Like it or not, renting comes with paperwork; from residential tenancy agreements to condition reports, it’s just part of the deal.
But one lesser-known piece of paperwork is something called a rental ledger.
While ostensibly, it’s a way for a landlord and their property manager to keep track of rent and other payments that tenants make, it’s actually something tenants should know about too.
Here’s everything you need to know about a rental ledger.
What is a rental ledger?
A rental ledger, also sometimes called a lease ledger or a tenant ledger, is an official record of all the rent and other payments a tenant has made to the property owner, through a property manager if there is one, in relation to a property that the tenant is renting.
As the name suggests, a rental ledger used to be a physical document, but nowadays it’s kept in electronic format.
While a rental ledger will look different depending on which software the property management agency uses, generally speaking they include:
- The date the rent was paid;
- The date the rent was recorded and receipted by the manager/agency;
- The receipt number;
- The amount paid;
- The type of payment, whether for rent or water usage, if applicable;
- When the payment is for rent, it will have a “paid to” date, which is the date the rent is advanced up to as a result of the payment being made;
- Sometimes a “paid from” date, the date the rent period started on;
- The amount of arrears, if applicable.
Tenants can obtain their rental ledger within seven days of asking for it from their property manager. Picture: realestate.com.au
Why should I get a rental ledger?
Jo Natoli, the managing director of Sydney-based property management and investment firm The Rent Specialists, says it’s a good idea for tenants to get a copy of their rental ledger in order to cross-reference with their own records.
The tenant can also use their rent ledger to help support any future rental applications they may make with other property management agencies.
“Tenants may even be able to use their rental ledger to support a credit application, because providing rent payments are always made on time, in advance and in full, it demonstrates a person’s ability to make regular payments toward something,” Ms Natoli says.
Rental ledgers are used to see payments a tenant has made on a rental property. Picture: realestate.com.au
How do I get a rental ledger?
It’s a simple process for a tenant to get a copy of their rental ledger.
Ms Natoli said a tenant simply has to request it from their current property manager or landlord and they should receive it within seven days.
This article was originally published on 12 Jul 2021 at 3:45pm but has been regularly updated to keep the information current.
