I agree that many of the higher end properties also attract better quality tenants, although in the area I work in it does take a lot more work to let those type of properties.
I'm out in the suburbs, so anything over say the $400 mark usually takes a little longer to lease than your lower end properties because the area in which I work isn't a great and if you do have $400 odd to burn each week on rent you're going to want somewhere closer to the city, newer or in a better area of the poor suburbs - Which we don't have a great deal of!
So this means, more inspections (and more private inspections at that, as lower end properties we can do 1-2 OFI's and let it), usually they will be larger properties too (because of the area you're not looking at a 1-2 bed apartment) which take more time to do outgoing/ingoing/routine inspections on, etc.
If I were to discount anything I would be more likely to discount the letting fee (from a business perspective, not because I ever see any of that money
). Why? Because the management fee is where you make the money and it is also the saleable asset of the rent role, although again it takes less time and effort to
manage a higher end property, but perhaps more time and effort to
lease that property. Bit of a catch 22 I think.
Why? Because it's a thankless, hateful, totally unrewarding occupation.
I'd warrant it's probably the highest staff turnover job in the country. Basic formula: Crap job, crap staff, crap prospects, crap service.
If anybody tells me they're delighted to be a PM I know I'm talking to a professional bin-liner. A decent PM is on their way out and onto better things, above all building their own portfolio, and is paid enough to do it.
Hiya Belbo! You're right, it is thankless and everyone hates us, I also agree that it has the highest turn over of staff too, since I started a year ago with my current company I have seen 4 PM's leave in that time.
Now, I'm not delighted to be a PM - But I do like my job, sometimes. You have the odd few that are very appreciative, which certainly doesn't make up for those PIA's, but it helps.
The main reason many PM's hate their jobs (IMHO), is because they don't think their approach through and don't know how to mould themselves to suit different personalities, therefore have many more clashes with tenants. You need to understand the personality you're dealing with to take the best approach and get the best outcome for everyone.
The way I play it is, even though I work for the best interest of my landlord I
always make the tenant feel needed/appreciated, however you wish to put it and never get on my high horse about rent arrears and routine inspections. Yes I tell them how it is, I evict them if needs be and send out the appropriate notices, but I have seen many people at my own company who have burst into tears from others being rude to them about arrears. This is because they act superior to the tenant, who then becomes defensive and doesn't want to talk to you and that's how the problems arise.
I bet there could be a lot less problems in the industry between the PM's and tenants ('cause lets face it, if your tenant doesn't like your PM they're less likely to cooperate) if the PM didn't try to over shadow the tenants and made them feel a little more important to the whole cycle. Even if we do actually work for the landlord.
