What is NRAS?
NRAS is a Federal Government initiative that, through partnerships, significantly increases supply of new affordable rental housing. NRAS allows eligible people on low to moderate incomes the opportunity to rent homes at a rate that is at least 20% less than market value rent.
NRAS homes are not social housing — they are affordable rental homes owned by private investors or NFP companies.
NRAS homes are located where affordable rental accommodation is most needed, especially in areas where employment, schools and other services are available nearby. NRAS properties can remain in the National Rental Affordability Scheme for up to 10 years (provided they continue to meet eligibility requirements).
Who is eligible to rent an NRAS property?
NRAS rental homes are available to eligible low to moderate income earners. To be eligible to rent an NRAS property, potential tenants:
- will need to provide written evidence of their gross income – both with their initial application and every year afterwards – to the tenancy manager; and
- must not exceed the income limits for their household composition.
The total income of all tenants of an NRAS rental property is used to calculate the overall household income for that property.
Access Housing’s relationship with NRAS
Access Housing is an approved recipient of NRAS credits.
Access Housing’s for-profit real estate company – Magna Realty – property manage a range of NRAS properties. As an NRAS tenancy manager, Magna Realty’s responsibilities include;
- assessing initial and ongoing tenant eligibility through appropriate written evidence such as payslips, employer contact details etc and determining the gross household income for the 12 months prior to the day on which the household would become tenants;
- maintaining a register for interested parties for NRAS homes;
- determining the rents charged to tenants;
- providing appropriate property management and maintenance functions; and
- managing the ongoing tenancy.
The reporting and compliance requirements to government on owners of NRAS properties are detailed and complex and any mistakes or timing failures in submitting information to the Australian Government can result in the loss of the NRAS tax credit. Magna Realty therefore also offers owners the option of providing NRAS compliance services for a small annual fee. Magna Realty has established compliance reporting systems to ensure that all the requirements of the Australian Government are able to be met.
Should you require any additional information about NRAS, please visit the Australian Government’s Department of Social Services website. Alternatively, if you think you are eligible for NRAS housing tenancy or are an investor looking to purchase an NRAS property, please contact Magna Realty on (08) 9430 0980.