Property Management Services,
Why hire a property manager to manage your investment property? Knowing an agents property management services is the first step to understanding the importance of employing a professional. An agency’s property management services should be a value add for property investors. Property managers effectively manage the tenancy relationship and relevant tenancy matters on behalf of the property owner. Property management services can be broken down into the following;
- Evaluation of your investment property
- Marketing your investment property
- Screening Prospective Tenants
- Managing the tenancy
- Managing Routine & Emergency Maintenance
- Tenancy renewal and negotiation
- Termination of a tenancy
- Accounting for your invest property
- Understanding and acting under legislation
Below, is a more in depth breakdown of Property Management Services provided by Fresh Property Management.
Evaluation of your Investment Property
- Offer recommendations and educate property investors on repairs and cosmetic improvements to improve and maximise return on investment
- Offer recommendations and educate property investors on third party services available to ensure maximum return on investment
- Ensure risk management strategies are in place
- Smoke Alarm Servicing
- Debt Recovery
- Analyse current market conditions and establish the best rental rate achievable while minimising vacancy periods
Marketing your Investment Property
- Ensure and prepare the property for lease
- Arranging for a bond, surface and carpet cleaning where required
- Arranging for garden clean up
- Arrange for professional photos, signboard & create an engaging ad
- Advertising on realestate.com.au, domain.com.au & several other online portals ensuring your investment property is seen by thousands of prospective tenants
- Manage tenant enquiries
- Provide online booking system allowing tenants to book in for inspection times that suit them, 24/7
- Conduct private inspections and open homes 5 days a week
- Guide prospective tenants to complete application forms that comply with legislation
Screening Prospective Tenants
- Once applications have been received, verify identity, employment/income, rental history, assess affordability to pay rent & care for the property.
- Check multiple tenancy databases highlighting additional history including bankruptcy, court records, directorships & cancelled directorships
- Once we are confident the tenant has been qualified, present processed applications to property owner for approval or disapproval.
- Negotiate terms of the tenancy where required including start date, rental price & special conditions
Commencing a New Tenancy
- Completion and execution of the required tenancy documents to commence the tenancy on behalf of the lessor including:
- The RTA Form 18a – General Tenancy Agreement, including special terms relating to the tenancy. The lease agreement must be given to the tenant prior to monies (rent and or bond) being taken
- The RTA Form 2 – Bond Lodgement Form. Lodge rental bonds to the RTA following legislative requirements
- The RTA Form 17 – A guide provided by the RTA that is required to be given to the tenant when the General Tenancy Agreement is provided to the tenant for signing.
- The RTA Form 1a – Entry Condition Report. The tenant must return the property to the same condition as the ECR (with the exception of fair wear and tear) so it’s integral a comprehensive ECR is conducted along with accompanying photos as additional evidence, providing a signed copy to the tenant.
- Body Corporate By-Laws (if applicable)
- Trust account receipt of bond & rent paid
- Educational, risk management documents relating to the tenancy. Providing information regarding to mould, electrical safety, insurance, emergency and routine maintenance procedures, and a comprehensive troubleshooting guide ensures we are helping tenants understand their obligations under the tenancy agreement.
Managing the Tenancy
- Collect rental payments and track paid to dates, managing rent arrears with regard to legislation
- Invoice tenant for water consumption & other charges as per the special terms of the lease agreement, managing late payments with regard to legislation
- Perform best practice periodic routine inspections to ensure tenants are caring for the property with regards to the terms of the agreement and looking for current, preventative & future maintenance. Provide a detailed report with photos to the property owner
- Issue Breach Notices where required with regard to legislation
- When necessary, provide a Notice to Leave with regard to legislation, file relevant paperwork to initiate and complete a Warrant of Possession, represent the property owner in court, coordinate with the police for removal of tenant and tenant possessions from the property.
Managing Routine and Emergency Maintenance Repairs
- Once a tenant has reported a maintenance item, run through troubleshooting methods to ensure the property owner is not exposed to unnecessary fees and understand the repair in greater details for contractors.
- Notify property owner of maintenance with suggestions to repair
- Arrange for suitable, licensed contractor to attend, providing a detailed work order
- Arrange for payment of invoice to contractor from rental monies received
Tenancy Renewal and Negotiations
- Seek instruction from the landlord with lease renewal suggestions including revised rental price for the current market.
- Preparing documentation, either a new lease agreement or notice to leave with regard to legislation
- Issue the lease renewal offer or notice to leave to the tenant
- Negotiate rent increases where required
- Provided a copy of the executed lease agreement to both the tenant and the landlord
- Arrange for smoke alarm testing to ensure compliance as per legislation
Termination of a tenancy
- Communicate with the tenant to educate and instruct vacate procedures
- Carry out final inspection to ensure the property is returned in the same condition it was found except for fair wear and tear as per standard term 37 of the General Tenancy Agreement.
- Negotiate any outstanding items such as cleaner or repairs to return the property in accordance with the Entry Condition Report
- Coordinate the bond refund with the tenant and landlord
- Where required, negotiate disputes with the RTA as a mediator and represent the landlord in Tribunal to finalise unresolved disputes
Accounting for your Investment Property
- Payment of property invoices including maintenance invoices, insurance invoices, water, council and body corporate rates from rental monies received
- Disbursement of rental monies to the property owner
- Provide statements of each disbursement demonstrating income, expenses, fees and commissions with a total figure.
- Provide end of financial year statement outlining GST, expenses & income
Understanding and Acting under Legislative Requirements
- Understand and act within the following legislation, which include (but are not limited to) the following listed below
- The Property Occupations Act and regulations
- The Agents Financial Administration Act and regulations
- The Residential Tenancies and Rooming Accommodation Act and regulations
- The Fire and Emergency Services Act and regulations
- The Body Corporate and Community Management Act and regulations
- The Building Act and regulations
- The Electronic Transaction Act and regulations
Now you have an understanding of what’s involved in property management services, contact Fresh Property Management to arrange your free rental appraisal.