NDIS Property Management
Who finds suitable Participants for each property?
A SDA Provider, once engaged, will be the specialist property management firm that works with NDIS Service Providers in assisting their NDIS clients to apply for and be placed in suitable Specialist Disability Accommodation. This process starts as soon as the finance has been approved and prior to commencement
of the build, with the intention of having the property occupied as soon as possible after the property is completed.
What is the length of a typical rental lease?
Initial leases will be for 12 – 24 months where possible, but once locked in, they’ve been considered as ‘forever homes’. NDIS homes are built to a very high standard. They do not present as a hostel or over crowded old-style disability housing. These homes are built and designed to a high level, to accommodate
and last.
What happens if I lose a Participant?
Like all ongoing investment property ownership, there is always the risk of losing a Participant. Although research has shown that
once someone with a disability finds a home they are happy with, they don’t ever want to move. Once your property has been enrolled and
tenanted initially, the NDIS has allowances for vacancy payments (NDIS SDA portion only). The amounts covered are for up to 60 days
for properties with 2 or 3 Participant rooms,and for up to 90 days for properties with 4 or 5 Participant rooms.
Can I as an investor lease out my property through a local Real Estate Agent?
A SDA home must be managed by a property manager that is registered SDA Service Provider under the NDIS. There are very strict practices that have to be adhered to when working with people in the disability sector and only an authorised SDA provider can manage your property. The properties are leased directly to the Participant so that SIL and other Service Providers can continue their high-care services without the organisation worrying about leasing or
property management requirements.
How does the lease agreement work?
With a non SDA Home, you work with a Local Real Estate Agent to help find you a suitable tenant. You sign a Managing Agency Agreement with a Licenced Real Estate Agent. They will source a Participant and then sign a lease agreement with the Participant on your behalf. There are different methods of engaging with
Participants with a SDA property. You could have an agreement directly with the Participant or you may have a SDA Provider maintaining a Head Lease, which enables them to sublet the property to suitable SDA approved Participants (tenants).
Is the landlord responsible for furnishing the property?
It would be unlikely that a complete furniture package would be required, as most Participants would have their own furniture for their bedrooms, but we would suggest there might be some furniture required for the shared spaces. Each home would have different requirements, but we believe an allowance of
$5,000 – $10,000 for items like a fridge, washing machine, table and chairs and lounge would be wise.
Who is responsible for maintenance and the associated costs?
It is generally understood that Participants will look after their own maintenance of the home, but it is suggested that a Landlord look after lawn mowing and basic garden maintenance. The Landlord is responsible for all other normal maintenance as per any other investment property. The Participants would be responsible for damage caused to the property.
Who is responsible for utilities?
The Participants are responsible to connect with utilities such as NBN, electricity and gas. However, it may be more efficient for the Owner to establish and maintain accounts with these providers in their own name and bill the ongoing costs back to the Participants, as it will be hard to get connecti onsmade to the home with 3 or 4 separate Participants.
What’s the estimated time to get Participants into my property?
Unlike a non SDA style home, there are various matters to be taken into account, when looking for and securing a NDIS-SDA approved Participant. Location of the property, suitability of the style of property in that area nd, demand for that style of home with a suitable Participant are just some of the factors which will need to be addressed. The process of looking for a Participant starts before the build has even started. We work closely with Service Providers, most of whom
have Participants on file, but there can be many factors that can delay this process also, as they may not yet have SDA funding approval on their Care Plans, or they may need to move out of current accommodation which may take time to transition across.
Does the SDA Provider have Participants lined up to move in?
Most likely, yes, but there are no guarantees. With careful planning and working with an efficient provider, and the vetting in advance of potential Participants, one would hope that the Participants will be ready to move in on completion of the new home. However, there is no guarantee this will happen on day one.
There may be a short period of time between house completion and transition to bring the Participants into accommodation. This all depends on the area chosen and the number of Participants on the waiting list.
What happens after the first 12-24 months?
Leases between the SDA provider and the Participant are normally for 1-2 years. These new homes are very sought after as many disabled people are currently living in less desirable accommodation like nursing homes, hospitals or low standard living accommodation so are likely to stay for an extended period.
The lease is extended based on all Participants living happily together. It is up to the SIL to ensure all Participants are happy and if not, move Participants in or out to provide the best outcome for the Participant and the household.
How does the lease agreement work with more than one Participant?
A separate lease agreement is signed with each Participant, and these are usually for 1-2 years. taxpayers a lot of money otherwise spent on accommodating the Participants themselves.
Is there a bond payable by the Participant for a SDA Property?
This will depend on the individual State or Territory, however, we would be ensuring a bond is payable when letting a SDA property. The bond fee will be the equivalent to four weeks rent for each Participant per room (which is the Participant contribution amount only, the NDIS payment is not factored for a
bond calculation).
Can my property be converted back to a regular home?
Yes, if you wish, your property can be easily used as a standard home.
