Hello all Question about re commission for property management If the bond is kept is it normal for them to take their % fee of the bond kept ? The tenant had outstanding rent but also damaged to the property that exceeded the bond My instructions were that the bond was to go towards the damages and that I wouldn't claim the rent as the LL insurance policy excess made it not worth it Your thoughts ? Thanks all
The bond has been applied against the outstanding rent & other costs. It was your decision not to lodge a claim with your insurer.
As the damages + outstanding water were more than the bond I would have thought they would have left it as being a recovery of my costs with no comms Their comm is around 10% so only $120 not end of the world Guess it's time to find a new agent
Unless bond is used for rent there shouldn’t be any management fees. Property managers get paid - usually/mostly - as a % of the rent which is kept from the rent. That’s how property managers get paid for their work which will be a lot in this instance by the sounds of things while they are sorting out the damage from the tenants. Also remember - yes there is a leasing fee in the end but- while the property is empty and being repaired, they make no money either. Instead of worrying about a few dollars on management fees, why don’t you give your property manager a call to see how they can jump onto the repairs quickly and cheaply, how you can support them, and how you will work together in current very challenging environment to find a good tenant and quickly? Just a thought...
Depends what their management agency agreement says. Some agreements say they'll take comms on rent collection only.....some say they'll take comms on all collections.
