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4 Common Must Avoid Blunders When Choosing Your Property Manager

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When it comes to hiring your property manager to manage your investment property, there are four common blunders to avoid at all costs.

Choose Your Property Manager Wisely

Any long-term landlord will tell you that they’ve been through the highs and lows of property management. Many investors have discovered the hard way that some property managers do little more than collect rent. In some cases, even that doesn’t happen resulting in expensive tribunal costs to get bad tenants evicted, landlord insurance premium hikes, trashed properties, and various other horror stories!

Every business sector has its share of rotten apples, but due to the combination of real estate and people management, property management does come with its own set of complications. Property managers are employed to look after your asset, but they occasionally forget to look after the renter (tenant) as well; or vice versa!

Here are four frequent mistakes people make when choosing a property manager. Hopefully, by being made aware of these often costly mistakes, you’ll avoid making them. If you do come across an unprofessional property manager or company, you can always contact your local Office of Fair Trading and lodge a formal complaint.

1. Choosing Low-Cost Property Management Services to Save Money
Although totally understandable, too many inexperienced property investors are preoccupied with the cost of property management. They either choose to self-manage their rental or choose a property manager working for a discount real estate company. This is especially common with new landlords, whose properties may be in the red for the first several years.
Rather than recognising that you get what you pay for, they opt to hire a low-cost property manager to supposedly save money.

Of course, this is seldom a smart idea because the reason some agencies charge such a low fee is often due to their services being inferior in various ways. The cost of not having an expert take care of your investment home might be significantly higher.

2. Lack of Experience
There’s no denying that property management is a highly demanding profession that requires constant clear communication, a host of professional and personal qualities, education, and expertise. The job description includes a lot of moving pieces, as well as the unpredictable nature of human behaviour.

Tenants are able to contact them at any time of the day or night thanks to modern technologies, misfortunes such as job loss happens, changes to real estate rules and regulations, and so on. The job itself can be highly stressful with property manager positions often having a high rate of turnover as a result.

Professional property management teams, on the other hand, have systems and processes in place that expedite some of the most time-consuming aspects of the role. Property managers employed within such a property management environment tend to stay for longer periods of time, often moving from junior to more senior positions within the company. Experience is important in every job, but it is especially important in property management.

3. Communication Issues
Today, there are so many various means to communicate that there really is little, if any justification for any potential communication issues. Landlords are able to choose whether they wish to be contacted by phone, text, or email. With so many possibilities, a property manager that is slow to communicate or verbally aggressive is definitely someone you should avoid. While investors do not want to be bombarded with useless information, they should be notified as quickly as possible if something crucial occurs at one of the properties, such as a rental default, damage, or a break lease. If your property manager fails to inform you of this in a timely manner, it’s time to search elsewhere for a property manager who will.

poor communication skills
Property Manager With Poor Communication Skills

4. Not Looking for a Property Management Company in Your Immediate Area

The number of interstate investors buying property elsewhere is higher than it has ever been. A landlord may live in Melbourne or Sydney yet have investment properties in Hervey Bay.

Local knowledge is essential in real estate, whether it’s for sales, purchases, or rentals. A property manager who doesn’t know or understand the local market where your investment property is located cannot provide you with accurate detailed market recommendations. That may translate into your rental house sitting empty for longer since they proposed a higher rent than the market will bear. Alternatively, they may propose that you try to raise the rent when the market is genuinely weak, and the renter, therefore decides to leave the property rather than stay. These are just a few instances of why an investor’s access to professional local expertise will always be beneficial.

Property Brokerage Property Managers

Property Brokerage Property Management operates from our modern Urangan Hervey Bay office servicing both local Hervey Bay suburbs and outer municipalities including Howard, Burrum Heads, and the town of Maryborough.

As you can see, there are characteristics that all professional property managers have in common, as well as a few warning flags that you should be aware of. Working with a professional team throughout your investing journey is always the best idea and may help you reach your financial objectives sooner rather than later.

Our Professional Property Management Guarantee

We provide a genuine and authentic professional property management guarantee. It’s not enough to just promise to do something; you must really do it. We give a precise list of service tasks for which we will not charge you anything should we fail to deliver.

Have a Hervey Bay Investment Property You’d Like Us to Manage?

Leigh Johnson Senior Property ManagerOur team of dedicated property management staff is happy to assist you.

If you’d like to know more or would like a free rental property appraisal, do be sure to get in touch. Phone our Senior Property Manager Leigh Johnson directly at 0447 082 099  or  by email to rentals@propertybrokerage.com.au

You may also find these informative blog posts about buying and selling investment properties in Hervey Bay helpful as well.

 

Smart Investors Look to Turnkey Investment Properties

Hervey Bay Property Prices. Optimum Lifestyle. Huge Growth.

Booming Real Estate in Hervey Bay Investment Property Opportunities

 

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