PM leasing agreement

Discussion in 'Property Management' started by Now or never, 14th Jun, 2016.

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  1. Now or never

    Now or never Active Member

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    3rd Apr, 2016
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    Location:
    Melbourne
    Hi folks,

    We are putting up a property for lease through a PM which we had previously self managed. A few points which I might need your advice with;
    Exclusive Authority Period - 90 days
    Continuing Authority Period - 365 days
    Leasing Fee - 1.5 weeks rent + GST
    Managing Fee - 6% including GST
    Advertising - $88
    Urgent repairs - $1800

    Exclusive Authority Period looks a bit long to me at 90 days. Anything else that needs reconsideration? Property is in Melbourne if it's any help.

    Thanks.
     
    Now or never, 14th Jun, 2016
    #1
  2. Xenia

    Xenia Well-Known Member

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    ?
    There is no right or wrong way to sign an agreement with a property manager.

    People can only give you their own opinion
     
    Xenia, 14th Jun, 2016
    #2
  3. D.T.

    D.T. Specialist Property Manager Business Member

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    My opinion is that you shouldn't base your decision mostly/only on price, which is what you seem to be doing currently. A Commodore is cheaper than a BMW for a reason.
     
    D.T., 14th Jun, 2016
    #3
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  4. Now or never

    Now or never Active Member

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    ?? Where did you get this impression from? My only query was about the first point, as I hadn't used a PM for a few years. Question was asked in good faith, not to malign or cast aspersions on PM.
     
    Now or never, 14th Jun, 2016
    #4
  5. D.T.

    D.T. Specialist Property Manager Business Member

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    You said advice was needed, then proceeded to list the fee structure. What was the intended impression?
     
    D.T., 14th Jun, 2016
    #5
  6. Xenia

    Xenia Well-Known Member

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    The exclusive authority period is usually one that is the most easily negotiated. I wouldn't lose a client over a simple thing like this. Just ask if you can put a term that you would be comfortable with.
     
    Xenia, 14th Jun, 2016
    #6
    733 and Now or never like this.
  7. Now or never

    Now or never Active Member

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    Thanks, that's the sort of advice I was after. Much appreciated. Genuinely no malaise was intended on the question.
     
    Now or never, 14th Jun, 2016
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  8. xanh

    xanh Active Member

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    What is the 'Continuing Authority Period' of 365 days?
     
    xanh, 15th Jun, 2016
    #8