How do you manage your properties?
- Thread starter Kaz01
- Start date
No! The question was how do you manage your properties. Not how to self manage.
Some people manage their properties by paying an agent to do it for them, others do it themselves.
All my properties are in the same city as me so I self manage them. Never had a problem and save myself the commission of paying a PM. I've got a good judge of character and enjoy interacting my tenants so never found the reason to have a PM. If I ever invest regionally or interstate in the future I'd use a PM simply due to logistics.
Hi Kaz,
I have never attempted to manage my properties myself yet. I have read all of the legislation a dozen times or more so my understanding isn't what is stopping me from managing myself. If I had to pick one reason it would be time. Between a busy work schedule and family I don't have much time to consider managing my properties. However it won't always be this way. One day I will be able to replace my salary with passive rental income and I will free up more time to do whatever I like. That's the long term goal anyway.
Definitely use PMs as I'm time poor and not much of me left over. I find I do have to manage the PMs though. There are some things that wouldn't be attended to if I didn't keep at them. I like to do inspections every so often too because I find the PMs will tell you everything's ok when it's not e.g. fences, mould, tenants pov.
I think the PMs I've got are ok but not fantastic and not the sharpest pencils in the pack either. I could change but know that a lot of them leave or change jobs anyway and there's no guarantee I'd get someone better for any length of time. They're reasonably polite to the tenants and for now I need their detachment. If I had to deal with the tenants all the time, I might lose it and stuff it up.
I know there are great PMs on this forum but I think these gals (and guys?)are the pick of the crop.
I think the PMs I've got are ok but not fantastic and not the sharpest pencils in the pack either. I could change but know that a lot of them leave or change jobs anyway and there's no guarantee I'd get someone better for any length of time. They're reasonably polite to the tenants and for now I need their detachment. If I had to deal with the tenants all the time, I might lose it and stuff it up.
I know there are great PMs on this forum but I think these gals (and guys?)are the pick of the crop.
I've quoted the original question above. I would love to hear from more people.
For those of you who are more involved in your IPs it would be great to here what tools, sites, forums, trade sites etc you use to assist with either managing your properties or filling in the gaps when managed by agents (if there are any gaps).
Thanks to to everyone who has shared their stories so far.
I self manage two properties with long term tenants, a few suburbs apart. One of them I placed tenants from the start and really enjoyed learning all about the tenancy act so I'm half educated now.
This knowledge also helps me manage my other PM's more effectively.
The rest are with PM's whom I spend more time managing. Had a damaged parquetry floor in one of them for over 2 months as the PM cannot seem to find anyone to repair it...which reminds me, I need to follow that up!
If my self managed property tenants ever move on, I will probably shift them over to a good PM in the area - but for now they're really easy to look after.
This knowledge also helps me manage my other PM's more effectively.
The rest are with PM's whom I spend more time managing. Had a damaged parquetry floor in one of them for over 2 months as the PM cannot seem to find anyone to repair it...which reminds me, I need to follow that up!
If my self managed property tenants ever move on, I will probably shift them over to a good PM in the area - but for now they're really easy to look after.
Main website I use is www.commerce.wa.gov.au, also check on TICA / NTD and cross check references provided using RPdata.
Advertise in the paper and Gumtree.
Is that because you're batman?
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?!
Hi Jacque,
Agreed.
I feel, whether you have a PM or self manage, its like any job. It boils down to problem solving, communication (including being respectful) and being organised, to varying degrees of course.
What do you look for or like in the agents you use?
Thanks for sharing Jacque
-Kaz
Hi VaSSagO,
It seems like you have things down pat. That's fantastic!
I would love to hear how you find tenants and manage the day to day. You have me fascinated, thanks for sharing
For my properties:
- Finding tenants: I use an agent. For the self managed ones I try to maintain healthy relationships with local PMs and use the same ones or at least the same agency. I'm pretty involved in the screening process.
- Tracking rents: whether they are managed by a PM or myself I use google docs so I check things at home, in transit or even at work.
- Repairs: If not managed by an agent and I don't already have reliable tradies details I use http://www.homeimprovementpages.com.au.
Hi Rixter,
I completely agree.
From most peoples comments so far I've gathered that people are making decisions based on their perspective of ROI of either time and/or money in deciding how to manage their properties.
And now that I think about it I do the same.
I have one agent in Sydney that treats my affairs like they are his own whether that's from a PM perspective or a sales perspective. He's helped us out within his agency to sell a property even. As a result he's maintained a long relationship with us through three different agencies. He's a bit old school in that respect and just handles business while being transparent.
I'm also on my second agent in Penrith, it's still early days but she has been pretty good so far.
How do you go about managing your IPs yourself? Any tips and tricks you can share?
Thanks in advance Rixter!
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.
Thanks for sharing travelbug. My wife and I also share your goal of seeking a passive income to fund retirement
With the properties you have with PMs, what have you looked for in an agent? Have you had to switch agents much? What would you like to see changed?
Over the last 5 or so years I believe PM standards have gotten better. I remember a time when it was standard for a PM to ignore tenant requests for repairs which I could never understand. I remember reading one of Steve McNights books and him saying something along the lines of needing to respect tenants because they are essentially paying properties off for us. That really resonated with me which is why I'm glad to see that behavior change.
I know this is getting a little bit of topic, but does anyone share in that belief? That its important to keep your properties well maintained and effectively service tenants needs that are warranted?
Thanks for sharing 2FAST4U.
Do you have a story for how you came to self manage your properties? Did you have a bad experience by any chance or was it more because you felt comfortable with it and could pocket the $$?
I would love to hear more about how you mange them, if you feel comfortable sharing
Thanks.
-Kaz
Hi citystar,
Thanks for replying
What do you value most from your current PMs? Would you say their services are relatively on par with each-others?
If you had a magic wand would you change anything?
For me, I would have liked more consistency between agencies in the same franchise. Like when you go to McDonalds - its just about the same everywhere.
-Kaz
Generally, I use PM, it's much easier for their PM service and check on their work than DIY.
Also insurance company mostly required PM managing the property.
I had bad experience with using PM, it taught me to select PM more carefully. Check with rental statement, period inspection reports, regular communicate, check the quote and repair work.....
I did manage myself before when I rent out my own place. I found it's hard to separate my emotional side from investing side, especially went the tenants asking for rent reduction and showing having difficulty for the rent increase.......
Also insurance company mostly required PM managing the property.
I had bad experience with using PM, it taught me to select PM more carefully. Check with rental statement, period inspection reports, regular communicate, check the quote and repair work.....
I did manage myself before when I rent out my own place. I found it's hard to separate my emotional side from investing side, especially went the tenants asking for rent reduction and showing having difficulty for the rent increase.......
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