NSW "Managing" my property manager

I have an IP house in the lower North Shore being managed by *one of* the largest agents in the area (those who know the area can probably guess who). I only went with them because they also happened to be the agent who sold me the house, and since I was only in Sydney for a week for the transaction, I signed with them for convenience and their rates were competitive.

The problem is that I constantly feel as though the manager does not advocate on my interests, but is acting in the best interests of the tenant. The tenants are not excessively difficult and we've only had a few issues (e.g. plumbing clogged, garage remote broke, they wanted to add a new lock somewhere). I constantly have to ask my property manager why I'm paying for things that are requests for improvements from the tenant (e.g. they wanted me to install central heating and the manager gave them the impression that I would do that). It's hard because I work overseas and feel very distant from it all, and I'm constantly saying "no, please manage their expectations better!"

Will take recommendations for property managers in lower North Shore. I'm halfway through the lease, can I change out now?

 

We use Ray White Northbridge and have been very happy with them

 

I'd be having a chat with the REA principal as to why one of their agents is promising things to the tenant.. That's absurd..

If they're the largest in the area they should know how to do their job.

It doesn't matter if you're overseas or right next door, you hired a PM so can have a more hands off approach to dealing with the property, correct? I'd be stressing that.

It's the same as hiring a manager in a shop, your expectations are that they'll do everything as standard and whatever else you tell them, if a customer asks for more shirts they put it forward to you, not go and buy 10 boxes worth just because they have your CC...

 

The requests aren't unreasonable it's the PM setting the tenants expectations that is unreasonable. I've seen it done to a family member and I've had it done personally.

They probably won't stick around after the initial lease as they'll be upset that they were promised something and it hasn't been delivered.. You just wait, they continuously ask the PM about it and the PMs response will be "the LL is thinking about it"..

 

I have come across agents that have strong relationships with tenants (since they deal with them in person vs the overseas owner), and often forget who they are essentially working for. With non essential improvements its all about negotiating win-win outcomes so the tenant feels satisfied while being fair to the owner. Eg a small increase in rent or a new long term lease in exchange for an improvement.

I have come across a rent roll in the Lower North Shore where the agents were charging 7-8% management fee (on top of the usual fees) and providing terrible service, so some owners are far too complacent. The good thing is the tenants are often quite long term, one of my managements in the Lower North Shore has had the same tenants there for over 10 years.

 

I have noticed that for my interstate property as I believe its "don't care" factor all they do press forward instead of finding a solution and eventhough I am in different state I have got better quotes (value for money) to do things than the one they arrange.

It is hard to find someone reliable.

 

Out of interest, why are you paying for them? Are you saying that the PM is doing them and then telling you after the fact?

Can you elaborate a bit further? Did the agent suggest you would do this before even talking to you?

Just trying to get a better idea of the issues. It is difficult to know on the info provided whether the agent is "doing the right thing" or not.

- Luke

 

Nooooooo.....please tell me that is an improvement !

 

It is definitely a case of the PM developing a very cosy relationship with the tenant (one half of the tenant is a stay-at-home mum and has some very specific requirements about how they want the shower faucet to spray for example) and whilst I am glad they get along, I have also been a landlord / tenant and if I wanted a new shower hose in my expensive rental apartment, I just change it myself!

It's not a hugely premium house, just a normal brick bungalow with minor upgrades.

Re: Central Heating, it wasn't that they explicitly promised it. It was along the lines of "Oh I thought the house already had heating, and I was surprised that even the aircon model which I looked up online did not have a heating function." Would have much rather they just weren't so proactive as to suggest it was a surprise that the house did not have heating.

Re: External lock was for the side alley gate. It already has a latch like most houses, but tenant said "husband travels a lot and I would feel safer with a real lock on the side alley" and honestly I feel as though the PM should have just said "that would be unusual to be approved". A nice cul-de-sac in that area surrounded by nice houses is totally not my idea of a high-crime area! Or, just ask whether I would have been ok if the tenant installed one themselves.

 

I'm in the area and assume its the large agency that changed from one large franchise group to another a year or two ago...It's not the first time I've heard of people being unhappy with them as managing agents. A large client of mine bought a $7mil house from them and then used them as managing agents, had all sorts of problems with them. I'm a commercial agent in the area and have limited contact with the resi guys but have heard good things from Mark Rosati at LJH Crows Nest and also Belle Property at Neutral Bay.