I thought that I would follow up my previous article “How to win back Lost Managements” with a strategy pointing out the advantages of an onsite manager looking after an investment property compared to a Real Estate agent doing so.
As an investment property owner myself after putting aside my Property Management and Consulting roles at the end of the day, my personal expectations of the agent managing my property are:
1) That rent is paid on time
2) That the property is being looked after and protected in a professional manner at all times
3) That regular monitoring of the property and behaviour of the tenant is maintained.
The following strategies can only apply if you, the manager live & have an office on site. If you do not unfortunately you are going to fall into the “Real Estate” category for this article.
- A major factor working in your favour as a resident onsite manager is that the average Real Estate Property Manager has a portfolio of approximately 150 owners and properties to look after and service and spread over a number of suburbs and areas. You, on the other hand, are able to offer a far more personal, effective and professional service as your portfolio comprise only your owners and tenants at just one location and you have control of all the common areas within that complex
- If you hold a master key to all units in the complex you have the ability to access each unit in appropriate circumstances.
- As an onsite manager you can monitor the behaviour and movements of all occupants in the complex and as part of your contract with the Body Corporate you can make sure that all tenants comply with Body Corporate by-laws.
- One of your major advantages is that if you are managing units in the complex, you will invariably be attending to minor repairs yourself and be using your own tradesmen for any specialised or major repairs. This enables you to access the unit on quite a regular basis enabling you to keep the owner regularly informed as to the condition of their investment property and whether their tenant is looking after it satisfactorily. This advantage is not available to an outside agent. (Please remember to make a note of your entry though in your trust accounting software/diary or copy of entry notice if required)
- As part of the agreement with the Body Corporate, you have direct access to both the committee and the Body Corporate Manager. Most agents don’t even know the name of the Body Corporate Management Company or how to contact them. You therefore have the ability to promptly have any problems or misbehaviour attended to and appropriate action taken by the Body corporate, if necessary.
- Let’s face it, any tenant is going to be much more careful about their behaviour and that of their visitors when they know you have the ability to control and decide their fate.
- You can see who comes and goes…….With all of the trouble we have been having of late (and my trying not to discriminate) a Real Estate Agency would not know that your 50 year old single male tenant wears a bikie ‘club’ jacket and has visitors of similar nature daily.
- Tenants will use every excuse possible not to pay rent especially around Christmas time as they need the additional $$$$ for presents/holidays. A Real Estate agent will not know that recently that tenant that is apparently broke bought a new car 2 weeks ago and still manages to find money to smoke a pack of cigarettes a day.
- Monitoring lease holders is a major plus for onsite managers. In a complex when everyone lives on top of each other, people talk. They mention to you that their neighbour Suzie (your tenant) has broken up with her boyfriend (the only one working) and she has a new flatmate…..
- Inspections – How much time do Real Estate agents waste by driving to the property to find out that the keys do not fit, locks are changed or the unauthorised dog has bailed them up.
- Unauthorised Pets – The majority of the time the property with an unauthorised pet is managed by a Real Estate agent simply because the Property Manager has not been told. An Onsite Manager however cannot fail to hear the barking sound coming from unit 5.
- Disturbing behaviour – Whether it is tenants having guests come and go at all hours of the night, suspect drug dealing, abusive language, loud cars you will ALWAYS know who the cause of the problem is and will be able to action it immediately.
Now you are armed with all of the positive reasons and strategies to use when confronted by these questions.
If you have any more queries or need my advice on a situation please don’t hesitate to contact me.
Lauren Kropp –Director