Chennai to Melbourne - Article #2

This article is the second in the series that I intend to publish. If you wish to follow the series, I recommend to read the previous article before you proceed.

Unlike my previous article, this one won't be too verbose and it would focus in answering or providing my point of view on select questions that I published in the previous one.

The questions we might introspect in this article are listed below.

How to search for an permanent accommodation?

There are many websites which offer these services. I've just mentioned two those sites that I leveraged to finalize my first leasing property.

• https://www.realestate.com.au/
• https://www.domain.com.au/

You can search the accommodation in the above-mentioned sites based on suburb name or post code. (Australian post code are 4 digits). You can use filters to narrow down your search.

As mentioned in my previous article, Mostly these sites would display per week rent (or) sometimes mention the rent amount suffixed by a term pcm (per calendar month).

How to calculate pcm of property based on weekly rental is shown below.

Per calendar month rent = ((Weekly rent / 7)*365) / 12

Thanks to my friend Balasubramaniam Gopalan for correcting my understanding.

What are the typical issues / problems one face before signing their first lease ?

1. Rental History: You would not have a rental history being new to the country. This factor would not work in our favour while Leasing agents shortlist our tenancy application. There are other factors where you could score better.
2. Income: Your income play a major role in getting your application shortlisted. Ideally if you have a decent income per month, there should not be any problem. (You might need to produce your offer letter of the company where you would be employed as you won't have payslips to prove). My personal opinion is if your monthly income is more than two time the rental amount of the property, you have a better chance of securing your first lease.
3. Location Demand: It might difficult to secure a leasing property in certain suburbs which have high demand for various reasons. I can't mention any reason specifically
4. Time of search : It depends on when you arrive in Melbourne. Based on my personal experience; if you land anytime between Dec 1st to Jan 31st, you might find it difficult to secure a property to lease due to Christmas break and beginning of new academic year. During this period, people move to suburbs to enrol their kids in their choice of school. (You can't control this factor or plan your move considering this)
5. Reference Checks : Any agent would definitely do a reference check before shortlisting your application. Minimum 2 to 3 references would be required. One reference from your professional background and one or two personal references. Ideally, request one of your colleagues (or) your immediate manager to give professional reference. For personal reference, If you have reasonable acquaintances in Australia, take their consent and provide their names, mobile number and email address. (Ideally if you could provide a personal reference residing in the same Suburb where you seek to lease a property may work in your favour)
6. Cover Letter: As part of your rental application, you might be requested to provide a cover letter. Prepare a short and crisp cover letter without overstating your personality and be genuine in requesting why they should choose you. This factor sometimes could work in our favour.

Which Suburb should I choose for long-term stay?

This is a tricky question to answer as choices, priorities and likes differ for every individual. The only guideline is to research these areas in google beforehand and check if that suburb suits your interests. Shortlist minimum 3 - 4 adjacent suburbs of your choice before you begin your lease property search.

What factors one need to consider / validate before signing the lease ?

1. Primary factor is the weekly rental amount, you have to finalize your rental range. You might not know this as a beginner in Australia. In my personal experience, you should finalize a rental property whose rent is less than or equal to 1/3 or 1/4 of your nett monthly income. (This is my personal opinion only).
2. While you visit the property for inspection, Please ensure to look whether the house is equipped these facilities like Heating & cooling infrastructure, Kitchen appliances, Dishwasher (Don't compromise on this. Especially people from India might ignore this and then repent once you move in. Dishwasher is a life saviour during Winter season). If you are finalizing a house in Suburbs, make sure you have adequate drive way space to park your car in open (or) you have a garage space.
3. All the new tenants would be provided with a Inspection report from the agent within 2 - 3 days of moving in to the new house. Please don't ignore this as a formality and just accept (or) say you are ok with it. The Inspection report would have photos of every part of the house captured before they handover the keys. The agent would give minimum 2 - 3 days for you to accept the report (or) come back with your views. Please look at every picture and ensure that area is exactly as per the picture. If you have difference of opinion, Please raise your concern in the report.
4. People who don't have experience in Gardening, finalize a house with less lawn space to mow the grass (or) maintain it.
5. Please check if you are ok with 6 months (or) 12 months leasing period. Some owners lease only for 6 months (or) most owners lease for minimum 12 months. Both these options could work in your favour.
6. Once your initial lease period ends, It's your choice to either renew your lease for fixed term like 6 months / 12 months or you can opt to stay on month to month basis. In this arrangement, you could notify the agents 28 days in advance to vacate the property.
7. If you live in Melbourne suburbs, people who migrate from tropical places need to look for house with ducted heating to beat the cold in winter season. If you don't get a house with ducted heating arrangement, not a big deal. There are alternative and cost optimal heating arrangements.
8. Look how far is your kid's school from your house, if you don't intend to buy a car for initial few months, then this makes a big difference during winter season as your kids might need to walk to school. Ideally 2 km distance from school is manageable by foot. Beyond that would be difficult on day to day basis.

Let's cover the rest of the questions in next article.