A rental ledger, also known as a lease ledger, is a document that contains all transactions to do with a rental agreement. In most lease agreements, there would be two ledgers, a tenant’s and a landlord’s. These ledgers will show all transactions throughout the agreement, through deposits and withdrawals, a description and the dates the transactions happened.
When it comes to the financials of your rental, this document contains the most important information you will need. It will show a clear history of when rent is being paid, it can also help keep track of maintenance costs and other bills paid out of rental income. It is there to provide you a complete understanding of where the money is coming and going.
Sometimes in disputes, whether it be tenant against landlord or sometimes where the agency needs to explain where money has been allocated, a ledger can supply all parties with a full transactional history of the property. By studying the ledgers, you should be able to have a full understanding on where the money is going and what or who has been paid. They are also very handy in VCAT hearings when there is a monetary dispute between landlord and tenant.
Both landlords and tenants should always request their ledger for future reference. It is important to have a physical copy for yourself, whether it comes in handy at the end of the tax year or helps secure your next home. You can find more information about requesting your rental ledger here.
The following advice is of a general nature and intended as an opinion and broad guide. For all legal, financial or real estate advice you should obtain independent professional advice to do with the specific nature of your circumstances before making any legal, financial or real estate decisions.