A landlord needs to be receiving the correct amount for rent for their rental properties. But, it’s also important for a tenant to be paying a fair amount of rent.
So, it’s necessary to monitor rental income arrangements each year to ensure that you’re not paying or receiving less than the market value.
This is where rental valuations or rental determinations come in.
Rental determinations can also be helpful where tenant and landlord cannot agree on the market rental value of their lease.
An expert valuer is then appointed to determine the rent independently. Market rent reviews are a common way for landlords and tenants to bring rent back in line with the market value of the lease.
For fair and accurate market rental values, you’ll need to have an experienced Certified Practising Valuer perform the rental valuation and determination in each of the circumstances mentioned above.
While obtaining a rental appraisal from a real estate agent is possible, it’s usually a general estimation and is not legally enforceable.
Only Certified Practising Valuers, accredited by the Australian Property Institute, can offer accurate renting determinations.
To provide accurate, fair market value rental determinations, our Duo Tax Property Valuers need to consider the property attributes, such as:
Once the property attributes are considered, our Property Valuers will generally consider the Consumer Price Index (CPI) and market rent evidence of comparable properties to gauge an indication of a similar market value and rental yield.
We’ll then produce an accurate valuation report that can be used to determine a rent amount that satisfies both the landlord and the tenant.
Our mission at Duo Tax has always been to help property investors save money where they can.
It’s important to monitor rental price arrangements each year to ensure that you’re not paying or receiving less than the market rent value.