VIC Rental agency charges

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James22

Member
13 June 2020
2
0
1
Hi there , in light of Covid 19 we have dropped our rent at our rental property by around 30% for three months . Our real estate agent obliged but they did not drop their management fees . We pay around 7%. After the rent was dropped they still charged us the same amount as they were before . We asked them about it and they claimed the tenants were getting a ' rent credit ' and not a drop in rent . Is this correct ?

Thanks for any help
 

Tim W

Lawyer
LawConnect (LawTap) Verified
28 April 2014
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820
2,894
Sydney
And did you reply

"And what's a rent credit, then?"
 

James22

Member
13 June 2020
2
0
1
Hi there , in light of Covid 19 we have dropped our rent at our rental property by around 30% for three months . Our real estate agent obliged but they did not drop their management fees . We pay around 7%. After the rent was dropped they still charged us the same amount as they were before . We asked them about it and they claimed the tenants were getting a ' rent credit ' and not a drop in rent . Is this correct ?

Thanks for any help

Hi Tim

No , i did some research on a ' rent credit ' and it says it relates to people that are purchasing the house while renting ? I couldnt find any decent information and that is why im here , I havent asked them directly as they will give me some justification i dont understand !
 

Tim W

Lawyer
LawConnect (LawTap) Verified
28 April 2014
4,913
820
2,894
Sydney
I suggest to you that it's a nonsense term,
being used to give the impression that some/any of the foregone rent
will somehow be recoverable later on.
Is your agent paid a flat fee, or a percentage of the rent for the property?