Landlords, do less work!

If you’re currently managing your own properties and finding it too tiring or time consuming, maybe it’s time to pass the mantle onto someone that does it for a living.

Most of the time, landlords don’t need much convincing other than experiencing problems and difficulties firsthand. But if you’re still doing it all yourself, give this post a quick read – you might change your mind!

10 Reasons to Hire a Property Manager
When first getting into rental properties, a lot of landlords start off confident that they can handle DIY property management. I mean, how hard could it be to collect rent each fortnight, right?

If only managing a rental property was that simple. But as many of you will know, the reality is that things are never that easy. Tasks and problems can quickly balloon in size and number, and dealing with them becomes a full-time job.

This is where property managers come in. While they do cost money that would otherwise be going in your pocket, sometimes hiring them is what makes the most sense for you, your property and your tenants.

Here’s a list of 10 reasons to hire a property manager, based on what our clients have told us over the years.

1. Shorter vacancies
Vacancies are the property investor’s worst nightmare. But there’s more to finding a tenant than dropping the rent and posting an ad online.

A trained property manager will have experience in marketing and advertising your property. They’ll be able to advertise your property at a commercial discount, and they’ll know how to write the ads and get good photos.

Which leads us to tenants and pricing…

2. The perfect rental price for the market
A good property manager will use existing market data to suggest the ideal rent to charge, along with cosmetic and physical improvements to help attract the right tenants at the right price.

You’d be amazed how much difference a bit of TLC can make to the weekly rent, and to the types of tenants who apply for the lease.

3. More reliable, higher-quality tenants
Experienced property managers will have learned how to spot a bad tenant. It’s not an exact science, but there are patterns that you start to notice after a few years. There are also proprietary databases including TICA and Barclays, which provide detailed tenant histories that private landlords can’t easily or readily access.

Getting a professional to help you with the preparation, price-setting, advertising and applicant-screening process can mean the difference between a 3-month lease breaker and a 3-year stalwart.

4. Better tenant handling and longer leases
Aside from their own lives and life changes, one of the biggest reasons good tenants leave is that they think they can get something better for a similar price.

Professional property managers will minimise this turnover by responding quickly to tenant concerns, from minor maintenance to significant upgrades – all the while liaising with you to make sure that every decision is based on ensuring the best financial outcomes for your investment.

5. Affordable repairs and maintenance
In most cases, even one week of lost rent due to vacancy will exceed the cost of basic repairs and maintenance – and this doesn’t even take into account the discounts that most property managers can get from tradesmen.

That’s right – just as they can secure more affordable advertising for vacant properties, property managers also tend to have working relationships with tradesmen, meaning you get faster, more affordable, 100% quality-assured repairs and maintenance.

6. Legal protection
This is a big one: being a landlord comes with all kinds of legislated responsibilities, and the last thing anyone wants is to have to deal with QCAT or RTA claims.

A trained and experienced property manager will provide an added line of defence, explaining what needs to be done at both ends of the lessor-tenant agreement.

This means faster dispute resolution or total dispute prevention, along with ongoing advice and liaison between all parties.

Think about it this way: one law suit prevented will more than cover the cost of several years of property management fees.

7. Control over rent collection and contracts
Private lessors tend to suffer more when issues arise such as tenants who get behind on rent or cause damage.

Property managers have the systems and processes in place (all based on watertight contracts and agreements) to help protect you against these kinds of problems.

They’ll make sure your rent is paid on time and in full. And if not, they’ll help with the process of ejecting the tenant, getting your money back and finding a better replacement.

8. Easier tax and accounting
Unless you’re an accountant yourself, you probably dread the yearly torture that is your tax return.

Having a property manager can make this whole process a lot easier, with clearly presented reports and summaries each quarter or year, along with well-organised advice and documentation relating to tax deductions and other financial matters.

With everything presented clearly, you’ll also have a much better picture of how your investment is doing, and what decisions to make going forward.

9. Help and advice on growing your investment
Regular maintenance, repairs and/or renovations can go a long way towards preserving or growing the value of your investment over time.

In just a few years of occupancy, rental properties can begin to look tired and worn. Regular inspections, coupled with considered advice and experience-based recommendations, will help you ensure your property stays occupied for a good price and for the long term.

10. Less stress and more free time!
This is probably the biggest reason why most people choose to invest in the first place: they want a passive income that requires minimal daily thought or management.

With the right property manager by your side, the only time you’ll ever need to think about the property will be when you check your bank statements, or when you give us the go-ahead to send in a repair man.

While property managers don’t come free of charge, when most landlords weigh up all the benefits versus the cost, most of them decide that they’d rather sit back and make the big decisions while leaving the nitty gritty to someone that does this for a living.

If you’re getting tired of doing your own property management, give the team at Hicks Real Estate a call on (07) 3355 6845 for a chat!