Property Manager Mistakes

[MichaelGilbert]

Why do think some Property Managers make a lot of mistakes?

Do they care enough?
Over worked and under paid?
Manage too many properties?
Under too much stress from Property Owners and Tenants?
Have the right equipment?
Don't have the right training?
Don't have enough support?

I think its a combination and probably why a lot of Property Owners do it themselves. I'd be interested to hear your stories on this.

 

[Joe D]

Why do think some Property Managers make a lot of mistakes?

Do they care enough?
Over worked and under paid?
Manage too many properties?
Under too much stress from Property Owners and Tenants?
Have the right equipment?
Don't have the right training?
Don't have enough support?

I think its a combination and probably why a lot of Property Owners do it themselves. I'd be interested to hear your stories on this.

All the above plus they have "no skin in the game" so it is all care but no responsibility.

 

[jenni_nextplace]

So all of the above.

The average wage for a property manager is under $45k, then on top they are expected to work weekends, then they get pressure from all sides, the landlord, tenants, business owners and tradies. They are a piggy in the middle.

They then need to know a multitude of laws and not only real estate legislation but various other acts, many offices they work for don't provide the systems they need to do the job properly and on top of that they generally have to manage far too many properties that is comfortable.

And now on top of that there is security issues, many PM's not only get the verbal abuse but they receive threats, harassment, and there has been instance of murder.

Its said to be one of the worst jobs you can do.

 

[EmilyG]

Hi Jenni & Joe,

I agree with all of the above as well, but have found that it is poor time management and lack of understanding that causes these problems.

In Qld a lot of agencies are now bringing in KPI's and bonus systems for their property managers. If they do their jobs well, get all their work done and have no complaints each quarter they get a big bonus.

This is making for some excellent property managers up here.

 

[Peterw]

Referring to the OP. You open your post with the word "some". In my opinion, that is probably the operative word. As its my view that it is a small number. Again from my view, 30 plus years ago, yes the management of peoples investment properties was often handled by the receptionist. Businesses then were relatively small, with say under 10 staff. maintenance was rung through to an owner, and they attended to most of it. Things are very different now.

Most businesses have substantial investments in their offices, from fitout to equipment. Added to that I believe most businesses’ invest heavily in staff training, both in a business, as well as a personal level. Staff retention is probably the most challenging task a business owner has, and I believe most put in the effort and achieve good outcomes. Legislation over the years has increased the skill sets that property managers need to have, and that has been a challenge. When tenants (and an increasing number of them English in not their primary language) report a problem, the building/plumbing/electrical etc understanding that a property manager needs has become our challenge.

Joe, I am not sure what you mean by no skin in the game. Yes the business owner does, however I do believe the staff do as well. Most people know that there actions determine if they have a job or lose it, that to me is a fair amount of skin, particularly if they have commitments.

Jenni, I believe your assessment of average earnings is not current. As well as your assessment of it being the worst job, I do not agree with. I have had people for over 20 years, and I know that I am not alone. I do know that if people do not enjoy working with people, they will not enjoy this job, however those that do, love the fact that no 2 days are the same.

Emily, I believe that we are blessed with some great technology now, to assist in the time management area, and yes I believe that "client satisfaction" incentives can assist in keeping staff "client" focussed.

From my view, the majority of agents are doing a good job, perhaps not a great one. But when I go to seminar’s etc, everyone is trying to learn how to improve.

One observation of mine has been when we have lost a management, its revolved around expectations. The client had an expectation that we either did not know about or understand. eg " I Thought You would ring me every ...."

I appreciate this is an investor’s forum, and I hope my input is taken in that vein.

 

[MichaelGilbert]

Thanks for your feedback

Wow, big response Peter. I think what you have said is absolutely fair.

But what each one has said just goes to show everyone has had different experiences which alters their perspective and also what they expect from there Property Manager.

From working in NSW for many years and now down here in Victoria, obviously there are different rules in each state but I also believe my landlords in general had different expectations in terms of the order of what was important to them.
So I had to slightly change a few of my own priorities to suit.

 

[Jamie M]

I had a bad experience with a PM recently.

It wasn't mistakes - it was a lack of communication, which may stem from a large workload, not caring - or a combination of both.

Long story short, it was difficult trying to contact him via phone - and emails weren't responded to. This was during a period when the property was vacant.

I actually enquired about my property via the domain website. I never received a response - instead I was placed on their mailing list and started to receive notifications about new rentals available in the area!

I've since passed the management over to another company. The property is vacant at present - but the constant communication from the new PM leaves me thinking that they're being proactive and I'm confident they'll have it filled soon. I have no need to contact them - because they touch base with me.

Cheers

Jamie

 

[MichaelGilbert]

I had a bad experience with a PM recently.

It wasn't mistakes - it was a lack of communication, which may stem from a large workload, not caring - or a combination of both.

Long story short, it was difficult trying to contact him via phone - and emails weren't responded to. This was during a period when the property was vacant.

I actually enquired about my property via the domain website. I never received a response - instead I was placed on their mailing list and started to receive notifications about new rentals available in the area!

I've since passed the management over to another company. The property is vacant at present - but the constant communication from the new PM leaves me thinking that they're being proactive and I'm confident they'll have it filled soon. I have no need to contact them - because they touch base with me.

Cheers

Jamie

Hey Jamie,

Yep heard all that before. Possibly because the old PM was managing too many properties and unfortunately only the auto generated processors were working.

Good luck with your new property manager.

 

[Peterw]

Michael, yes the different rules in each state, may have an effect on a landlords expectations, when they have IP's in different states, however that our role to pick that up, in our communications with them. Sadly, what one property manager may learn from a landlord, may not pass, when one leaves and another starts.

Jamie, I am always horrified when I hear stories like yours. To answer calls and emails is the most basic of common courtesies, let alone good business practice. Best wishes with the new company.

 

[jenni_nextplace]

Hi Peterw, you must be one of only a few with holding people for over 20 years, seek tells the story but in general most are positions are advertised around that sort of money, and property manages on average change jobs every 2 years, after they burn out at that job and move onto the next. Its the old school staff members that tend to say in the industry the longest and many of them unfortunately I feel aren't up to the current technical, legal, and even skill levels needed for today's fast pace demands in the job. I agree with you though that some love it, but they are the minority I feel...

 

[Peterw]

Jenni, I just had a quick look at seek, and saw one advert at $45, with most $50 to $60. My comments are not just my personal experience, but is also reflected in amny other offices in our network. I do agree that in some offices, there seems quite high change. Sadly I see that as a poor reflection on the leadership within the office.

 

[jenni_nextplace]

Hi peter, that's great wages are more $50 to $60, I jumped on seek as well and there are a lot more jobs and better wages than when I was looking just 3 months ago, it a great sign that there is again some strength back in the industry. Leadership is a real skill and a successful salesman isn't necessarily a successful Principal and leader.

 

[Peterw]

Hi Jenni, yes, being good in one role in any enterprise, does not mean the you will be equally as good in another role. Each role has their own particular skill sets required. In a different environment, I am working on moving from being a fishing person, to a catching person