Reasonable property management charges

[slammindan]

I pay $30 + GST for lease renewals. Anything more is a rort.

I pay the same.

 

[melbinman]

Silly me!

Just had another look at the agrmt; it's actually a leasing fee of one week's rent (not month's), or 2 weeks for a 12 month lease....d'oh! Still a bit high for the standard 12 mth lease so I might negotiate for a bonus of $50 if they get more than a six monther. Thanks for your advice all.

 

[russellpeter]

Just had another look at the agrmt; it's actually a leasing fee of one week's rent (not month's), or 2 weeks for a 12 month lease....d'oh! Still a bit high for the standard 12 mth lease so I might negotiate for a bonus of $50 if they get more than a six monther. Thanks for your advice all.

It takes the same amount of work to sign a 6 month lease as it does to sign a 12month lease Why the extra fee?

in fact there is more work to sign a 6 months lease as you will have to do more paperwork in 6 months time.

Your best case scenario your property being tenanted for 50 weeks a year

Also I am finding that 90% of the people who are looking for a property at the moment want a 12 month lease.

 

[travelbug]

I think it's ridiculous that agents charge 2 weeks with a 12 month lease. They are just being greedy. They've done the work for getting the tenant in no matter how long the lease is. That's what you are paying for. Why should you pay twice? The ongoing fee covers inspections etc.

Most I pay is 7.7% and $5 for postage etc with 1 weeks let fee. But I'm not happy with that. Most are lower.

One only charges 1/2 weeks fee for subsequent lettings. To encourage people to stay with them I guess. And all only charge the $33 for resign.

 

[Sez]

I have to agree that charging more for a 12 month lease is absolutely ridiculous. There is more work in a 6 month lease, harder to find a tenant for a 6 month lease and harder to keep a good tenant in. Things like this are the reason agents have such a bad name!!!

 

[Kanemicm]

Thats not bad value, most agents charge $50 to $100 for a re-lease.

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[Don K]

Seems varies between states. Lucky I do not pay for re-lease. I would not mind paying higher than avarage if they do good job though.

 

[Lil Skater]

Our re-leasing fee is $33-$77 and some even $0 depending on how many properties usually.

Personally, I think if you're paying a tad under $1,500 (if you're paying 7.7% at $350pw) a year on property management, surely part of this service includes reviewing tenancies and preparing lease documents and to include the fee for re-leasing to an existing tenant would just be a given.

 

[Rentspecialists]

That sounds over the top and there are regulations per re-let charges. Whilst relets do require some renegotiation skills there is no justification for this charge

 

[cheechee]

Hi,

I am currently trying to find a good PM in Adelaide for my newly purchased IP. I was surprised to find most of them seem to charge for everything on top of monthly management fee, which varies between 7.7% - 9.9%. ie, they charge extra for quarterly inspections, maintenance, advertising, and 1.1 week for lease renewal!

Extra charge for quarterly inspections? this is unheard of to me as with all my IPs in NSW, I have never paid anything like this! Has anyone had similar experience?

Thanks.

 

[Sez]

Some agencies down this way will charge for routine inspections too, not unheard of but with management fees so high a bit unfair!!!