A large part of maximising a sale price when selling your investment property is carefully looking after it though it’s life. Bad tenants can prematurely wear and tear your property, reducing its value by tens of thousands of dollars.
Hence it’s critical to have property management that have their ‘finger on the pulse,’ when it comes to tenant selection and long term property maintenance.
How do your know if you property manger is doing a good job?
A great sign of a good property manager is regular communication, at least every three months. If your property manager is making an effort to report issues, manage repairs or insurance claims, organize routine inspections and giving you feed back on it all, they’re on the right track.
Remember, no news isn’t always good news.
The Surprise Repair Bill.
Another sign of a poor property manger are surprise repair bills that seem higher than normal.
A good property manger should provide feed back of an issue before organizing a repair ie. photos and a detailed description. Then give the landlord an opportunity to take on the repair works or let the property manager organize it all.
Trades men are very sharp when quoting work and can spot an opportunity to over quote a job when dealing with a decision maker that doesn’t have an interest in a low price.
If you find yourself in a scenario where you’re looking at a big repair bill. Pick up the phone and ask a few trades people what they would charge for the job.
According to Consumer Affairs Victoria, an urgent repair like a hot water unit not working properly, needs to be fixed within 48 hrs. Non-urgent repairs, like a broken window covering, can take up to two weeks.
This does happen from time to time, hence it wise for a landlord to have some leniency on the odd occasion. Late rent on a regular basis can be a bad sign on many levels and a sign it’s time to change your property manger. What to look out for:
- Ask your property manger how they manager rental arrears?
- Tenants not having a good relationship with their property manager, which can lead to a number of issues.
- Property manger is not giving feedback as to why rent is late.
Rental Increase For No Reason
Putting up rent for no reason could be a quick way to lose a good tenant. This is common with large real estate agencies that are too automated by reminder software.
A wise property manager will conduct a rental appraisal based on comparable properties, then giving their professional opinion if a rental increase is wise.
Good tenant selection can cover over the sins of an under preforming property manger. If the right due diligence is not done, a bad tenant can give a landlord grief on many levels.If this is happening too often, it’s best to change your agent and ask your new PM to manage the tenants out of the property.
Can you change your property manager Mid Lease?
The short answer is YES!
Changing your property manager mid lease usually doesn’t incur any charges. It’s as simple as signing a new lease agreement with your new agency, at this point, your new property manger will do the rest.
Check out your original lease agreement to see if there are any charges associated with breaking the contract.
To make sure you don’t get stung with fees, ask your new property manager to read over your old lease.