Agent fees - direct debit

Hi everyone,

Does anyone know of any property managers in the Melbourne area that accept payment via direct debit (as opposed to deducting from the rent itself)?

e.g.: Say the rent is $1500 / month, and the management fee is $100 / month. The $1500 is transferred to me each month, and $100 is direct debited to me.

As opposed to:

e.g.: Say the rent is $1500 / month, and the management fee is $100 / month. The agent deducts the fee from the rent, and transfers $1400 to me.

 

What are you trying to achieve? Sounds like more work for the agent, and the risk of you not having the money. Whats in it for them?

 

I am sure any PM wanting your business would be happy to try and do this for you @Andrew90 (I know I would)... but.... why could you be possibly looking to put this in place?

Also, I only know of 1 company advertising a set fee and I have my doubts about them.... most agencies are on a % management fee. In other words it would get very messy if you throw in there a a varying management fee, a leasing fee and anything else your agency is charging you.

 

^ ^ +1 this.

 

Possibly as a debt recycling strategy?

Tax Tip 4: Borrowing to Pay investment expenses

 

McGrath let me do this without any quibble. I pay the management fee to them out of a LOC so I receive the full rent into my PPOR offset. As Terry says, it's a debt recycling strategy.

 

Ah OK - makes sense.

 

There was a long discussion of this topic in the early days of the forum. There might even be a link to this thread in the thread l linked above

 

This one?
Any luck in receiving Gross Rent from PM?

If so I feel old... "early days"