Real Estate Asking for "Security" Payment. Bond Also

Gauntlet on 12/05/2018 - 17:57
Last edited 12/05/2018 - 21:00 by 1 other user

Hi all,

Recently applied for a rental. Got approved and sent the paperwork.
Real estate calls and asks me if I can move in two weeks earlier than my application date. I decline as I am going to be overseas, I know, bad timing.
So then they call me back and say "okay, the landlord has asked if you can pay an extra $10 in rent." I wanted the house so I agree. It's the same as what I'm paying now anyway.

Then I receive email explaining that I have to fill out forms, pay bond plus two weeks rent, normal stuff.
Then on the next line they ask that I pay a weeks rent immediately to "secure" the property.

This sounds incredibly dodgy to me. Free rent? I don't think so. Especially trying it on with the two weeks thing also.

Thoughts?

Home & Garden Renting

Comments

  • Quantumcat on 12/05/2018 - 18:08
    +2

    What state? Could be relevant for tenancy legislation.

    If it were me I'd tell them to get stuffed with the $10 more and extra week, I wouldn't want to deal with that real estate agent for the next year or whatever. Depends how hard you've found it to get a rental.

    • Gauntlet on 12/05/2018 - 18:13

      Victoria. It's a rental on a rural property at a great price, even with the $10 hike.
      I've been looking for a rural rental for a long time so I don't really want to pass up the opportunity but I can see your point about dealing with them.
      I also intend to rent there a long time so I want something that suits my lifestyle.

  • Gauntlet on 12/05/2018 - 18:21

    I'm thinking they're asking for a "deposit" as defined at https://www.consumer.vic.gov.au/housing/renting/beginning-a-… but it's unclear as they have not stated that I will be refunded this security deposit.
    I'll have to ask Monday I suppose.

    • D C on 12/05/2018 - 18:33
      +2

      Deposit is common in NSW as well, this becomes your first weeks rent.

      Make sure you get that in writing: "Ok, so $x for the bond, and $x as a deposit which is the first week of rent (x/x/2018 to x/x/2018) and then $x/week from x/x/2018 onwards".

      "Security deposit" may be some sort of BS way of getting another weeks bond (that you'll never get back). A bit like the 'key deposit' some apartments have to cover the cost of you losing the keys, only dodgier. Don't agree to that.

      • amkssg on 13/05/2018 - 15:29

        You should get your bond money back, unless you go through an extremely dodgy agent. The bond money goes to the "Rental Bond Board", not the agent or the owner. If fact, you can pay your bond directly to Fair Trading's Rental Bond Board instead giving money to the agent (which i strongly encourage). At the end of your lease, you claim the bond money from the bond board, not the agent.

        It different from "key deposit", whereby the owner pockets the money.

        Read: https://www.service.nsw.gov.au/nswgovdirectory/rental-bonds
        and: https://www.service.nsw.gov.au/transaction/lodge-residential…

        • D C on 13/05/2018 - 18:45
          -1

          It different from

          Thanks for explaining to me what I wrote.

          Onya Champ.

        • amkssg on 13/05/2018 - 22:19

          another weeks bond (that you'll never get back)

          I was responding to the above statement, which you wrote.

        • D C on 14/05/2018 - 10:42

          @amkssg:

          which you wrote.

          Yes I did.

          The full bit was:

          "Security deposit" may be some sort of BS way of getting another weeks bond (that you'll never get back).

          What part of that needed explaining? I assume most people aren't too thick to get the jist of that in context, but apparently you disagree. Your contribution to clarity is always welcome.

        • amkssg on 14/05/2018 - 21:48

          @D C:
          Just to clarify, my initial response wasn't directed to you. However, somehow you took offense.
          OP wrote:

          it's unclear as they have not stated that I will be refunded this security deposit.

          You wrote:

          "Security deposit" may be some sort of BS way of getting another weeks bond (that you'll never get back).

          I then responded to clarify for the OP (not you) that this is NOT a bond, as bonds have to lodged with fair trading. It may be a dodgy way to get a key deposit. And I further clarified that, in order to avoid the agent doing a dodgy,

          you can pay your bond directly to Fair Trading's Rental Bond Board instead giving money to the agent

          and added:

          (which i strongly encourage).

  • Pumpkin_rrr on 12/05/2018 - 18:46
    +1

    If that is to go towards your weekly rent, as routine payment, and it's refundable or net-off against your rent payments. it should be fine if you agree to that amount.

    Think of it this way: the property is being advertised right now to the general public, Anyone can come and apply. But if you "secure" it with some kind of deposit, that will ensure that you are ahead and they should remove the Ad after your payment.

  • qwerty on 12/05/2018 - 19:08

    They want a week of rent in advance

    Nothing too dodgy or out of the ordinary here

    • Gauntlet on 12/05/2018 - 19:14

      But you pay for two weeks rent in advance anyway. So they're effectively asking for three weeks.
      I've rented six properties in my life but never seen it.

      • trustnoone on 12/05/2018 - 19:35
        +2

        Wanting to add to this, but /I think/ this is part of the deposit (part of the 2 weeks rent) that you pay for up front. The reason they do this I was told (so not sure if right) is that if you don't put any form of payment, they can't lock you in for the apartment and thus still need to advertise the room until they receive the payment or at least this is what I was told.

        They should not be asking for three weeks in advance, so definitely make sure thats what they mean? Also I'm unsure but I think legally they can't ask for more then 2 weeks advance (In NSW)? But check with an actual lawyer or similar as I'm deff not one, I think they are asking for 1 of those 2 weeks to be paid early.

        • Gauntlet on 12/05/2018 - 19:52

          Looking at the wording of the email it looks like you might be right! Thank you very much.

  • Master Bates on 12/05/2018 - 19:46
    +1

    I would clarify (in writing) that if you're paying 3 weeks rent upfront, the next rental payment is to be made 3 weeks after the start of the lease. If not, I would be questioning their motives.

    Also interested to know if the extra $10pw equals the 2 weeks rent they're losing by not having you moved in earlier?

  • Davo1111 on 13/05/2018 - 01:18

    just talk to them directly. You've already decided you're not going to walk away….

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