Using 2 Property Managers at th same time?

Discussion in 'Property Management' started by simonksl26, 18th Jun, 2012.

  1. simonksl26

    simonksl26 Member

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    I got a investment property 6 weeks ago. It is a 3 bedroom house, brand new. The real estate agent that sold the property offered a very good rate (5.5%) to manage my property. However after 6 weeks of advertising, I am still not getting any tenants.

    Some issues with this property manager:

    1. I am not getting as much feedback from property manager as I would like. I call her and she said she will call those who come for the inspection but she never return return back or give me any feedback. I find it hard to make decision without any feedback from potential tenants.

    2. I went to one of the open inspection and find the agent don't even know my property well enough to try to 'sell' the property. It's one of the agent that just open the place and let the people walk through.

    3. The advertisement was never changed. Somehow I got a feeling that the advertisement is not working and the description is not bringing out the plus points.

    So far, I have reduce my rent by $20.

    Last week I meet up with another property manager. He is keen to take up my property. His rates is slightly higher but he seems more willing to put more effort into taking care of the property. He even offer 4.4% for the first 6 months to test them out. His rate is 6.6%.

    Has anyone used 2 property managers to secure the tenant, put some competition between the 2 and whoever secure the tenant will get the right to manager the property?
     
  2. Ruff investment

    Ruff investment Member

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    Cheap PM's! :eek:

    I'm happy to pay for a property manager to DO their job. I pay around 7.7%. And will be ringing PM's tomorrow.

    I can't see why you can't have listings in multiple PM's, so long as you don't take clients from one to another.

    Don't go for the cheapest- Go for the best! Well that is what I've tried to do anyway.
     
  3. boomtown

    boomtown Member

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    I think you may have fisticuffs with your current PM if you try that. Presumably you signed an agreement giving them the right to let your place.

    You probably need to terminate your agreement with them on the basis they are useless. But first research why your place is not let.

    Show us the ad for comments if you like.
     
  4. simonksl26

    simonksl26 Member

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    @boomtown

    Yes, you are right. I have signed the agreement with the first property manager and there is a REIV Code 005 "Exclusive Leasing and Managing Authority" In it it states that Exclusive Authority Period Of Leasing 120 days from the date and Continuing Authority Period for Leasing 30 days from the end of the Exclusive Authority Period. I am wondering what is the implication if I were to terminate this contract with them. Am I bound to them now and unable to go for another property manager?

    I did my own research but the most important piece of the puzzle is lacking and that is the feedback I need from people coming to the inspection. :(
     
  5. simonksl26

    simonksl26 Member

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  6. buzzlightyear

    buzzlightyear Member

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    Not quite the same but similar

    I had a recent issue with the renting our of a new property. The PM already managed one (1) other property for me and our relationship was pretty good.

    Anyhow, I provided them another property to be managed, that was a little out of their area, but wasn't that far away. They didn't get much response and we had adjusted the rent. The photos were all fine, so it was just the market, which I knew.

    Of course, we signed the agreement well before settlement, so the property was on the market for rent close to 6 weeks before the authority period was going to expire. I had mentioned to them, as I also had a 90 day exclusive managing period, that if we didn't get anyone, that I may need to look at changing. The PM, then had a contact/friend of a PM right in the area, and engaged them to assist to lease the property. It was advertised separately, and this PM managed the OFI's, and within 2 weeks they found someone.
     
  7. simonksl26

    simonksl26 Member

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    Same here, I signed the exclusive leasing contact on settlement day. So the 120 days of exclusive right would expire 1 July 2012. Perhaps I should remind them like you did before I change to another PM.
     
  8. buzzlightyear

    buzzlightyear Member

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    PM can manage tenants and the renting process, but you still need to manage the relationship with the PM. Just remember, the squeaky wheel gets the oil. And a gentle reminder/push is sometimes timely. Good luck.
     
  9. simonksl26

    simonksl26 Member

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    Back to the original question. Has anyone use two PM at the same time when trying to secure tenancy? Is it lawful in the first place?
     
  10. badcliq

    badcliq Member

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    As long as there's no exclusive management & leasing authority signed....no problem...in Victoria....
     
  11. DistinctPM

    DistinctPM Property Manager

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    Make sure you read the Managing Agents Agreement carefully, as you may end up having to pay two letting fees as some managing agents agreements include a clause whereby if you as the owner, or someone else finds the tenant (other than the appointed Agent) the letting fee is still due and payable, this could also include other Agents finding a tenant.
    I would suggest speaking to your Agent, raise your concerns directly and see if they are happy to release you from the agreement given the circumstances. Often if an Agent can't let a property it is costing them money to keep opening it so they are usually happy to hand it over.