10 Services Your Property Manager Should Be Offering You (The Investor)

1. Work out an appropriate rental rate

Undertake an in-depth inspection of the property
Evaluate the property in terms of comparable rentals in the area, market conditions and historical yields
Make recommendations as to improvements and additions that will improve the property’s appeal, enable a higher rental rate and provide a solid return on investment
Offer suggestions that will attract higher rents, such as making the property pet-friendly

2. Market the property for rent

Draw up a detailed document on the property, including quality photographs that showcase its best attributes
Market the property as widely as possible using a variety of appropriate resources and communication channels (including rental listing websites, social media platforms, print media, tenant databases etc.)

3. Tenant screening and selection

Screen prospective tenants using a variety of tools, including background and reference checks, personal interviews, income test, tenant default databases and rental history checking and verification. Social media checks if the agent is going the extra mile for you.

4. Assist the tenant with moving in

Ensure the property is rent-ready (oversee interior cleaning, garden tidy-ups, enhancing kerbside appeal etc.)
Draw up a lease agreement (in accordance with legislation and including items such as rent payment terms, frequency of inspections, renewal options etc.)
Liaise with tenant and property owner to establish a move-in date
Draw up a property condition report and have it agreed to and signed by the tenant
Collect the bond and any rent payable in advance

5. Inspections

Undertake property inspections according to the schedule stipulated in your management agreement and within the maximum number allowed under the tenancy legislation
Be the conduit for regular communication between the tenant and the owner regarding any maintenance and repairs, and keep the owner updated on the condition of the property
Provide a detailed report with photos and/or video and give recommendations for current and future repairs and maintanence

6. Rent collection

Collect rent electronically
Follow up on late or unpaid rent
Communicate with owners and their tenants about any rent issues
Enforce penalties for late rent and non-payment
Liaise with tenants and owners ahead of any rent increase deadlines

7. Legal issues

Keep up to date with local, state and federal legislation regarding tenancy (from both the renter’s and the property owner’s perspective)
Comply with all relevant legislative requirements including compliance such as health and safety of the property
Handle legal disputes and procedures, such as breaches and evictions according to the letter of the law

8. Maintenance and repairs

Use a list of approved, trusted service providers and tradespeople to undertake repairs cost-effectively
Proactively develop a maintenance schedule
Suggest preventative maintenance and/or repairs to save costs over the longer term
Oversee any repairs or maintenance issues on the property
Respond promptly to any tenant’s queries on matters of repair and maintenance
Liaise with owners on matters of repair and maintenance
Obtain quotes and permission to proceed with repairs and maintanence for any major expenditure (urgent repairs are considered and acted upon to prevent property damage and personal affects liability) This is allowable to a limit of $1000.00 per event whereby tenants can take action if neither landlord or agent responds to requests within a reasonable time frame
Refurbishement and renovations should also be offered,usually at a seperate fee to project manage larger scale improvements to the property.

9. Financial matters

Provide comprehensive accounting records and services on all properties under management
Make payments on the property owner’s behalf where required
Keep detailed and accurate documentation of all incoming and outgoing monies
Provide appropriate tax documentation for end of financial year
Discuss maximising tax returns via depreciation schedules

10. Vacate responsibilities

Complete inspection and condition report
Evaluate any damages/repairs and estimate costs
Return bond or portion thereof when appropriate
Arrange for the property to be cleaned and any repairs done
Undertake any other necessary tasks before a new tenant moves in, such as cosmetic upgrades

Of course, this list is not meant to be prescriptive nor exhaustive, but it provides some idea of what you can expect. You’ll also find that property managers don’t all offer the same range of services, and that it’s worth exploring your options before making a commitment.