Don’t let property management language confuse you. We have compiled a list of the most commonly used terms and their definitions.
Tenancy Databases – contain information about the renting history of certain tenants. A landlord or estate agent can pay a membership fee to access a database when choosing a tenant. As a member, they can use a database to:
- search for and screen prospective tenants
- list previous tenants.
Condition Report - records the condition of the premises at the start of the tenancy. It is important that tenants and property managers fill out this report properly to avoid problems in the future. The property manager and the tenant each complete and sign their part of the report. For each item on the list they mark if it is clean, undamaged and working. The tenant can disagree with what the manager has written by including their own comments.
Bond – is a security deposit a tenant pays at the start of a tenancy. It is held for the term of the tenancy and is paid back to the tenant at the end of the tenancy provided no money is owed to the landlord or agent for rent, damages or other costs. A bond usually equates to one months rent.
The Residential Tenancies Bond Authority (RTBA) – The RTBA holds all Victorian residential tenancy bonds. The RTBA holds bonds in trust for landlords/agents and tenants, or owners and residents, giving all parties equal say on how bonds should be repaid when a rental agreement ends.
Six Monthly Inspections – a landlord or property manager is permitted to inspect their rental property every 6 months. They must give tenants at least 24 hours written notice.
A Common Area – areas of a property (usually flats, units or other multi-dwelling properties managed by a Owners Corporation), both inside and out, available for non exclusive use to all tenants.
