CPP40307 Certificate IV: Property Management Assessment Task 3 Project

This project provides a complete solution for Assessment Task 3 in a property management course. The solution includes the completion of required documentation such as an exclusive management authority and listing sheet. It outlines a detailed marketing strategy for advertising the property, considering key drivers and consumer preferences. The project also involves developing a risk management plan with identified risks and mitigation strategies. Furthermore, it includes the preparation of a lease agreement, a condition report with identified property issues, and an analysis of landlord and tenant rights, referencing relevant legislation. Finally, the project covers the termination process, including the preparation of a 'Notice to vacate' and steps to ensure compliance with legislation and protect the owner's interests.

Assessment Task 3 – Property Management
Student’s Name
Institution
Date

Project 1 – Instructions
Read through the following scenario and complete the tasks below.
Ian and Rebecca Harrison have recently purchased an investment property through your
agency. They are intending to lease the property and have engaged you to manage the
property.
Details of the property are as follows.
§ Address: 5/256 Black Street, Manly
§ Description: Two bedroom villa unit, central bathroom, laundry and toilet, spacious kitchen
with open plan living and dining, large private courtyard and lock up garage. Features: BIR'S,
wall to wall carpet in bedrooms, stainless steel appliances, gas cooking, reverse cycle air-
conditioning, gas heating. Located within walking distance to transport, shopping and cafes.
Task 1: Complete required documentation
Using the information on the scenario and the additional information below, complete the
following documents
§ Exclusive management authority
§ listing sheet
Exclusive Management authority
The subject of leasing is Two bedroom villa unit, central bathroom, laundry and toilet,
spacious kitchen with open plan living and dining, large private courtyard and lock up garage.
Features: BIR'S, wall to wall carpet in bedrooms, stainless steel appliances, gas cooking,
reverse cycle air-conditioning, gas heating. Located within walking distance to transport,
shopping and cafes which is an integral part of this Agreement.
Seller - ___ Ian and Rebecca Harrison, located at: _5/256 Black Street, Manly
Sale and Purchase Agreement - an agreement to be concluded between the Lessor and
the Seller, according to which the Seller undertakes to transfer the Lessor's property intended

for leasing to the Lessor, and the Lessor agrees to accept it and pay the price specified in the
agreement for it.
The amount of the lease payment is _$700 per week, including bond equivalent to 4
weeks rent ($2800) for 2019/2020 FY. The total amount of payments under the Agreement is
$3500, including Agent’s fee of leasing fee – 3.3% – releasing fee – 3.3%
Leasing payment is paid )
- no later than _10____ days after the end of the next _June 2020.
Task 2: Market the property
a) Outline a marketing strategy for advertising the property.
The marketing strategy should target at key drivers of apartment sales. Some of the key
drivers include quality of the layout and location in the house, sufficient exposure, the
readiness of the house, internal competition with other apartments within the residential
complex, the readiness of houses at competitors, the offer price in competing projects, the
volume of offer in competing projects and the footage of the most apartments. The expert
also shared an opinion with the audience about consumer preferences and trends in housing:
“In real estate, there is an important advantage - location. The location determines the
preferences of the target customers. Also, the location determines the demand of the project
as a whole: consumers pay attention to the availability of social infrastructure, transport
accessibility, environmental level, prestige of the area, remoteness from the center and so on.
The strategy should also include call tracking. Success in the market is provided to those
who control the situation. And Internet promotion is part of this daily monitoring. That is
why it is so important to analyze the effectiveness of your own advertising strategies in an
online environment. Call tracking does it best by identifying those channels that burn money
and don't lead customers.

b) Write an advertisement for the property to be including in the agency’s website
listings.
5/256 Black Street, Manly NSW
$700 per week
2 Beds 1 Bath 1 Parking - Available from Wednesday, 30th June 2018
LIGHT & BRIGHT 2 BEDROOM VILLA
Exclusively positioned, this well-presented two-bedroom villa unit is located in the
unbeatable Manly. This beautifully renovated bright and spacious villa provides an easy-
care Northern Beaches lifestyle with cafes, restaurants, city transport and local shops just
moments away.
Features include:
 Brand new open plan gas kitchen with stainless steel appliances
 Spacious living/dining area with new tiled flooring
 Double bedrooms, with wall to wall carpet and built-in floor-to-ceiling mirrored robe
 Modern central full bathroom
 Separate laundry and toilet
 Reverse air conditioned and gas heating
 Foxtel ready
 Large private courtyard
 Large lock up garage with room for storage or a workbench
c) Develop a risk management plan including a minimum of three risks and the
strategies you would implement to manage the risks.

The purchase of an apartment is a crucial step for the Buyer, which must be approached
with all responsibility, because the euphoria of a beautiful and long-awaited housing can end
very quickly if it turns out that the apartment is at risk and can be lost. And not only because
the property is sold by fraudsters, but also because there are prerequisites for the termination
of the ownership of the Seller of real estate and, accordingly, the termination of the
ownership of you - as the buyer. It is worth noting that the institution of a bona fide
purchaser, as almost all realtors assure, in our country, does not act in the interests of the
Buyer, but in the interests of previous owners.
Risk 1: Incomplete documents.
Risk 2: Legal ownership risks.
Risk 3: Real value of property
It is not bad to request and study documents yourself, not trusting this process to the
Seller. Why? If the apartment was redeveloped, then without the BTI documents, you are the
Buyer, you will never know about this without examining the cadastral passport and
explication, and these documents are not at all necessary to complete the contract of sale.
However, in the future it will not be very pleasant when you have to spend not a small
amount of money, both on housing repairs and paperwork, in order to pay fines and bring the
apartment in its original condition. It is worth noting that often redevelopment and re-
equipment are carried out so that to coordinate them legally require several tens of thousands
of dollars.
The real value of the apartment, which is reflected in the contract of sale. It is no
secret that sellers reduce the cost of real estate tenfold to avoid taxes. So, if for some reason
your transaction is deemed invalid or terminated, then you can get back only the amount
specified in the contract, but not the entire cost of the apartment. To avoid these risks, you
must correctly transfer the money with the correct execution of receipts.

Task 3: Prepare the agreement form
Acceptance of the subject of leasing in terms of quantity, quality, assortment,
completeness and packaging under it is made upon its delivery to the lessee. At the same
time, the Lessee has the right to present to the Seller all the requirements arising from the
Sale and Purchase Agreement.
Additional conditions: The dogs are not allowed.
The lease term is 12 months from the date of signing by the Parties of the acceptance
certificate.
Ian and Rebecca Harrison agrees to provide the Aaron Hamil with services (to perform
work for the Lessee), the list, amount, cost and terms of rendering (fulfillment) of which are
specified in the Specification of additional services (works), which is an integral part of the
Agreement
ASSESSMENT TASK 3
Task 4: Prepare the condition report
Identify a property that you can access, it could be your own home, or that of a family
member or friend. Conduct a property inspection and complete a condition report – make
sure you put the address of the Harrison’s property on the report.
Add the following issues to the condition report: (this bit was Project 2, adjust mapping)
§ Broken light fitting in the bathroom
§ A hole in the lounge room wall
§ A broken wardrobe door handle in the master bedroom.
Condition Report
The lessee is required to maintain the two bedroom villa unit, central bathroom, laundry
and toilet, spacious kitchen with open plan living and dining, large private courtyard and lock

up garage. Features: BIR'S, wall to wall carpet in bedrooms, stainless steel appliances, gas
cooking, reverse cycle air-conditioning, gas heating.
- In the condition in which he received it, taking into account normal wear and
tear .
- In the following condition:
Broken light fitting in the bathroom
A hole in the lounge room wall
A broken wardrobe door handle in the master bedroom
A week later, Ian (the landlord) knocks on Aaron’s door at 8:00pm. He tells Aaron that he
was ‘in the neighbourhood’ and thought he would pop in to fix the wall and take the broken
fittings so that he can get them replaced.
a) What section of the Act has been breached?
Section 23-26
b) Outline a landlord’s entry rights and obligations as defined in the Act.
Under section 26, the landlord has rights to access the property, if they are exercising a right
to enter the residential premises.
c) Under what circumstances can a landlord enter a property? Identify the appropriate
section of the Act.
Under section 23. 23.1 In an emergency
23.2 based on orders from Civil and Administrative Tribunal
23.3 in case the premise look abandoned
23.4 If there is health issues affecting tenant

23.5 for inspection following tenant notice
23.6 For repair
23.7 statutory obligation
d) When can an inspection be carried out on a rental property?
When the tenant is given at least 7 days written notice with no more than 4 inspections
allowed within 12 months.
e) What must be in a notice of entry?
Reasons such as inspection, repair, statutory obligation. The writer of the notice should also
be clearly indicated
f) Does Aaron have the right to refuse Ian entry?
Yes
Task 5: Undertake termination process
Eleven months have passed and the lease is due for renewal. The owners decide that they will
not renew the lease as their daughter is going to move into the property.
a) Prepare a ‘Notice to vacate’.
In reference to the agreement dated 3/11/2020, the term of the lease has ended and as
indicated, you are hereby expected to vacate the premise within the next 30 days.
b) Outline the steps that you take to ensure compliance with legislation and that the best
interests of the owner are considered. You should include any documentation that needs to be
completed.
The notice must be:
 Written
 Signed and dated
 Properly addressed to the tenant

 Give the day on which the residential tenancy agreement is terminated and by which the
tenant is required to vacate
 Where appropriate, give the grounds/reason for the notice.
In the case of sending a notice to vacate to Aaron, it would need be sent within the
minimum notice period of 30 days to ensure enough notice is given to give him a
reasonable amount of time to find another rental property.
As said by the Office of Fair Trading, “If they can find a property sooner they can move out
at any time without having to give you any formal notice. Except where notice has been
given for the end of the fixed term, the tenant's responsibility to pay rent ends from the date
they hand back possession, not the end of the notice.”