Do you tell a selling agent they won't be your PM?

I've one IP manage by selling agents, but after 6 months we change them to new one.
Simply because it didn't meet our expectation

Since then we always due diligence separately..

 

My suggestion is to be upfront about it.

Told them from the beginning that my property manager will be looking after it. Sometimes they say give us a go and I ask for their terms.

Review them, then go back and say unless you give me an exceptional deal, I won't be switching. They've said no so far, haha...you have nothing to lose.

Cheers,
Michael

 

That could mean they don't put you priority for purchasing though .....

 

You might be surprised.

Agents are mostly after their commission. If they know you are a repeat buyer, they will be more attracted to the sales commission than building their rental roll. I guess BAs are a good example, they don't use them to manage their properties but will often get heads up.

Cheers,
Michael

 

I was buying in a regional town a while back - and had every intention of using the selling agents company for property management.

However - after the sale exchanged, I couldn't get a hold of him to ask a few basic questions. Even the property management area were difficult to get in touch with.

It got to a point were I decided to look elsewhere. I found another PM who was better on the communication front.

A week later I get a call from the selling agent - he wasn't happy. The new PM had been in touch asking for the keys. I told him he left with me with no choice - I simply couldn't contact him!

We crossed paths again 5 years later - he was still upset by about!

 

It's a business for you, you could tell them you have exceptional PMs at present, and do consider competitive options with every purchase but to date no one has been able to compete with the service level you currently receive.

If they promise the world of service, competitive rates, give them a run for 6 months, at least you have been honest, taken control without being what might appear to them as deceptive and put an option out there for them to step up and surprise you.

Then cut them loose as per your strategy if they don't perform or keep them as another resource if it's a fit and they surprise you.

 

I would lie anyday before going unconditional. If agent receives 5 offers and one of them were from Miss msali that agent knows that he/she won't get PM business, I could potentially delay 24hr in presenting offer to vendor..

Normally it's 2 wk before settlement I tell..

 

I have always been upfront about it. The reasons are nothing personal against the selling agent. It's a business decision based on a good long term working relationship with the current PM.

 

Generally if it's a new location where I haven't bought before I don't know the answer at that point. The selling agent is usually not that interested, once the commission is locked away and its clear I will uphold my end of the deal then they are on to their next listing IMO