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Myth Buster Series: A DHA lease can be a strong selling point for buyers

by Defence Housing Australia | Feb 18, 2026


DHA’s leasing program is constantly evolving to deliver the best results for our landlords and the Defence members living in our homes. Our Myth Buster Series aims to clarify any potential myths you may have heard about investing with DHA and provide accurate information.

 

Myth: You can’t sell a property with a DHA lease.

Fact:
Leases are fully transferable – you can sell at any time.

Australian investors usually take a long-term position when it comes to holding onto their properties, which is why thousands opt for the comfort and convenience of an extended lease with DHA. 

Secure tenants, inclusive property care services and guaranteed1 rent for up to 12 years or longer2 are drawcards that make DHA one of Australia’s most secure and reliable real estate investments.

On average, landlords retain ownership of their properties for around 10 years3, in some locations it can be even longer. However, circumstances change, prompting property owners to divest for many different reasons. Downsizers may wish to exit at a convenient time. Portfolio investors may rebalance or liquidate their holdings. 

In all cases, our model ensures stability for Defence members and their families and continuity of income for our investors. If you need to sell while your property is leased to us, it’s easy to transfer the contract to a new owner4.

Known as a mid-lease sale, simply notify DHA of your intent to sell and then put your property on the market at any time noting the DHA lease in place. As part of the settlement, the lease is provided to the buyer, and the rental arrangement continues unchanged. They inherit a secure tenant, guaranteed1 rent and DHA’s property care services which gives them reassurance and immediate returns, without the hassle or cost of sourcing and screening new tenants.

Avoiding tenant changeover is a major drawcard – buyers don’t lose rent while the property is empty or pay advertising and leasing fees to secure new tenants. Even in today’s fast-paced rental market, these costs quickly add up, currently averaging around one month’s rent or approximately nine per cent of the annual property income.

Example based on $600/week rental:

DescriptionCost
National median time to relet: 17 days (2-3 weeks)52.5 x $600 = $1500
Typical letting fee: 1-2 week’s rent61.5 x $600 = $900
Total$2,400

 

There are a few important things to note if you are planning to sell mid-lease:

  • the existing lease continues and is transferred to the new owner 
  • DHA continues as the tenant and guarantees1 that rent is paid throughout the process
  • buyers reap the benefits associated with gaining a secure government tenant.

If you do need to change your investment strategy, we are here to help facilitate a smooth handover to your buyers with:

  • monthly statements keeping you and your buyers fully informed
  • access to an expert team that can guide you and your representatives through the paperwork.

Every day there are property buyers around Australia actively looking to invest with us. If you are thinking of selling, having DHA tenants in place can be a real plus, so make sure your property is prominently advertised as a “DHA-leased investment”.

For more information on selling mid-lease, visit selling a property while leased.

Interested in purchasing a property mid-lease?

There are established DHA properties being sold during the lease (mid-lease), allowing you to take over the remaining lease term. 

To view the list of these properties, please follow the steps below:

  1. Visit your preferred real estate property site.
  2. Search the location you are interested in buying a property.
  3. In the filters, include the keyword "DHA" and hit search.
  4. Use the contact details provided on the listing to enquire about the purchase.

 

1. Rent may be subject to abatement under certain circumstances such as loss of enjoyment or amenity, or breach of lease terms. Rent is paid where the property is habitable. Should a property become uninhabitable during the term of the lease, or lessor breaches the lease terms, the rent may cease or abate and the lease may be terminated by DHA. Guaranteed rent is subject to the terms of the lease. DHA does not take into account an investor's objectives or financial needs. Investors should always seek appropriate independent advice before making any investment decisions with DHA. 
2. DHA can vary the lease term at our discretion by exercising each extension right once. Investors should consider their long term plans and potential changes in circumstances when assessing a DHA long term lease.
4. Investors should consider their long-term plans and potential changes in circumstances when assessing a DHA long term lease.

 

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