Hi,
I apoligise if this has been discussed elsewhere but I couldn’t find this topic in the previous messages.
My fiancee and I are looking at moving out of our inner city brisbane suburb as it will be too small for our impending arrival of twins. We plan on renting out the unit and renting ourselves for a while.
I have been trying to work out whether to engage a property manager for our unit or do it privately, can anyone give me an idea what sort of commission we would be up for?
Probably between 5 & 7.5% (plus GST), depending on how good you are at negotiating and how much they want your business.
My experience in Brisbane has been at least 7%, but more likely 7.5% or 8% plus GST, so up to 8.8%. On top of this, they may also charge postage and petties, which can be another $5.00 per month, plus GST. Some property managers will not charge this, other will charge more. Check that you don’t have to pay for advertising as well (internet, signage, shop window, newspaper).
You will lose the first weeks rent plus GST as the letting fee. This will happen on each new lease. You should be able to get the removed or significantly reduced if it is a renewal of a lease by an existing tenant that wants to stay on.
They may also have provisions to charge you for reading any of your meters. You need to check the agreement carefully. If they engage tradesman on your behalf, make sure they do not charge a handling fee for this.
When you add all of this up, it can easily come out to a total of around 10% of the rent collected over the course of the year.
If you are on the North side of Brisbane in the McDowall area, I can recommend the Property Manager (Sherri) are Bertie Realestate.
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