Real Estate

Expert manager’s vital to protect asset

MOST landlords realise you need a good property manager but you would be surprised at the amount of professional investors that still end up with an average or bad property manager; I unfortunately know this from first hand experience.

Does the agency employ junior staff with no practical experience? Or do they have senior property managers that are on hand for ‘day to day’ enquiries?
The property manager should be conducting a regular routine inspection and send you a copy of the inspection report.
They should also offer you an opportunity to inspect your valuable asset with them.
It is easy to ‘set and forget’ an investment property that is always rented out. This happened to me in an investment property in Newtown. It was always rented out and the property manager didn’t offer for me to join them at the inspections.
Unfortunately, I found out years later that the long-term tenant had trashed the apartment and the property manager had clearly not inspected the property for some time.
This is where it is so important to make sure you have landlord insurance to cover for unforeseen damage. This is one of the most valuable assets you will own so make sure you are covered.
Are they truthful? One of the property manager’s jobs is to give you honest feedback on the property. Does it need a new coat of paint? A new oven? Any other maintenance that will help you increase the value of your asset and the rent?
Another concerning sign of a bad property manager is discrepancies with rental payments to landlords. Trust accounting should be taken very seriously and any good agency has a specialist team member that is detailed in their analysis to carry out these tasks.
Lastly, check what their management fee includes and make sure there isn’t too many additional fees. I’ve heard of some agencies charging for routine inspections. These should be included in your standard management fee.
If you are unsure, call Day & Hodgson on 9554 6634 to compare.