How best to cancel property management agreement

Hi

I have a couple of properties that have 5 year leases in place. I signed a management agreements with a particular PM nearly 3 and a half years ago who subsequently sold of their rental agreements to another agency. However, I am not happy with the level of service from this agency namely that emails regarding accounts go Unanswered without several weekly reminders. I am chasing repairs to ensure that the tenants are not inconvenienced. The agent is not happy to provide more then one quote in one instant i had quote for 950 dollars and on insisting got a second quote which came at below 400 for the same work. Unfortunately I did not read the agreement which has no notice clause that I could use to change agency or cancel the management agreement with a notice. Is there any other way out? What ticks me off the most is that in this day and age of emails we struggle to get replies in a reasonable amount of time without reason.

 

If you have no easy exit, you will either have to try to hold them to task against the terms of the agreement and then break it based on non performance of those terms, or agree a break figure

 

Was there a new management agreement signed by you and the new agent?

Is it for commercial properties?

 

Hi Balman
if it's been 3.5 years and they have not renewed the fixed term portion then it would have expired, and there has to be a number of days to terminate.

 

Hi Balman

If your investment properties happen to be in QLD it would depend on the type of agreement you had originally signed, either a PAMD Form 20a or a POA Form 6. Notice periods differ for both these forms.

Jodi

 

no new agreement was signed with the new agent but a letter transferring it on to them was.

Its for residential properties.

Hi Jodi, its not in QLD , thanks for your offer though.

It was a 5 year management agreement.

 

@Balman - First thing to check in that case is whether the agent can simply assign their management rights without you signing a new management agreement (have a read of the Real Estate Agency Act in your state - assignment is not possible in NSW, a new agreement must be signed).

 

Oh
In that case you need to wait the term or cancel by mutual agreement. However it will be at the agency's discretion.

 

Since the rent roll was sold during your term,
- check if your agreement allows reassignment
- the new agency may not know the duration since the default is 2 years

One thing you could do is tell the agency you have a new PM coming to pick up keys and paperwork and judge their reaction. They may well just say "sure, in 60 days" which is the default notice where your property is.

 

Like that idea .. will give it a go