How do you manage your properties?

[Kaz01]

Over the past 10 years, my wife and I, I've done a mix of getting an agent to manage our properties and managing them ourselves (myself rather) so I wanted to start a discussion about how others managed their properties.

To start with I was thinking

• How you manage your properties?
• How is it working for you?
• Have you tried other approaches, like switching agents, managing them yourself or doing it online?
• What would you like to see changed?

Thanks in advance!

 

[BayView]

No input at all if possible.

PM's do it all.

Occasional emails and form signing and that's it.

But, we have never had any close to us to manage myself, and haven't got the time anyway.

 

[Jamie M]

Hiya

- Mix of self and using an agent (50/50 split)
- OK for now, but when self managed IPs come off leases, we'll hand them over to PM (only because PM we've now got is awesome)
- The only reason we started self managing is because we had bad experiences with PM's. Now we have a great one on board so looking forward to handing all IP's over to her at some point. I don't have the time/energy to stuff around with self management.
- It's not always easy finding a good PM. I found the best ones to be efficient, proactive and good at keeping you in the loop.

Cheers

Jamie

 

[EN710]

How you manage your properties?
PM only - I prefer hands off when I can.

How is it working for you?
So far it's good. I had to change PM for one of the property as it seems like they're taking my time than saving it.
The PM for another property is fantastic - experienced, no fuss and can be trusted to follow up thoroughly if there are issues.

 

[Kaz01]

No input at all if possible.

PM's do it all.

Occasional emails and form signing and that's it.

But, we have never had any close to us to manage myself, and haven't got the time anyway.

Hi BayView,

Thats great, have you got a good PM? Has it been all smooth sailing?

-Kaz

 

[Kaz01]

Hiya

- Mix of self and using an agent (50/50 split)
- OK for now, but when self managed IPs come off leases, we'll hand them over to PM (only because PM we've now got is awesome)
- The only reason we started self managing is because we had bad experiences with PM's. Now we have a great one on board so looking forward to handing all IP's over to her at some point. I don't have the time/energy to stuff around with self management.
- It's not always easy finding a good PM. I found the best ones to be efficient, proactive and good at keeping you in the loop.

Cheers

Jamie

Hi Jamie,

What circumstances have lead you to a 50/50 split? And how did you go about finding a good PM?

For us, we usually use a PM from the agency who we purchase from and only self manage when disappointed by a PM. Our most recent 'adventure' we had both tenants in a dual occupancy property complain about the agent - that didn't leave me many options.

That's great that you've found a good PM, have you considered any online PM offerings?

Thanks.

-Kaz

-Kaz

 

[wylie]

I've never paid a PM, except at a time of family bereavement when we had to deal with that plus three tenants leaving at the end of the leases.

Over the past 35 years, I've been mostly disappointed when we've had an agent find us a tenant in return for a week's rent. That has improved over the past ten years and that is what we did when we had the family bereavement.

My parents bought their first IP when I was 15 so I've learned to paint and renovate and manage them. I have found that an agent will allow an outgoing tenant a week to come back to clean and get this finalised. I've often had a tenant leave on a Saturday and a new one move in on a Sunday.

I know an agent must have that leeway to allow for hiccups, but I have a personal relationship with the outgoing and new tenant, and have rarely had any issues. I'm probably more cautious as I get older and of course, I have a bigger buffer now and could have an empty house for a week or more whereas in early days, we just needed the rent to flow or we couldn't pay our mortgage.

For me, self-managing is easy and I enjoy it. I enjoy the interaction with our tenants. I know a lot about the rules, and anything I don't know, I find out with a phone call or click of the mouse.

I understand most people don't want contact with their tenants, but for me, I don't mind it at all. One of our tenants is now a firm friend, paints for us and his wife brought over some lovely morning tea the other day. I buy him morning tea if I'm getting it for us when renovating. He returns the favour.

I wouldn't have it any other way, but maybe I'm odd .

 

[citystar]

I use the services of property managers to look after the collection of rent and tenant issues. I prefer to control and manage payment of all of the bills and finances for the IP's myself. So far it has been going well with long term property managers who are experienced and are prompt with contacting me with any issues.

 

[BayView]

Hi BayView,

Thats great, have you got a good PM? Has it been all smooth sailing?

-Kaz

I've had good ones and not so good.

The current one (and only one - we only have 1 IP now) - they are pretty good.

 

[D.T.]

I think anyone who self manages is defeating the purpose of property investment being a long term passive endeavor.

 

[Allgood]

I've got a PM to manage mine (4 IPs) but often think I could and should self manage. The only thing holding me back is time, but then I think I often get tradies to do the quoting etc if a maintance thing comes up anyway so maybe it wouldnt be much extra work.

If I self manage I could be saving over $100/week ($5k a year) not much in Somersoft-land, but for me it's worth considering, The PMs dont do a great deal, but if it hits the fan I'd hope they'd be able to handle the process without too much stress from me. I guess in tenancy management everything's good until it isn't!

Jamie M, would it be possible to get the name of your fantastic Canberra PM. We're using one in Belconnen for a Ngunnawal house who hasn't excited me a great deal.

regards,
Allgood

 

[wylie]

I think anyone who self manages is defeating the purpose of property investment being a long term passive endeavor.

I would disagree with you, but then we don't have that many to manage.

I don't spend much time on it. Check the rent has gone in when I'm checking my other banking, and deal with any issues as they arise. Most of the issues I deal with would be questions that a PM would be referring to me anyway.

The other thing is that I love property, renovating it, looking at it.

From the sounds of some of the stories on this forum, we spend much less time managing our houses than many landlords spend managing their managers, plus we have thousands in our pocket each year that we would be paying out if we had them managed.

 

[Kaz01]

I've never paid a PM, except at a time of family bereavement when we had to deal with that plus three tenants leaving at the end of the leases.

Over the past 35 years, I've been mostly disappointed when we've had an agent find us a tenant in return for a week's rent. That has improved over the past ten years and that is what we did when we had the family bereavement.

My parents bought their first IP when I was 15 so I've learned to paint and renovate and manage them. I have found that an agent will allow an outgoing tenant a week to come back to clean and get this finalised. I've often had a tenant leave on a Saturday and a new one move in on a Sunday.

I know an agent must have that leeway to allow for hiccups, but I have a personal relationship with the outgoing and new tenant, and have rarely had any issues. I'm probably more cautious as I get older and of course, I have a bigger buffer now and could have an empty house for a week or more whereas in early days, we just needed the rent to flow or we couldn't pay our mortgage.

For me, self-managing is easy and I enjoy it. I enjoy the interaction with our tenants. I know a lot about the rules, and anything I don't know, I find out with a phone call or click of the mouse.

I understand most people don't want contact with their tenants, but for me, I don't mind it at all. One of our tenants is now a firm friend, paints for us and his wife brought over some lovely morning tea the other day. I buy him morning tea if I'm getting it for us when renovating. He returns the favour.

I wouldn't have it any other way, but maybe I'm odd .

Hi Wylie,

To be honest I couldn't agree more. I tend to favor and get a better result when I manage properties myself. The only thing that catches me out sometimes is time.

How do you manage your properties yourself? Do you use excel, check your bank accounts etc?

Great to hear your story Wylie, thanks for sharing!

-Kaz

 

[Kaz01]

I use the services of property managers to look after the collection of rent and tenant issues. I prefer to control and manage payment of all of the bills and finances for the IP's myself. So far it has been going well with long term property managers who are experienced and are prompt with contacting me with any issues.

Hi CityStar,

At any point have you managed your IP's yourself?

-Kaz

 

[Kaz01]

I've got a PM to manage mine (4 IPs) but often think I could and should self manage. The only thing holding me back is time, but then I think I often get tradies to do the quoting etc if a maintance thing comes up anyway so maybe it wouldnt be much extra work.

If I self manage I could be saving over $100/week ($5k a year) not much in Somersoft-land, but for me it's worth considering, The PMs dont do a great deal, but if it hits the fan I'd hope they'd be able to handle the process without too much stress from me. I guess in tenancy management everything's good until it isn't!

Jamie M, would it be possible to get the name of your fantastic Canberra PM. We're using one in Belconnen for a Ngunnawal house who hasn't excited me a great deal.

regards,
Allgood

Hi Allgood,

It sounds like you do most things except for find the tenant and collect rents.

I hear what your saying about everything being good until it isn't - I remember one time I had a 3 international students living in an IP and they fell behind in rent because of a break down in friendship. I ended up having to help them move out (it was in my best interest of course) and then kept a good relationship with the guys individually to eventually get the rent I was owed.

-Kaz

 

[Kaz01]

I would disagree with you, but then we don't have that many to manage.

I don't spend much time on it. Check the rent has gone in when I'm checking my other banking, and deal with any issues as they arise. Most of the issues I deal with would be questions that a PM would be referring to me anyway.

The other thing is that I love property, renovating it, looking at it.

From the sounds of some of the stories on this forum, we spend much less time managing our houses than many landlords spend managing their managers, plus we have thousands in our pocket each year that we would be paying out if we had them managed.

I've found over the years, with the properties I've managed myself, years can go by (roughly 3) and not have any issues only to have a bunch of issues come up at once.

A few years back we had a unit with a major roof leak, one with a hot water system needing to be replaced and another with a tenant moving out. All within a few weeks of each other.

Has anyone had similar situations?

 

[Jacque]

Being a bit of a control freak I can't help but still manage one of my properties. Others are with PMs but they are with trusted and reliable ppl so all good there

The key is a great tenant. I'm fortunate in that the property I self-manage has had the same amazing lady there for several years now, with nary a complaint or concern. Place is immaculate, she never misses a payment and we have a professional but friendly relationship.

I've self-managed many times and have had some shockers but it's all about how you handle stress really isn't it?!

 

[VaSSagO]

I think I can do a better job than a PM and save a lot of $$ at the same time.

I agree things seem to happen in patches but it wouldn't be any different using a PM. I can go for months without do anything more than checking the rent has gone in (especially easy when tenants pay monthly, my preference).

It may not be passive but I do it by choice. When I look at the extra time required (compared to managing a PM) versus money saved by not paying a PM and less vacancies I think it is no brainer. I reckon it works out I effectively get paid $250 per hour by doing it myself.

There is nothing a PM can do that I can't.

 

[Rixter]

I'm the General of my Army, not a soldier in the trenches.

Investing is not just about leveraging other people's money but other people's time also.

 

[travelbug]

We self managed 2 (now 1 due to selling one) both due to poor agents so we took them over.
As we started buying I decided to pay the bills myself but it got s bot onerous as the numbers went up. I have just changed all bills (except the self managed one) to the agents. The self managed one is great. Never hear from the tenant, money just goes in every fortnight.
Having problem tenants is difficult whether it's self managed or not.

We are nearing retirement and we will travel full time so we want a passive income.