OUTGOINGS AS A PERCENTAGE OF ANNUAL RENTAL HAVE DOUBLED IN PAST 5 YEARS OR SO!
Escalating Owners Corporation fees, Council and Water
rates, plus other charges such as ESM are now getting up around 25% of the
annual rental. We have seen some as high as 30%.
The rule of thumb used to be more like 10%-15%.
Tenants look at the total occupancy cost, rent plus
outgoings, with outgoings increasing at this rate, it is restricting rent
growth.
Steven Lawson