I have had quotes from an rea and a P.M. The latter is more expensive but I think they may be more trustworthy compared to the rea. I understand that you get what you pay for but..
P.M. fees:
8.5% management fee
2 and a half weeks rent for new tenant
1 and a half weeks for re-signing existing tenant
$150 advertising
$15 credit check
plus incidentals (postage, etc.)
This appears to be more than most people here seem to be paying. I don't mind paying a bit extra for a professional service, but is this too much?
Hello
These fee's are excessive.
Even when property management companies charge excess fee's there is still no guarantee that you will get a professional service.
When you interview for your new property manager make sure you have good communication with them and they know what you expect from them.
Ask them a few simple questions for example how do they handle communication do they guarantee same day call back when you wish to talk with them. What is there procedure to minimise vacany between tenancies to avoid unnecessary holding costs for you. Do they actively pursue rental increases inline with market trends to offset your holding costs. What is there office procedure with arrears? Do they have the latest software to alert your property manager quickly and efficiently
Do they hand out keys to prospective tenants. Our office
ensures all tenants are accompanied when viewing properties.
Aside from maximising the security and protection of your
property, this procedure enables us to more accurately gauge
the appropriateness of a tenant for the property investor with
constructive feedback.
Do they provide entry and exit condition reports with photo's to protect your asset. Do they conduct six month inspections?
And most importantly are they active property investors themselves rather than it is just a job for them.
I hope this might help when it comes to interviewing your property manager.
Regards