Property Management Problems

Discussion in 'Property Management' started by christianeatouggh, 6th Jul, 2018.

Join Australia's most dynamic and respected property investment community
  1. christianeatouggh

    christianeatouggh Member

    Joined:
    27th Nov, 2016
    Posts:
    20
    Location:
    sydney
    Hi all

    Hoping to draw on your collective wisdom. I have an IP in Hornsby Council - tenants moved out 26th June. They gave their 21 days notice. Currently, cash flow is tight for me (bring on the tax return!) so i checked the rental statements. I remember from previous statements that my tenants always paid in advance, so i checked the May statement. It said that they had not paid in advance but that month only. Awesome i thought, as i would get one more payment!

    After payment didnt arrive at the end of June I went back and the June rental statement indicated that no money would be forthcoming, I went back and checked the previous months statements;
    March - had dates for 29/03/18-29/4/18 (paid in advance)
    April - had dates 29/4/18-29/4/18 (no time at all)
    May - had dates 29/4/18-29/5/18

    Now clearly there has been a stuff up here. Any tips or suggestions on how to handle from here? I have made the agent aware but they are not taking any responsibility.

    Help is much appreciated:)
     
  2. Stoffo

    Stoffo Well-Known Member

    Joined:
    14th Jul, 2016
    Posts:
    5,301
    Location:
    In the Tweed
    Is the managing agent claiming the bond ?
     
  3. Big Will

    Big Will Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    2,517
    Location:
    Melbourne, Australia
    Tenant, PM or insurance will pay and I would get the PM to facilitate it after all you are paying them...
     
  4. christianeatouggh

    christianeatouggh Member

    Joined:
    27th Nov, 2016
    Posts:
    20
    Location:
    sydney
    No - the bond has been released. I gave them permission as i was unaware of the problem with the dates on the monthly statement
     
  5. christianeatouggh

    christianeatouggh Member

    Joined:
    27th Nov, 2016
    Posts:
    20
    Location:
    sydney
    Just to clarify - the rent has been paid in full. The PM has made a stuff up on putting the wrong dates on the monthly statements:(
     
  6. Scott No Mates

    Scott No Mates Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    27,103
    Location:
    Sydney or NSW or Australia
    Hold the agents liable for the bond and claim the rest via insurance.
     
  7. Stoffo

    Stoffo Well-Known Member

    Joined:
    14th Jul, 2016
    Posts:
    5,301
    Location:
    In the Tweed
    Or they realised their error and are rectifying it.
    Either way its a win, as you have been paid :cool:
     
  8. PropertyManagerstsv

    PropertyManagerstsv Member

    Joined:
    16th Aug, 2018
    Posts:
    6
    Location:
    Townsville
    damn thats a tricky situation to be in. Lucky you've already got the money!
     
  9. GeorgeStrathos

    GeorgeStrathos Member

    Joined:
    12th Dec, 2017
    Posts:
    19
    Location:
    Sydney
    How frustrating...

    Same thing happened with my last IP.

    In my experience, comes down to finding a good PM from the get go to avoid all of this hassle down the road
     
    ChrisDim likes this.
  10. Tom Rivera

    Tom Rivera Property Manager Business Member

    Joined:
    1st Jul, 2015
    Posts:
    2,718
    Location:
    South East Queensland
    I don't understand how the agent listed the wrong dates on the statement? The dates generate themselves in relation to funds receipted against the property with any trust accounting software. If those dates are incorrect, then they've done something either very stupid, or very illegal.

    You need to check to make sure you really have been paid all the funds- there's a few different ways I can think of to go about this, but I think the easiest way would be to check by total rent received;
    - Use an online date calculator HERE to calculate the day duration of the current tenants entire tenancy.
    - Divide rent by 7 to create a daily rate (it gets a little more complicated if you've changed the rent during the tenancy, but that just means you have to divide into a couple of periods instead of just one).
    - Add up total rent received from those tenants over their entire tenancy. Check statement values against funds received in your account. You will need to use the gross figure before management fees came out, which should be broken down in the statements.
    - Dividing total rent received by either the day rate or the days rented should give you the other figure. If it doesn't, double check. If it still doesn't, you have a problem.
     
    D.T. likes this.

Build Passive Income WITHOUT Dropping $15K On Buyers Agents Each Time! Helping People Achieve PASSIVE INCOME Using Our Unique Data-Driven System, So You Can Confidently Buy Top 5% Growth & Cashflow Property, Anywhere In Australia