When it comes to property investment, a property manager is your biggest ally (after your buyer’s agent that is!).
Why? Well because put simply they deal with all the day to day drudgery that you just don’t have the time or patience for.
They are also a valuable buffer between you and your tenants so that you can live free of late-night or last-minute interruptions from your tenants.
Hot water pipe busted at 9 PM on a Friday night? No worries, your property manager is there to handle it.
But that is just a fraction of what they do. Here is a quick rundown of the services most property managers offer:
Legal and Paperwork:
They will handle all the legal paperwork such as drafting lease agreements, lodging bonds with the state, sending out rental arrears notices and warnings and filing to tribunal hearings in the event that tenants need to be forcefully evicted.
Leasing and Screening Applicants:
A property manager will list and advertise your rental, field inquiries and set up inspections. They will interview prospective tenants, review applications and do due diligence and background checks while screening applicants. They will then distil the most promising prospects and present them to you.
The property manager is responsible for scheduling inspections and providing written notice to your tenant. They are also responsible for thoroughly inspecting the property and reporting against its condition.
Conduct Compliance Checks & Maintenace:
Your property manager is responsible for making sure your property is compliant with regulations regarding fire alarms, and that fire alarms are working.
They are also responsible for organizing quotes for non-urgent repairs and running them past you for approval.
They can also undertake essential emergency repairs to essential services and utilities autonomously, so you do not get disturbed.
Your property manager is responsible for collecting rent and then forwarding it to you – minus their management fee of course.
Payment of Rates, Strata, etc
A property manager will generally withhold some money from rent in order to pay things like strata fees, water rates or council rates. This is one less thing you have to remember to do.
Property managers will be able to provide you with an itemized summary of the earnings and expenses of your property which you can use to file your tax return.
Lend an Expert Eye:
An experienced property manager will do more than just reactively manage your property. They will pro-actively provide you with insights and suggestions on how you can improve the rental return of your property.
They understand the local market, and they know when is the best time to list a property in order to lock in higher rents. They also know what features, such as airconditioning, can help attract better quality tenants and provide a return on investment.
So, a property manager shouldn’t be seen as an unnecessary expense. They are there to make your life easy, and a good property manager will more than make up the cost of their fees through better rents, fewer vacancies and less money spent on repairs and maintenance.