The answer is either the lessor/property manager or the tenant, depending on the situation.

If the mould appears as a result of fair wear and tear, or a result of a property maintenance issue such as a roof leak, it is the lessor/property manager’s responsibility to have it cleaned. It is always up to thelessor/property manager ensure the premises are maintained and kept in good repair.

However, if the tenant causes the mould, for example by not ventilating a bathroom using an extractor fan or opening a window, it may be the tenant’s responsibility to clean up the mould.

The lessor/property manager and tenant should talk with each other to work out who will clean the mould. But if agreement can’t be reached, then either person can lodge a Dispute resolution request (Form 16)with the RTA.

If the dispute resolution process doesn’t provide a solution, the person who lodged the dispute form may choose to apply to the Tribunal for a determination.

Although Queensland tenancy laws don’t refer specifically to mould, general rules about the responsibility of the lessor/property manager to carry out any repairs and the tenant to maintain the place throughout a tenancy apply.

Across the broad of first tier and second tier lenders there are some very competitive variable and fixed rates available, definitely giving you the opportunity to either help reduce your monthly interest outlay or secondly give you the certainty of what your monthly repayment will be.

There are various home loan structuring options available to suit the current interest rate environment and a home loan owner’s needs, including;

1. Fix 100% of home loan – generally for people who require repayment stability offering the ability of being able to budget the required amount each month for the time of the fixed rate period.

Currently there are some great 1, 2 & 3 year fixed rates available, however on the flip side if the standard variable rates fall again, you may end up paying more for your home loan or if you try exiting a fixed rate before the expiry you will incur high costs to do so.

 2. Fix 50% and keep the other 50% variable – this gives the home loan owner the best of both worlds, giving the ability to benefit from both a low fixed rate and the opportunity to benefit from the variable rate should it decrease down the track.

 3. Keeping home loan 100% variable – with many Banks and Lenders pouring out for our business, the variable rates on offer are very competitive with some products not being far from a 1 or 2 year fixed rate. The key to a variable rate is ensuring you have the right loan product and most importantly ensuring you are on the correct variable rate if under a ‘professional package.’ While Banks and Lenders want new customer’s they certainly don’t want to risk loosing existing customer’s, which can give you the opportunity to negotiate a further discount on your interest rate.

To summaries what option is best, at the end of the day, it does come down to each home loan owner’s circumstances.

To decide what option is for you, researching your current home loan provider’s interest rates and doing some calculations will give you an idea of which way to go. To simply calculate home loan repayments whether it is interest only or principal and interest go to our Calculators on our website.

In most cases it shouldn’t cost you to switch to a fixed rate and can normally be done by simply calling your home loan provider.

Candice Turner

The survey was based on Assurances, Compliance, Quality, Understanding, Intention, Reaction & Environment, with a positive result of being rated higher in 5 out of the 7 catergories and scoring impressingly on Assurances, Understanding and the greatest point of difference with knowledge of Compliance.

As you may not be fully aware of what ‘Compliance’ is within the Mortgage Broking Industry, it is the regulations we have to abide for ‘responsible lending’ to ensure you are not engaging into a credit facility that you cannot afford or is not appropriate for your needs.

Another great way to help reduce your interest repayment is utilising an Offset Account.

An Offset Account generally works like a normal bank account, where you can place all of your savings & income into, which then ‘offsets’ against your home loan.

As interest on your home loan is calculated daily, any balance in the offset account is ‘offset’ against the amount owing on your home loan and you only pay interest on the net balance. 

To give you an example of how a 100% offset account works;

Home Loan – $100,000

Offset Acc – $10,000

= You only pay interest on $90,000

Traditionally LMI is payable when borrowing over 80% LVR for a full doc loan to protect the lender in the instance you defaulted.

This allows home buyers &/or investors with a clean credit history and secure employment base to maximise gearing before being charged an LMI premium, whether it be for a purchase or refinance.

The Australian Taxation Office allows investors to use two alternative methods of depreciation:

• Diminishing value method – which accelerates depreciation deductions quickly.
• Prime cost method – which spreads the deductions out over time.

According to quantity surveyors BMT, the long term intentions of the property investor will determine which depreciation method will be most suitable for them. They can only choose one though.

Each method affects the long-term cash flow position in a different way, says BMT.

“Under the diminishing value method the deduction is calculated as a percentage of the balance left to deduct. The deductions will be higher in the first five years and diminish over time. This is because a greater proportion of the asset’s cost is being claimed in the earlier years of the effective life.”

“Under the prime cost method the deduction for each year is calculated as a percentage of the cost per year. This results in a more even spread of deductions over a longer time.”

The diminishing value may be an attractive option for an investor who purchases a property and wants to sell it in around five years time, because it provides higher returns over the earlier years.

However, if the owner plans to hold the property for a longer period of time, then the prime cost method might be more suitable because it provides a constant long-term projection of what the investor’s tax deductions will be.

But BMT says most investors employ the diminishing value method on both short and long term investments because depreciation deductions are cumulatively higher over the first five years of ownership, when they want or need deductions most.

An example of how the diminishing value method compares to the prime cost method in deductions obtained per year for ten years is as follows: 

SOURCE: BMT; figures are based on a 15 year old house with a purchase price of $400,000.

With the recent decrease across most lenders fixed rates, many home owners have taken up the current offers relieving the uncertainty of which way interest rates will go.

Whilst the current fixed rate offers may seem appealing, the guess is whether or not you’ll be held paying a higher interest amount on your mortgage should we see a rate reduction by Christmas as speculated amongst the Finance Industry and Westpac bank.   

At the end of the day, we cannot predict exactly which way interest rates will go. Whilst the RBA may drop the official cash rate by Christmas, it doesn’t necessarily mean the banks will follow.

To fix or not to fix needs to be your personal decision based on your individual circumstances. If you need that comfort of knowing how much your repayment is per month and have trouble with the uncertainty of a variable rate then perhaps a fixed rate is for you. However if this isn’t a problem, a variable rate may be more versatile or a combination of both.

Candice Turner

Homeside

- have lifted their Genworth (mortgage insurer) location guide and have an open post code policy, now lending up to 95% LVR in all locations for approved security types.

- have also increased their DUA (Delegated Underwriting Authority) to 95% LVR

- Nil App Fee, Nil Valuation Fee and Nil Split Fees, 100% True Fee Free Offset Account, only $10 per month and rates starting at 6.90% – the Homeplus Home Loan is one of the most attractive offerings in the market

Suncorp

- will lend up to 95% with NO GENUINE SAVINGS REQUIRED. 5% deposit & costs can be a combination of savings, FHOG, gift from parents & even the $10k QLD Government Building Boost Grant!

Bankwest

- are now offering further tiered interest rate discounts on their Premium Selection home loan products from as low as 6.75% pa.

Macquarie Bank

- has introduced a Family Guarantee product as a borrowing option on their Classic loan. For those who have little or no deposit saved, you can now get help from your immediate family when borrowing with Macquarie. – current rate 6.99% pa

Candice Turner

Available to eligible First Home Buyers, Home Buyers and Investors!

First Home Buyers will receive the $7000 FHOG and the $10,000 Building Boost Grant, totalling $17,000 to put towards the purchase of your new home!

Home Buyers and Investors will receive the $10,000 Building Boost Grant

For more information and to check your eligibility go to http://boost.treasury.qld.gov.au

Alicia started out at the bottom as the receptionist in 2003 & then later moving into Property Management with a real estate company based in Brisbane. Whilst in Property Management, Alicia managed a rent roll of over four hundred, spanning from the inner city of Brisbane through to the Southern suburbs.

Still with the same company, Alicia moved from Property Management to Business Development Management, where her role was to increase the size of the rent roll & the company’s profits.  During Alicia’s time with this company, she gained immense knowledge & experience.

In 2006, Alicia moved to the Sunshine  Coast & decided to make the move into Residential Sales with a major international real estate agency.

In 2008 Alicia was given the opportunity to become involved with the rapidly expanding Harvesting Group. Alicia obtained her full real estate license to become the principal of Harvesting Group Property Services.  Her overall experience means that she can oversee all the roles within the company providing quality service for each client, landlord & tenant!

Outside of work, Alicia is happily married to Joel & is a proud Mum of her two sons, Thomas and Jye. Alicia’s interests include spending quality time with her family and playing basketball.