Does anyone know if you can drop your property manager when the tenant goes to periodical/monthly?
The tenant at this property has come out of lease over last two years and is now on month to month.
This particular property is the only one close to my home and I have met the tenant through doing maintenance on it and we get along well and he is a great tenant!!
I pay $72 per month to the PM.
I could offer a $5 per week decrease in rent to the tenant and still save $52!
Dont get me wrong, I wouldn’t think of doing it for my other properties, just this one!
This drop in fee would take this property to almost pos cash flow…..seeing that it is the only property I have that is NegCF, you can understand my motivation!!
TD
Hi Tracey,
The management agreement that you signed with the agent will state the terms you need to follow. I believe generally most require 30 days written notice.If you get along quite well with the agent, I would call the agent and agree on a handover plan that works for both you and them.
Mat
This particular property is the only one close to my home and I have met the tenant through doing maintenance on it and we get along well and he is a great tenant!!Hi tracy D,
Tempting isn’t it!
* Never self manage. Just don’t do it!
Regards,
Don.
D&L Property Projects Ltd
Sourcing Quality Investments in New Zealand.Email to receive current deals & New Zealand Information Sheet.
[email protected]Hi TD,
I have 5 properties that I self manage, I use an agent to perform a let only and find a tenant when needed (cost = 1 weeks rent + gst) and then they hand the tenant over to me. I have had no problems….touch wood (reaching for wooden table…knock knock)
I would drop the PM and take on the tenant direct.
Cheers
Jeff Aquilina
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Well thanks for the advise, I will check my lease agreement tonight.
Interesting to get opinions from 2 different sides.
Don,
Have you had bad experiences or is it just the Golden rule for you..
TracyTD
I supose it would depend on your personality, but I would probably find it hard to put up the rent if I were to get to know my tenants too well. Sometimes paying for a property manager can actually save you money.
Terryw
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Parramatta
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I hardly ever speak to mine, they direct debit their rent into my account if they are late I sms them, if they need something they sms or call me. I think if you play by the book then all is ok to manage direct. At the end of their term the lease goes up at least CPI.
Cheers
Jeff Aquilina
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I always direct manage…..but the tip is keep it at arms length, as its a business not a charity (which can develope with friendship
In my area Property managers are like hairdressers>> check the job ads they rarely stay put for too long
“Never argue with an idiot, as they will bring you down to their level and beat you with experience”
People and peoples lives change – you can’t assume your tenant will continue to act as they are now. And if you think you know them so well, then it’s definately worth using an agent in order to keep those personal/business boundaries clear.
Hi Tracy,
No I have never self managed and yes it is a golden rule.
When I was a wee boy from about 11 up it was my job to collect rent from tenants and issue receipts for the family residential properties and two small commercial properties (actually one building split into a hairdresser and nail artist) . So as you can see it was not big business but that experience taught me that nothing good could come from having personal contact with tenants.
All decisions made about your investments should be business decisions.
You can make sound decisions with empathy but never with sympathy.
Regards,
Don
D&L Property Projects Ltd
Sourcing Quality Investments in New Zealand.Email to receive current deals & New Zealand Information Sheet.
[email protected]
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