Contacting tenants directly

Discussion in 'The Buying & Selling Process' started by giraffez, 22nd Jun, 2022.

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  1. giraffez

    giraffez Well-Known Member

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    I asked my agent who is managing my property to ask the tenants whether they are interested to buy my property before I put on market but they said they don’t usually do that.

    So can I contact them directly? I don’t have a selling agent yet.

    Will I be in breach of anything with my managing agent if I contact them directly?
     
    giraffez, 22nd Jun, 2022
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  2. thatbum

    thatbum Well-Known Member

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    Couldn't you find that out by reading it? How would we know what's in your agreement?
     
    thatbum, 22nd Jun, 2022
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  3. giraffez

    giraffez Well-Known Member

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    The agreement had the tenants email on it. Are you saying there could be clause in the contract to say no direct contact, I didn’t think it would be written in the contract.

    I was more thinking about whether there were laws against this.
     
    giraffez, 22nd Jun, 2022
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  4. Scott No Mates

    Scott No Mates Well-Known Member

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    Aren't you a mind reader? :rolleyes:
     
    Scott No Mates, 22nd Jun, 2022
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  5. wylie

    wylie Moderator Staff Member

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    I cannot possibly imagine there could be anything in an agency agreement stopping you contacting your own tenants. Your agent is acting for you.

    I have contact directly with our tenants at times. I’ve never read the agency agreement and our property manager knows I have dealt with some things directly (with her agreement).
     
    wylie, 22nd Jun, 2022
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  6. thatbum

    thatbum Well-Known Member

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    It's actually the opposite. The law protects your right to whatever you want with respect to the tenant, unimpeded by the agent.

    You realise the agent works for you right? You direct them what to do.
     
    thatbum, 23rd Jun, 2022
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  7. Burramys

    Burramys Well-Known Member

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    My property managers do the normal PM things.They know that I contact the tenants so that if something arises that a PM would normally deal with but cannot, I'm available. Or the tenant may have a problem with the PM. So far it's been routine. Unless proscribed at law or by agreement I see nothing wrong with contacting a tenant, and there are advantages in establishing communication.
     
    Burramys, 23rd Jun, 2022
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  8. MB18

    MB18 Well-Known Member

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    Im a tenant and always prefer direct contact (both directions) with an owner. Its not very common however.

    Worse case they will just ignore your email.
     
    MB18, 23rd Jun, 2022
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  9. skater

    skater Well-Known Member

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    It's totally up to you, if you want to contact the tenant, but it's also up to the tenant, should they choose to ignore you.
     
    skater, 23rd Jun, 2022
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  10. Piston_Broke

    Piston_Broke Well-Known Member

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    The question is "Why?"
    To save agent fees?
     
    Piston_Broke, 23rd Jun, 2022
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  11. wylie

    wylie Moderator Staff Member

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    Why? Seems the agent said he/she doesn't normally do that (approach the tenants to see if they wish to buy the house).
     
    wylie, 23rd Jun, 2022
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  12. skater

    skater Well-Known Member

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    We did that with one in a regional, where the repayments on the home would have been significantly cheaper than renting.......but the tenants didn't want (or couldn't) to buy, so sold it in the normal way.
     
    skater, 23rd Jun, 2022
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  13. Piston_Broke

    Piston_Broke Well-Known Member

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    I'd say sales is not the PMs job and most would refer to a sales or listing person in the agency.
     
    Piston_Broke, 23rd Jun, 2022
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  14. wylie

    wylie Moderator Staff Member

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    That probably is right. The PM would hope the listing agent would be the facilitator of the sale (if tenants buy) and get their commission. What an easy commission that would be.

    @giraffez I'd be contacting the tenants directly. But of course, how good are you at knowing what market value is and at negotiating if they say they are interested. I guess you could pay for a valuation and go from there.
     
    wylie, 23rd Jun, 2022
    #14