Renting in Melbourne (Part I)

This is quite a pragmatic subject, maybe less so than the future blog on taxes and immigration, but I need to talk about it. It's so different from the renting landscape in the US and to which I was used, and it impacted my life here from the day I moved, how could I not talk about it? Whereas in the US, in big cities and their suburbs, there are companies that own a bunch of buildings or properties and manage them, too, in Melbourne, rental properties are mostly private properties managed by a third party, the rental company (or real estate company, as they make more profits from sales). These companies advertise the rental property, collect the rent and act as intermediary between the owner and the tenants. And this is where the problems start! The owner normally buys the property as an investment, but then has to pay a mortgage on it. In most cases, the owner makes money from the rent, yet, most of this money is given to the bank and a small chunk to the rental company. Thus, the owner's lack of interest in rushing to fix and maintain the property, the garden, if any, and everything else... Especially in the context of Australia, where prices are very high for everything. The rental company is even less interested in keeping up the property, and amazingly, they are unable to even collect the rent in time. They do not send any reminders to pay the rent, their correspondence to the tenants gets lost, and by acting as intermediaries between the owner and the tenant, they manage to stall the process of repairing and maintenance. I will continue the suject tomorrow, but in the picture I have someone who never pays rent!