Real estate agent recontracted tenant without asking me

My real estate agent re-contracted the tenant for 6 months lease without asking me, what to do?

Long story short, the 6-month lease was expiring, so when asked, I replied to the agent saying that I was happy to re-lease for 12 months or month-to-month, both at the same existing rate. The REA contacted the tenant who said they couldn't do/didn't want to do 12 months, so I emailed back saying let me think about it.

I then suddenly get an update saying that the tenant has already signed for 6 months again, without discussing with me.

Not the worse outcome, but I'm just a bit annoyed about the whole thing. There's probably not much I can do right? Could the REA just do that lol? I thought about asking them to remove some of the fees for the new contract, but I don't know what else to do.

Comments

  • -1 vote

    The contract is not valid without your approval, ask your agent to prepare the new contract with you and the tenants both agree to sign on.

    • +1 vote

      Yeh, I thought about this. But I wonder whether it will make the situation worse, ie. uncomfortable tenant leaving

    • +15 votes

      It’s likely the contract is valid. The agent is authorised to contract on OPs behalf (it’s literally called the law of agency).

      From the renters point of view - why wouldn’t the agreement with the agent be valid?

      If OP has a dispute it is with the agent - not the renters problem.

    • +1 vote

      I'd be pretty surprised if the agent wouldn't be considered the landlord's agent in these circumstances.

      However I think this works in your favour. They've made a mistake. They should make good to you.

  • +18 votes

    Fire a rocket up the REA, "I was not consulted and did not authorise.." etc etc. If they admit wrongdoing/apologise, grumble and say "Well, I'd better not be seeing any letting fee appear on my statement.."

    • +10 votes

      Exactly this. The REA wants his letting fee; so a month to month wouldnt get them their letting fee.

      •  

        why wouldn't they get a letting fee for month to month?

        • +9 votes

          Because there is no new lease being signed for month to month.

          Signing up for 6 months require putting together lease documents and getting them signed; so they charge a renewal leasing fee.

          Also, in VIC with the new laws around electrical/gas safety; that gets triggered with a renewed lease and will require OP to get those checks done; whereas with month to month he could wait for upto 2 years before getting them done.

    •  

      Is there any letting fee for the existing tenant extending the contract?

      •  

        No

      • +2 votes

        Absolutely. Most agents charge 2.2 weeks for original lease and 1.1 weeks to extend. Going periodic would deprive them of their fee. They've obviously done the dirty.

  • +14 votes

    Sack the REA

  •  

    How long did you think about it though?

    •  

      A week tops, was plenty of time still until the end of the lease

  • +2 votes

    that I was happy to re-lease for 12 months or month-to-month, both at the same existing rate
    signed for 6 months again, without discussing with me.

    Honestly what is your problem? You seem to be just complaining for the sake of complaining.

    You said you had been happy with month to month or 12 months. The agent got you 6 months.

    Assuming its on the same rate, I honestly fail to see what your issue is about here.

    • +4 votes

      complaining for the sake of complaining.

      Well it is not called a forum for nothing.

      1) 6 month vs 12 months of rent is a lot of money.

      2) And personally, it affects whether I move back in later or not.

      • +1 vote

        1) 6 month vs 12 months of rent is a lot of money.

        But you had been happy to accept 1 month of rent though aka month to month. So 6 months is a lot more money than 1 month or them moving out without renewing.

        2) And personally, it affects whether I move back in later or not.

        You had been happy to wait 12 months though? So now its only 6 month wait ;)

        • +7 votes

          Not quite, because it affects how i continue renting where I live

    • +4 votes

      Pretty sure 12 months and 6 months are two different lengths of time… but the last year has been a bit of a blur.

      • -3 votes

        OP was happy to get a 1 month or 12 months renewal.

        So 6 months in the middle of that. It is more than 1 month, less than 12 months. Honestly what is the issue? OP asked for a renewal either month to month or 12 month. They got 6 months. Think of it as 6 months of month to month then.

        • +9 votes

          Perhaps OP wanted to sync up with their own living arrangements and 6 months doesn't do that. It also doesn't matter - REA wanted to avoid the month to month.

          Edit: Also, I can imagine having a lease expiring a week or two before Christmas would be a PITA to find new tenants.

          • +8 votes

            @chriise: All of the above has an impact.

            But I'm most annoyed at the agent. what if they told the tenant the wrong thing completely, and they moved out? 🤦

            I should just ask to change REA.

  • -1 vote

    So what, you got your 6 months.
    In fact, you are out of the picture. You enlist your "agent" to do all the business of your investment, they do not need your permission.