Adjustment Method: Free Adjustment
Use
Increase or reduction of condition amounts of selected lease-outs or rental units by means of absolute or percentage values.
The differences with respect to the adjustment procedure using user-defined conditions are:
User-defined conditions |
Free adjustment |
Adjustment of several conditions of the selected objects |
Adjustment of a condition type of the selected objects |
Prerequisites
Lease-outs have the intended adjustment type for the adjustment method.
You have assigned rental units to an external usage type that makes the adjustment method possible.
The system only adjusts conditions that are permitted (Customizing settings).
Integration
Control mechanism for the free adjustment
On rental unit |
On lease-out |
For adjustment run |
External usage type Percentage rate of increase |
Adjustment type Adjustment block per condition type |
Take into account percentage rate of increase? Adjustment of conditions on lease-outs and/or rental units? Adjustment of valid conditions only in the future? Generate (assign) new condition types on lease-outs and/or rental units during adjustment? Also adjust non-active lease-outs, i.e. lease-outs without system status ACTIVE? |
Features
Simulation/calculation
The simulation/calculation of the rent is carried out for selected lease-outs for each selected condition type.
Relative increase (in percent)
Total increase
Increase per area unit
Total new amount
New amount per area unit
When you are making a free adjustment for commercial property, the set rent cap in Customizing for Real Estate is not taken into account ( see also:
Overview Table: System Settings for Adjustment Methods
).
Adjustment objects
You can choose how the adjustment is updated:
Only for lease-outs
Only for rental units
For both lease-outs and rental units
Examples: Different Adjustment Objects
Activate
You have to activate the adjustment run so that calculated adjustments are updated on the respective lease-outs as valid condition items.
When activating, you have to specify per agreement:
Date of tenant approval
Date from which the adjustment is valid
Date from which, in the case of retroactive condition changes, subsequent payments can be posted to the tenant account
If a credit note has to be issued due to retroactive condition changes. The system automatically copies the due date of the original transaction.
Optionally, you can change the calculated adjustment amounts manually changed for each agreement.