8 October 2015
Consider these points when selecting a property manager
So you’ve bought an investment property or and you’ve decided to appoint and interview for a property manager who is going to being looking after your investment property, it’s easy to believe that you are going to have to adopt the stock standard property management agreement that is going to be put in-front of you.
The key point here is that with a Raine & Horne Property Manager you are speak to a representative from professional property management company – and it is your needs that should come first, and any best practice property manager will be more than happy to help tailor-make a rental agreement that is going to suit your personal requirements.
Consideration must be given to the style and age of the property you own, the type of information and feedback you want to know about your rental property and a professional property manager will put together a custom-made contract.
A Raine & Horne property manager might recommend that you look at other items such as making a slight increase to the rent and include that a gardener be engaged to mow the lawns once a month and give a quick little tidy-up as many tenants find this arrangement particularly attractive and are happy for a $5 to $10 increase for such a service.
You can also give clear instructions to the property manager about whether they conduct a regular maintenance program for their portfolio of rental properties. This could allow you to write into your property management agreement that you receive a complete maintenance report once a year, usually done before June 30th. This allows you to have the opportunity to correct any potential or outstanding maintenance problems on your investment and still claim the expenses, if any, on your tax almost immediately.
Another item to consider is knowing the value of your investment important to you? You may include as part of your agreement that your real estate agent will be able to have access to the property at least once per year to be able conduct a thorough market appraisal.
If your property has either a swimming pool and an immaculate gardens, you should instruct the property manager to not only conduct the agreed routine inspections but also contract a pool company to check the pool thoroughly once per year or a gardener to give the yard a ‘spring refresh’.
The requirements of property investors and those required from the rental properties often differ greatly. The examples listed above are just a guide to give you a starting point when you begin your discussions with your Raine & Horne property manager.
Tailor-making a property management agreement that suits your needs isn’t only about finding the property manager who charges the lowest fee. It’s about taking positive steps in the long term to ensure that the property manager can maximise the return on your rental investment.
The recent changes to tenancy legislation, more educated investors & tenants means property management has become a highly specialised business. It is no longer a cottage industry, property management companies need to have specialised software and highly trained property managers to ensure that all of the t’s are crossed and the i’s dotted.
Raine & Horne South Australia