2016 - 18:18
    +1

    How horrible. Don't feel sorry for these people. Perhaps if they were actually paying the rent and just scraping by i'd feel a bit sorry for them. But not paying the rent at all, and clearly spending that money on wants, not needs? Seriosuly?

    You've mad a mistake by not following up 2 months in, especially when it comes to family, it is almost more important with family.

    They've shown complete disregard for you.

    Evict and move on. Or up the rent where it should be ensuring they start paying future weeks rent immediately and see if you can come to an agreement with them to pay back at least some of the rent they have not paid over time.

    With their attitude though you could see yourself in the same situation later on.

    I'd get them out.

  • syousef on 14/10/2016 - 18:20
    +12

    So many levels of messed up.
    - Likely tax fraud. This makes you a nice guy?? Do you think you're Robin Hood?
    - Making excuses for relatives that are definitely screwing you over.
    - Didn't talk to them the first week rent was late but left it for roughly 52.
    - Asking for advice on Ozbargain? Then arguing when people give you advice?

    You don't want advice. You want validation for this mess and a pat on the back for being a nice guy. No. Just no.

    • sleet on 16/10/2016 - 04:28
      -1

      Exactly. Nothing more to say or read. Harden up OP!

  • overlord on 14/10/2016 - 18:20

    they might pass your name on to the ATO.

  • bs0 on 14/10/2016 - 18:42
    +1

    Obviously it's left you out of pocket, and caused you quite a bit of distress, I think you really need to take a hard stance from now on.
    IMO, the options are:
    1) They move out
    2) They stay, but start paying rent at the market rate.
    3) They stay, but start paying rent at higher than market rate.
    You would need to go through proper channels and get an agent etc.
    Probably write off the debt as a expensive lesson/family matter too.

  • imcold on 14/10/2016 - 18:55

    Yes as you said they have been taking you for granted. Due to family ties they think they can live rent-free

    Its best not to WIPE all the debt right now. If you really want to wipe of the debt it be done provided they pay the rent reasonably on time for a set period into the future. For example you'll wipe off 1 month of their debt if they pay on time for a whole month.

    But you almost waited one year. Something ain't right.

  • EmCKay on 14/10/2016 - 18:57
    +3

    I would be really interested to hear your mum's opinion on the situation after all it is her sister.

  • AMLagonda on 14/10/2016 - 18:59

    Can I ask, can you get your mom your dad to help sort it with you, this seems an awkward situation and it's not going to turn out the best whatever you do :/
    Made my problem seem small.

  • whatthecrappin on 14/10/2016 - 19:31

    Personally I don't mix business with family or friends and I always use an agent.

    If you had to rent to family or friends - using the agent at least formalises the agreement.
    ie there's a contract drawn up etc

  • ihbh on 14/10/2016 - 19:53
    +1

    Note that while the rent is below market, you are not paying commission to a property manager, so you can't have your cake and eat it too.

  • infinite on 14/10/2016 - 20:04
    +1

    Give them 14 days to either pay what they owe, or begin repaying the money owed on top of their current rent. If the rent for the fortnight that's due in a fortnight & total owed (or agreed beginning of repayment) hasn't come forward, then you need to man up and kick them out. Investment properties are not charities & you can't let people cuck you like in general anyway, even if it is family. What they are doing is completely unacceptable and you cant let anyone disrespect and trample all over you like that, not even family.

    Best of luck and hopefully you start getting some revenue coming in soon.

  • thestripedlion on 14/10/2016 - 20:11
    +4

    OP, you seem like a nice guy and feel for your family. From other peoples comments they should be kicked out simply for the fact they are taking advantage of you (going on 9k holidays and driving a nice car). However this MOST LIKELY is under credit from loan companies and that's why they're in such a crap financial situation.

    Without kicking them out you need to get on the same page as them and see what they're financial situation is like and you may be able to come to a compromise with them. The interest on loans is ridiculously high (especially if it is a small loans company) and it would be best if they got a handle on they're financial situation.

    You will need to be firm about the agreement that you have made with your family members and that you EXPECT the rental payments to be made each week, regardless of whether you come to collect or not. For now you can put their owed money on hold until later and create extra payable installments every month to cover the lost cost for the previous year (no interest) until they get their financial situation under control. This is because taking out loans is addicting and it makes people think they have more money than they really have as they are able to make a purchase to fulfill their selfish needs…

    You shouldn't wipe their debt clean because they wont learn from their mistakes and let their rental payments "slide" again. But you can give them a discount of about 20% (this is to help them get their financial situation together. The less credit they have the better for them and the better for you too). So the total they owe you is about $13k.

    Sorry for long post OP but I feel that you want to keep them inside a property and its better to be yours than someone elses if they dont pay. Long story short help them get their financial situation together and be firm with your agreement, keep them if they improve, if not kick them out. if needed show them the comparison of rental payments in your area and around it etc..

    send me a message if you want to talk :)

    • eneloop on 14/10/2016 - 20:44
      +1

      I really appreciate this advice. I read is 5 times. You have great wisdom. I know in my heart they are not trying to screw me over but maybe they are taking advantage of my generosity. I understand some people just end up having a horrible life no matter what they do. I am family and don't want to be the bad guy. I'm not worried how they treat me or if they react badly I just want to be nice to them and help them out.

      I guess I just wanted to know how to approach the situation and how to go about executing it.

      • lplau on 15/10/2016 - 09:03
        +2

        Sometimes you just have to be not so nice as helping them is often enabling them.
        When people are pushed into a corner they will do anything to learn or to remedy their situation.

        Its a similar situation to giving gamblers money because you want to help them…..
        Instead you are giving them money to continue their habits of not paying back and allowing them to indulge in their addictions of taking advantage of you.

        Its a bad place to be, but its professional development for you and for them.

        Remember, non-contract lending to family and friends is often a bad idea if you want to actually get the money back. It comes back to the age old saying about "Money is poison it will destroy everything in its path". Its so true as it will often destroy friendships and relationships.

        • JediJan on 15/10/2016 - 13:48
          +1

          Totally vouch for that. I am a total b because I wouldn't do a cash advance for a gambling family member years ago. I am not a total idiot and I refuse to go into debt for his addiction (he ended up going bankrupt). That we no longer associate with one another is far easier now than being seen as an enabler. To see and hear him abuse another family member for not giving him money was the straw that broke the camels back.

        • Deridas on 15/10/2016 - 14:32
          +1

          @JediJan:

          I agree with Iplau and JediJan.

          Money is such a sensitive topic, i myself would rather break the family ties rather than continue being hurt. Clearly you're hurt at present. You don't need this Aunty and cousin in your life.

          Protect yourself. Nobody will look after you except for you.

  • eneloop on 14/10/2016 - 20:29
    +12

    I have a tenancy agreement form and have lodged the bond with fair trading. I also was providing receipts and also this shows up on my tax return. My aunty was also receiving rental assistance which I had to sign and put in the amount of rent I am receiving. I thought I'd provide this information for those concerned that I was doing things under the table

    • tomsco on 14/10/2016 - 21:08

      Thanks for clarifying.

    • duchy on 14/10/2016 - 21:23
      +2

      Your situation sucks, but it can be rectified quite quickly.
      I will say it again. Hire a property manager. You need a buffer between yourself and aunty. They are worth the money, trust me.
      Let them deal with the tenants. If something goes wrong, they have means to make it right (eviction etc…).

    • Stphen on 14/10/2016 - 21:33
      +1

      My aunty was also receiving rental assistance which I had to sign and put in the amount of rent I am receiving.

      If she is still getting rent assistance and not paying rent, that could possibly get both of you into trouble, considering the amount of time she has not been paying rent and you signed a form stating she pays rent.

      • eneloop on 14/10/2016 - 22:15

        I'm not sure if she still is but she did get a job at Masters recently and now it's closing down

        • shalala on 15/10/2016 - 01:01
          +3

          This will get you into trouble quickly. If they are not paying you rents but collect from the government, this is fraud and could get you into jail….at the very least you should let the department know and seek their advises.

        • JediJan on 15/10/2016 - 13:56

          @shalala: I don't believe the OB will have any problems, so long as he is not signing that he is still receiving that rent from them. If the Aunty (and/or cousin) is/are doing this then they are the ones that will have to provide some form of proof that they are paying rent; Centrelink does request this proof from time to time. So, if they are still receiving this; either they are claiming rent assistance fraudulently or Centrelink is stuffing up … they at the very least will have to pay that back to Centrelink. If OB is still signing some proof of rent paid then you can bet that Taxation will expect to see it on his tax return. Any anomalies there will mean they will most probably delve into a few previous years too.

    • JediJan on 14/10/2016 - 22:10

      I believe you will find they are still claiming rent assistance from Centrelink. That could also be putting your credibility with the Tax Office in jeopardy. (That is something you could include with your next conversation … they may have to pay Centrelink back too.)

      Sorry you are in such a difficult situation but remember there are others out there doing things much harder than your aunty and cousin, and still manage to sonehow oay rent. I doubt if they would not have secured any finance without having more than a Centrelink pension coming in, unless they (probably) lied on their applications. If the worst comes to the worst for them they can still go bankrupt; and that should stop them taking out any more loans and getting into further difficulties.

  • Mrgreenz on 14/10/2016 - 20:57
    +3

    60 dollars a day goes from your pocket to theirs every day. Put a stop it it asap, they Don't respect you obviously, otherwise they would realise how good you were to them with cheap rent for the last few years.

  • nimnomnimy on 14/10/2016 - 22:05
    +1

    just be honest, eg "you agreed to pay rent while living here and you haven't honoured that agreement. The place is an investment and I need the rental income. The market rental rate is $435-500 (whatever you would expect from a stranger), if you want to stay then you need to take a loan or find a way to pay the outstanding rent and be able to pay the new rate on time"

    family or not family, you are only as good as your word. They are adults and not your responsibility. at the end of the day, you are losing out and if you are comfortable with that or you feel good being charitable then do what feels right but don't feel guilty when they have been doing the wrong thing.

  • berry580 on 14/10/2016 - 22:22
    +2

    Probably not the most useful comment given where your situation is already. But renting to a family, relative or friend is really just the best avenue to ask for trouble in the long run, as a rule of thumb.

    Speaking with your elders who has influence might be a worthy (and inexpensive) strategy. Probably a good idea to be prepared to cut you losses, consider to just kick them out and rent the place at a market rate through a reputable agent.

  • Baebs on 14/10/2016 - 22:43
    +1

    You should have been more straightforward with them, no point in increasing the rent if they aren't going to pay the current rate - kick them out.

  • tonka on 14/10/2016 - 22:46
    +1

    I think you are possibly being bullied by your family and you are so used to it you dont even recognise it. Youve let this continue without sticking up for yourself. Sorry that is not you being nice it is being well conditioned. The fact that you are worried about their feelings/reactions when you are clearly the victim is a giveaway.
    You are probably a nice caring dude unfortunately that will attract soul sucking parasites that are both painfull and necessary to remove. Yes i've been stuck into the same situation myself.

    • tonka on 14/10/2016 - 23:25
      +3

      Btw when i finally got the parasites out of my property i found
      As well as crying and sob stories and defaulting rent on a house I was giving them at half market price
      They were getting stacks of rent assistance
      They were subletting to five boarders and had set up the garage as a flat.
      They left thousands of dollars of damage
      They were growing drugs

      Yes i had it rented through an agency. This made no difference just cost me more money as the agency kept taking them to tribunal where they cried in front of a judge instead.
      Only way I could get them out was by moving in myself.
      While not impossible it is extremely unlikely that people who have learned this sort of behavior will change.
      An alternative is that one of the 2 may have a gambling problem which is a different beast and can only be beat by you rent being deposited directly from centrelink, it may also explaon binge spending on holidays if there had been a win.

      • JediJan on 15/10/2016 - 14:03
        +1

        Good (experienced) advice. Only problem with having a payment withdrawal system (Easy Pay I think) is that the pensioner can have this cancelled when they wish to. Ps. Pensioners can apply for advance payments too (of about $1,000 I think), which they can pay back to Centrelink interest free. That could help with some of that rent owed (from each pensioner too) if they have not already done that.

  • jonohaha on 14/10/2016 - 23:11
    +2

    This is why I would never rent out my properties to friends or relatives. Not because Im a cold hearted person, but I treasure every relationship and I know its very easy to lose one when it involves money.
    I guess the only option is to tell them to pay rent and if they dont, take the matter to RTA (if it is under tenancy agreement).

  • prinsenhof on 14/10/2016 - 23:48

    I cant believe no one mentioned bikies !!

  • uraha on 15/10/2016 - 00:24

    I will buy the property off your hands. That would solve your problems.
    I offer 80k to cover all the potential rent :P

  • alucard147 on 15/10/2016 - 01:53
    +1

    you don't need this kind of family relationship when they own your money and live your place and don't appreciate what you have done for them.
    the best choice if i were you, i would say..pay the money now, rent rise next year, or else, pay the money now, move out, or, move out and see you in court.
    it is clear to see that they are lazy. Job in and out? wtf, if they really work hard the boss keep them for sure, and they will get paid therefore they are capable to pay your rent.
    holiday spend 9K? 9K? out of job spend 9k? insane, what else can we say…….?
    24 years can't work? well….what else can we say…..

  • AMLagonda on 15/10/2016 - 02:00
    +1

    Some family do the right thing, I rent my investment house to my mother in law, we bought it for her as funnily/sadly enough my wife's sister ripped her off most of my mother in law's money (she did live with them), the rent she pays us is paid by direct deposit so it's all automatic and we don't have to think about it.
    We have helped her alot and she is very thankful and she won't let us owe us any money at all even if we buy her a take 5 magazine she insists on giving us the money back!
    Her other daughter on the other hand will never pay her back the money and we all know it, really sad to do that to a 68 year old.

    • JediJan on 16/10/2016 - 13:52

      How sad for your mother-in-law to be ripped off by an adult daughter. How we are hearing this too many times now in the media! Many instances go unreported; my mother is 88 this year, and some of the sad stories her friends tell her about!

      There are several Abuse Of The Elderly phone numbers you could ring for advice 1800 628 221, 1300 651 192 etc. Many different (and State specific) links to read online too. For example one of these, eapu.com.au … top of the list for "Financial" abuse is "misappropriation of property … "

  • AMLagonda on 15/10/2016 - 02:06

    Yes you really do need to sit down with then over a cuppa and lunch as discuss the rent problem with them.

  • [Deactivated] on 15/10/2016 - 02:50
    +1

    I have been somewhat of a father figure to my cousin

    Not a very good one in teaching values. Otherwise you would be getting more respect.

    I really feel sorry for them

    Do they know of this? How do they feel about your sense of obligation?
    Have you sought counselling for your problem?

    Have you considered selling the property and moving on with your life

  • Shwayne on 15/10/2016 - 02:59
    -1

    Are they on a lease?

  • alxr0101 on 15/10/2016 - 07:16
    +1

    Pay it off in eneloops.

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