Is it Time to Change Your Property Manager? Here’s How
There are several reasons why property investors may consider changing property managers. Here are the most common ones –
Poor client management |
Communication is crucial to a successful property portfolio. If your property manager is unresponsive or takes too long to address your concerns, it may be time to switch.
The constant change in property managers |
If you feel like there’s a revolving door of property managers looking after your property or you have no dedicated manager, it’s time to look for a new one.
Extended vacancy periods |
If your property remains vacant for a long time, it’s costing you money. Poor marketing and lack of inspections are usually the culprits.
Poor quality inspections |
Proper inspections are vital to determine if your property has been damaged during a tenancy. If your property manager is not carrying out detailed ingoing, outgoing or routine inspections, it may be time to change.
Lack of industry knowledge |
Property management is a demanding role that requires experience and knowledge of legislative requirements. If your property manager lacks these, it’s time to switch.
Basic service |
If your property manager is not doing everything to lease your property in the quickest time possible, it may be time to look for a new one.
Here are the steps to follow when changing property managers in NSW |
1. Review your existing management agreement to identify the notice period required to terminate it.
2. Decide if you want to terminate the agreement immediately or at the end of the termination notice period. If you terminate the agreement immediately just keep in mind that you will still be required to pay fees for the notice period.
3. Provide your termination in writing to your existing property manager and inform them of the new company that will take over the management. Arrange to enter into your new management agreement before the file is handed over.
4. Once the file is collected, your new managing agent will contact your tenants and redirect future payments to their office.
5. For taxation purposes, ensure you receive a final statement at the end of the financial year from your previous managing agent. It may help to diarise a follow-up in early July if you are yet to receive it.
If you’re considering changing property managers, contact our general manager, Leighton Avery, for a private and confidential discussion about your property management needs.