Handback Services

Before the end of the lease, we will arrange a handback inspection with you

What happens when your Defence Housing Australia (DHA) lease is nearing its end? This is one question that many potential and existing investors want clarification on. Usually, a lease has an option period of three years. This can also be varied with an increase of up to 1 year or decreased by up to 1 year. The option is at the discretion of DHA.

Sometimes, DHA may offer a new lease if demand for a particular property or location is high. DHA may also deem the property no longer required for rental. In that case, investors will be given a notice that it’s time for DHA to hand back the property at the end of the lease. You, as the investor, then have the option to sell or rent it out.

Whatever your decision, R&W Investment Sales can help. We work with you to make the process straightforward, so you can get back to enjoying your investment returns.

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Handback

The Process

The handback process for Defence Housing Australia involves a few key steps before the property is returned to the investor.

Lease expiry repair works

Lease Expiry Repair Works

DHA will complete the following works prior to returning the property to you:

  • Ensure the property is clean.
  • Ensure fixtures and appliances are in working order.
  • Ensure grounds and landscaping are in a neat and tidy condition (subject to local restrictions e.g. water restrictions).

The property is subject to fair wear and tear.

Depending on the terms of the lease, DHA will complete the following lease expiry repair works, to a similar standard and toning:

  • Repaint previously painted external surfaces (excluding pre finished/Colorbond surfaces or where the surface is the obligation of a Body Corporate).
  • Repaint previously painted internal surfaces.

Final Handback inspection

Once the property is ready, DHA will be in contact with you to arrange a time and day to return your property. If you are unable to attend the final handback inspection, you can appoint an agent, such as R&W Investment Sales to take possession of the property on your behalf. DHA will send the agent an Appointment of Agent form to complete prior to the handover.

The final handback inspection will take approximately one (1) hour, providing you or your appointed agent an opportunity to inspect the property prior to taking possession.

Notification of Defects: In some cases, the handback inspection can reveal specific issues or defects with the property. If so, DHA will undertake to rectify the defects (if this falls under the conditions of the lease.

Your end of lease administration

Bill payment service – DHA may have been processing accounts (e.g. rates) on your behalf during the lease term. DHA is unable to process these accounts in the future, please contact the providers to ensure contact details are updated.

  • Online services account – Access to Online Services will cease after the final handback inspection, ensure you download any information prior to this time. We encourage our past clients to download all necessary documentation before the access to the portal closes.
  • Pest inspection scheduling service – DHA may have been undertaking pest inspection services on your behalf during the lease term. DHA will no longer be undertaking pest inspection services on your property.

From there, the procedures that follow:

  1. Preparation: DHA will ensure everything is in good condition. Some tasks that need to be accomplished include cleaning and repairing any damages. Inspection: Defence Housing Australia is responsible for conducting a handback inspection before giving the property back to the investor. You, the investor, will generally be notified regarding the date and time of the inspection, allowing you to attend the procedure in person. Alternatively, you can appoint a third party as your representative. If you prefer to have an Agent, such as RW Investment Sales, DHA will send through an Appointing an Agent form for completion.
  2. Notification of Defects: In some cases, the handback inspection can reveal specific issues or defects with the property. If so, DHA will undertake to rectify the defects (if this falls under the conditions of the lease.
    1. Documentation: You or your representative will sign a document to authorise DHA to:
      • accept or negotiate repairs and agree on acceptable wear-and-tear
      • accept the return of the property

You or your representative will then sign an acknowledgement and release document. This formalises the handback and releases us from any continuing obligations. We will no longer hold an active lease on the property. DHA then provide you with the keys to the property. effectively releasing R&W from any obligations. You get your keys, which signifies that we will no longer hold an active lease on your property.

Be aware that your access to any of our Online Services also ceases. We encourage our past clients to download all necessary documentation before the final inspection takes place.

How R&W Can Help You

R&W will arrange a handback inspection to ensure your investment property is in excellent condition. You can participate in the event or have a representative check and accept the return of the property. We can also help you keep your property off the market, advertising it to potential tenants and appraising it for rental or sale.

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About R&W Investment Sales

We are specialists in the buying and selling of DHA Properties in Queensland. We have more than a decade of experience with Defence Housing Australia Properties.

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