Main complaint LL's have with their PM's

[liverpoolharryk]

Doing a little bit of a survey here if that's alright. What's the main complaints Landlords have about their Property Managers/Real estate offices?

Some suggestions;

PM's not getting back to you?

Not relaying information from the tenants to landlord and visa versa?

Maintenance not carried out when asked?

High turn over of PM's in the office?

Commissions?

Etc, Any other thoughts?


Jarrod
Jarrod Lane Real Estate

 

[Carolyn]

Good on you for seeking this info out, hopefully it helps your compnay provide a better service to your landlords.
Firstly I would have to say that the commission is the least important consieration if my PM is doing a good job for me. In the whole scheme of things when they are looking after a property worth several $100's 000 what is 1 or 2%?

I don't want my PM to put my property's as a second priority because I argued about getting a lousy 1% discount on fees. I would actually encourage you from a business perspective to offer a top notch service...AND charge for it.

Everything that you mentioned for PM problems cheeses me off. But I have learnt (the hard way) that it is my responsibility to be very clear in the beginning as to what I expect from my PM's. Even on this formum I am sure we all have very different expectations. Even from property to property I want different things out of them and so I need to advise accordingly.

If I were to try and prioritise some things I would say I want someone who has a business like approach to managing. Being proactive in regards to maintenance, tenant issues, and leases. Not to wait until there is a problem and then try and fix it - pre empt and manage before the ooops hits the fan.

I answered this question around the other way of what I wanted other than what peeves me because I could have a list a mile long for that!

Carolyn

 

[Peter_Tersteeg]

My main complaint about PMs is that if something is set to be done at a future date, I have to remind them to do it or it doesn't get done.

The best example is inspections. They've all said that they will perform inspections twice a year. The truth is that they've never done an inspection without me reminding them first.

When I remind them, they say, "Yes, I've got that in my diary to follow up in two weeks."

When I don't remind them it simply doesn't get done.

I don't mind if the tenant has been there for a long time and has a good record, but with new tenants I'd like to be kept up to date within the first 12 months.

I also rent. We've had one inspection in three years. The PM has never followed up on any of our issues, it's always been up to us. If anyone ever wants to let a property in the inner bayside area, I'll be happy to let you know one-on-one who not to use.

PM turnover has also been a problem but I can live with that. My only wish is that a new PM would make a point of doing an inspection ASAP so they can at least get to know the property so they can advise me properly.

 

[stirling]

I get nervous when the PM asked me if they should put the rent up by $10 pw. Hello, I am in Adelaide, and they work the local area in Queensland everyday. They should be telling me.

Stirling

 

[Puppeteer]

No complaints about my agent here in Perth (though she's only been on the case for about a month - though she seems pretty thorough and phones me to let me know of any thing significant (such as finding a tenant)

The only bad thing about being in WA is the HIGH fees they charge...

 

[skater]

Where to start?

These are my pet peeves:

PM1 - Too expensive, they all are in Tasmania. Don't do rent reveiws as we have a long term tenant in place, every year I have to call them and find out if my rent is marketplace or not.

PM2 - Sides with tenant on non important issues ie toilet leaking. On further questioning it appears that it was not leaking at all, but needed some cheap little washer to stop small drip into bowl from cistern. We had a plumber look at this 3 times.

PM3 - Generally good

PM4 - Don't do inspections. Told tenant who we are (we live next to them, but didn't want tenants to know who is landlord and as a result every time some minor issue arises tenant comes knocking on our door, usually at approx 8.00 pm on a Sunday evening). I don't know why we bother at all with these, maybe we should collect the rent ourselves because this is all they do.

PM5 - They arange maintenance without our permission. No matter how many times I tell them to ask first it still happens. The last was over Christmas when they called an airconditioning mob out because it had stopped working. We would have just put in a new airconditioner (old one was old) and not have to pay the call out fee.

Cheers

 

[liverpoolharryk]

Thanks for your info guys, it really is useful. I like to try and keep abreast of whats going on out there. I always bare in mind these sort of comments when dealing with my clients.

I try and treat all my Managements as if they were mine own, I think that is the key to a successful PM for me. Sometimes PM who do not own real estate, don't understand how hard you guys work to get to own 1,2,3 or more properties.

Are there any good things your PM do?

For example I always give all my tenants a little bag of lollies when doing inspections, and any tenants that have kept the home tidy and kept it to an acceptable standard, go in a draw for the 'tidy tenant' of the month award. All landlord go into a draw each month as well for a monthly prize, eg box of choc, bottle of wine, which is sent out with the winners statement.

keep them coming

Jarrod
Jarrod Lane Real Estate

 

[duncan_m]

Originally posted by liverpoolharryk
Etc, Any other thoughts?

Jarrod
Jarrod Lane Real Estate

Jarrod,

My main complaint is smartarse contracts that give the Agent every right in the world to do absollutely NOTHING and still not be in breach of their contract.

If you want to manage my properties, make yourself contractually accountable to me. Tell me what you're going to do, do it, or suffer the economic loss that might follow.

 

[Garry K]

My agents are great, 1 in Melb. 2 in Qld.

The Qld ones send me photo's after the inspections (quarterly) and they tell me of any recent significant sales in the street.

First time around on lease renewal one was a bit soft, but after telling them of my expectations, they improved the rental return.

Generally, I'm getting value for money + a bit, which is all I can ask.

Having said that, I am a reasonable landlord to deal with, if they say something needs doing and it'll cost about x, I usually say, yeah, just do it.



GarryK

 

[peteb]

In my experience I have found that PM's only work to the level that you set. If you show no interest and just collect the rent then they forget about giving you all the frills (expecting that you are happy with that) but if you keep them 'honest' by always communicating then they seem to go that bit extra. again this is only what I have found.

 

[ChrisOs]

I have 3 different PMs - 1 in Adelaide and 2 in Queensland.
The good things they do:
- Rent arrears (which have been rare) are followed up very quickly, in fact the PM in Brisbane sends an SMS to the tenant's phone as a friendly reminder when they are a day behind.
- Over the Chritmas period the PM in Cairns has a prize draw for all the tenants who are a week ahead with their rent. I can't recall exactly what the prize is, but from memory it may be a weeks free rent at the PMs expense. I have never had tenants behind with rent over the Christmas period.
- Repairs/maintenance are readily organised and from what I can tell, fees are reasonable.

The areas where they can improve include:
- Communicate, communicate, communicate! I often feel like I am not informed of progress/lack of progress as the tenancy is about to expire.
- Like Stirling, I am a long way from my Queensland properties so why do they ask me if the rent should go up? Shouldn't they know what is reasonable for the area? My response is always the same - get as much rent as the market will stand, without pissing off the tenant and losing them. (OK - maybe I should do more research.)

Regards,
Chris.

 

[liverpoolharryk]

Thanks people these are all the things I want to know, take onboard and always look to give the best possible service.

Garry K, the photos are a good idea are'nt they. I do this as well, mainly for my 'out of town' landlords who may only see the property once a year. I always invite my nearby landlords to any inspection I have.

For communication I have a strict policy that if a client, tenant or new customer leaves a message, email it must be returned that same day asap. If a message, email is left before 10am it must be return before lunchtime. Would you as landlords think this to be reasonable?

 

[Dos]

Jarrod,

Thought I might throw my story in the mix.

RE did an inspection prior to the property being let out. There were a few minors things that could be given attention. Potential renters were happy for them to be fixed in good time and did not see any of it as urgent (leaves in gutters, small hole in fly screen). Tennants move in, get a call from REA to say that the front screen door handle needs fixing. She said that they could do it but I told her to leave it with me and that I may even look after it. 3 days later, get a bill from them for $275 to fit a new screen door handle. Called them and they said that I had approved. I asked them to prove when I said that and who to. After a few days they said they would cover the cost as it was done without my permission. That was good, things getting better.

Then we received our first statement and someone there must have picked up several statements and stapelled them together and sent them to us. So we then had what other people were receiving and all of their details including bank accounts. No drama to us initially but then we thought what if they did that to ours.....

It has gotten better. Tennants defaulted and she rang straight away to say that they were sending a breach notice. Ended up paying after she was not so kind to them. Rent due today and I am not hopeful!! Worse still, we dropped the rent for these people as they are supposedly friends!!! They sold there house 6 months ago and made $85k!! Not like they should be short of cash. Glad I went through the agent and don't have to deal with them. One way to cause some tension between friends.

One last one. When asking something of them, say "Can you let us know if the rent gets paid" they always say "we are really busy at the moment so could you call us in the morning and we can let you know". Don't think they should do this!

Dos

PS - Would be keen to know when props come up on the foreclosure book! Please PM me!

 

[Garry K]

Harry

Your commitment to communication is commended.
Nothing pi**es me off more than if I think I'm being ignored.

Even if you just acknowledge the contact and say that you don't have the answer yet and will call back tomorrow is better than no call.

Email has created an interesting dilemma.

As a sender of an email, you have this image that the recipient is just sitting at their PC (like you) and will respond instantly. Usually this is unrealistic, as some poeple only get to their PC's once a day,perhaps after hours, and then, by the time they sought through the junk/spam, and answer 20 emails, it takes time.
The "out of Office assistant" is useful to tell email senders that you are not in during a particular period.

GarryK

 

[Dos]

GK,

Couldn't agree more. Actually just had this scinerio where our next IP settles on Jan 20 and there were a few things to be fixed before settlement. I e-mail REA Wednesday morning and I generally get worried if 48 hours passes and no response. So then of course you feel silly when you ring and they say "Yeah I got that e-mail and I am checking it out for you, will let you know this arv". Could have quickly replied with that!

Jarrod, this seems an extremely efficient time frame to get back to people. Being in the service industry, our policy is a response of some kind within 24 hours and resolution of the problem/query with 5 working days (where applicable).

Dos

 

[Tim]

Good Discussion Point - I have 6 RE Agenst doing PM

THings I hate....


- leases, renew them!! And send me a copy, I need them for insurance. Dont wait till they are due and have me phone and say can you organise another one. Aaarghh!

- inspections, do them, dont say you will do them, just do it! (And send me a report with digi photos preferably)


- be consistent with monthly payment (not too bad this one)


- Maintenance - stop that stupid maintenance man from haning around the units like a seagul waiting for another crumb of maintenance work Aaaaaaaaaaaaaargghhhhh!!



Thinks I love......

- the PM actually uses entrepreneurialism and innovation, the see it as a business (for them AND you)

- keep me informed (of as much as possible)

- dont take the tennants side, take the business side and be reasonable, have balance

- actually advise you if something does really need doing.

Cheers,

Tim

 

[geoffw]

I have two properties with vastly differing styles.

Initially, both seemed similar, until I was forced to switch to email as primary form pf contact.

One PM (the one I had always been happiest with for all sorts of reasons) has adapted very well, and I have been kept in touch about what has been going on constantly.

This PM, incidentally, was the one to initially suggest that I furnish units in my flock of bats. As a result, both of our incomes have increased by 40% from this property.

The other PM apparently receives email, and acts on them- but does not respond. I do not find out about anything which has been done as a result of the email until the resulting bills are deducted from my rent at the end of month. And if a tradesman does not respond, I never find out about it.

 

[Gill Bates]

some content in this thread reminded me of the following situation.

A mate had a lawnmowing/gardining business , with a large proportion of his work from RE agents. He found out later on that some agents would add a massive markup to his bill for the landlord to pay. Example . For one job the charge was $60, RE agent charges landlord $110.

As a landlord , i would ask that i recieve a copy of the bill for any worlk authorized by pm.

 

[liverpoolharryk]

Hear you lound and clear. I guess the main point is communication, and commitment to the landlord needs, which is how it should be.

Would I be right in saying that I am doing th right thing when:

I phone the tenants and landlords 30 days prior to the end of a lease and find out what each party would like to do.

Send out all documentation to the landlords for the month with the monthly statement; ie leases, accounts, property inspection reports etc.

Never carry out any maintenance unitl I have spoken to the landlord, even if it is just to say; " hey GK your tenant needs a plumber out to fix a leaking tap in the bathroom" (I tend to replace minor things myself, eg lighbulbs, loose door knobs. 95% of tenants do it themselves, but a small % always stick to thier rights)

Thanks for all your input it has been greatly appreciated.

 

[Tim]

Yep I think these are the main issues, at least from my point of view, you will be doing well if you can cover them, it is excellent to hear a PM wanting to know what LL want!

Timbo