4 weeks and still no tenants
- Thread starter cgw
- Start date
(fingers crossed) us too our PM had an appointment to sign the lease at 5.00pm tonight and no news is good news.
It has been about 5 weeks since first advertised (property is in Point Cook), although it did take a couple of weeks to complete the fencing and put the carport door on so that might have put some tenants off. Also dropped the rent $10 a week and after that we got 3 decent applications.
One thing though, if we had had a No Pets policy we would not have a tenant at this time!
It has been about 5 weeks since first advertised (property is in Point Cook), although it did take a couple of weeks to complete the fencing and put the carport door on so that might have put some tenants off. Also dropped the rent $10 a week and after that we got 3 decent applications.
One thing though, if we had had a No Pets policy we would not have a tenant at this time!
i find this thread interesting, in this time of low rent vacancy. i guess it comes down to picking property and areas that people want to rent.
i settled on my new 3 bed ip two weeks ago - the ad had only been on the internet 6 hours (didn't even make it to the papers) and had 12 parties apply. was rented within 4 days as the asking price - and now the tenant has asked if they can do some painting inside ... go for it! as is a "tidy" dump we intend to knock down within a few years anyhow (hopefully 1 year) to build the townhouses.
i settled on my new 3 bed ip two weeks ago - the ad had only been on the internet 6 hours (didn't even make it to the papers) and had 12 parties apply. was rented within 4 days as the asking price - and now the tenant has asked if they can do some painting inside ... go for it! as is a "tidy" dump we intend to knock down within a few years anyhow (hopefully 1 year) to build the townhouses.
Hi JoJo,
Frankston has gone through a brief phase of excessive prop on available rentals compared to relative demand however it has eased lately.
I am confident that the problem has more to do with a massive increase in the rental register for the agents ( who all of a sudden found hundreds of more prop to manage off the back of massive investor driven activity) and their subsequent inability to manage that increase properly.
I have had issues with my own prop agent that I believe to be the best in Frankston (that manages my Frankston portfolio), since I find their rental dept currently under resourced. The result has been that the agents cut the corners and do not market the prop properly.
I have had 2, 3 & 5 weeks of vacancy for some of my prop in Frankston (compared to not more than 1 week of vacancy each year per prop for my entire portfolio in the last 5 years).
The best prop to rent have been the ones which have had a face lift.., minor reno (fresh paint or recarpeting) etc since most are older style houses and visually good prop get a huge increase in rental.
Would you mind sharing the details of the agent that you had poor experience with in Frankston..?
Harris
No problem sharing. Actually it was probably on your recommendation that I am using Andrew Milne as my property managers - however didn't manage to get Cathy which I was a mite peeved about as I had specified her by name. however due to this forum she is of course over stretched so I use Barbara.
Now she's a sweet lady but there is an edge missing. I had the fortune to have some communication with Cathy when Barbara was on annual leaave - what a difference!
As an aside - the property, in Denbigh Street, is now rented.
Again this is an indication of the service - on Friday 31st August she told me someone had put in an application. I heard nothing more until she phoned on Thursday to say they were moving in that day and here's a list of things that need attention.
It it weren't for the tribunal and legal side of Property management I'd have a go myself.
well - huge sigh of relief it is rented now so i can start sleeping again and planning my next IP - not in FRANKSTON!!!!
JOJO
Now she's a sweet lady but there is an edge missing. I had the fortune to have some communication with Cathy when Barbara was on annual leaave - what a difference!
As an aside - the property, in Denbigh Street, is now rented.
Again this is an indication of the service - on Friday 31st August she told me someone had put in an application. I heard nothing more until she phoned on Thursday to say they were moving in that day and here's a list of things that need attention.
It it weren't for the tribunal and legal side of Property management I'd have a go myself.
well - huge sigh of relief it is rented now so i can start sleeping again and planning my next IP - not in FRANKSTON!!!!
JOJO
Hi JoJo,
I agree with your assessment of Andrew Milne prop mgt dept being a bit slack lately, however I use them because out of all the other prop managers with various agencies, I found them to be the best option.
We had our fair share of miscommunication, not being followed through, less rental than the appraisal, slightly demanding tenants and then failure to manage the situation well, etc etc, however to be fair I don’t sweat on it too much since relatively speaking they are all “manageable” issues and are not impossible to fix.
I have put a hard word on Andrew Milne and I think he is putting more resources to manage the rental side of things well.
I will have 11 tenancies in Frankston (by the time I settle on last couple of prop) and finding it very time consuming to manage the properties. Also acutely aware that the area is going through a boom and it is a relatively lower soci-economic area with similar class of agents. Things are getting much better as more investors demanding better service are entering the market.
I wouldn’t be put off buying in an area for these (relatively minor) issues and happy to live with these dramas to reap the CG that is hitting the area with full force.
Good luck
Harris
My personal feeling is that the rental market in eastern states is not good as it in WA. I have two properties rented leased. They are more applications and I have to choose which one is better. For one propery, I did not like the first 5 applications, then readvertise it and get one I like.
The rental market here is on fire and has historically low rental vacancy rates. My properties in inner melbourne haven't had a single week of vacancy in the last 5 years and same with my Cairns, Rocky and Hervey Bay prop.
The rents in inner melb have gone up by more than 20% for my prop this year alone.
Frankston is a unique example currently because of an extremely high investor activity level and under resourced prop agents.
The latest is that within Frankston, the rentals are back in short supply.
Harris
SE QLD Rental market
I'm not sure what the WA rental market is like (see TheAnalyst thread), but can say that all our 5 IP's in SE QLD (specifically outer southern suburbs of Brisbane/Logan) have been constantly tenanted since we built our first one in 2003.
Just this week, our PM advised that one IP becoming vacant was looked at by 4 suitable tenants.
I'm not sure what the WA rental market is like (see TheAnalyst thread), but can say that all our 5 IP's in SE QLD (specifically outer southern suburbs of Brisbane/Logan) have been constantly tenanted since we built our first one in 2003.
Just this week, our PM advised that one IP becoming vacant was looked at by 4 suitable tenants.My understanding in NSW is that until you have an actual tenant, there is no binding contract with property manager. So, you can have a couple of agents looking for tenants for a property. Not sure what the situation is in QLD, but I would look around for another PM, because everything I've heard about QLD is that the rental market is very tight.
Pen
Pen
Wylie
Its in Ascot. The previous tenant was there for 7 years and was a friend of the previous owner. So when we bought the place agent said rent should be at least 80 dollars more. We raised the rent by $40 to $300/- as she was a good tenant and was moving to another town soon.
We then added a new kitchen, paint, lights, a/c and agent apparaisal was $400/-$420/-. Now reduced to $370/-. I was overseas for 4 weeks and they hardly did anything or updated me while away. I think the problem we have had is a combo of overvaluation and slack agent. Make sure you have a good agent who knows the market and is proactive.
Rental tenancy agreement states 4 weeks notice. Does anyone know if this could be shorter when vacant (like in NSW? - thanks Penny K).
Its in Ascot. The previous tenant was there for 7 years and was a friend of the previous owner. So when we bought the place agent said rent should be at least 80 dollars more. We raised the rent by $40 to $300/- as she was a good tenant and was moving to another town soon.
We then added a new kitchen, paint, lights, a/c and agent apparaisal was $400/-$420/-. Now reduced to $370/-. I was overseas for 4 weeks and they hardly did anything or updated me while away. I think the problem we have had is a combo of overvaluation and slack agent. Make sure you have a good agent who knows the market and is proactive.
Rental tenancy agreement states 4 weeks notice. Does anyone know if this could be shorter when vacant (like in NSW? - thanks Penny K).
Our agreement (in Qld) stated 90 days notice to terminate management contract. I negotiated this down to 30 days and suggested to the PM if she does her job it is a mute point anyway but I wouldnt give her 90 days of not performing.
She was happy to reduce the notification period but would not go to less than 30 days.
Cheers
Stella
Similar threads
