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Self manage

Discussion in 'Property Management' started by Khooj123, 2nd Sep, 2015.

  1. Khooj123

    Khooj123 New Member

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    2nd Sep, 2015
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    Location:
    Melbourne
    Hi all,
    Thinking to self manage my IP apartment in Southbank.
    The property is curently managed by agent but I don't see much value added as the apartment is fairly new and tenant rarely has any issues, even if there are issues I am happy to take over the works.
    What are my responsibilities in order to terminate the PM service? Any website to recommend for info?
     
  2. thatbum

    thatbum Well-Known Member

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    Location:
    Perth, WA
    PM'ing is easy when everything is going fine, but a PM really earns their money from what they can do for you when the going gets tough.

    I wouldn't recommend self managing unless you know the rules and procedures very well, especially for things like rent arrears and terminations.
     
    D.T. likes this.
  3. Nick Valsamis

    Nick Valsamis Well-Known Member

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  4. Khooj123

    Khooj123 New Member

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    Location:
    Melbourne
    Thanks guys. I do agree it gets tricky when things go sour. But something I am prepared to learn. Hence I want to be familiar with procedures and rules. My view is given that is new apartment and current tenant has good track record, risk should be lower. Fingers crossed!!
     
  5. Nick Valsamis

    Nick Valsamis Well-Known Member

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    You may also need something like this to be able to advertise the property and keep track of rent payments. They have a free option you could consider:
    http://www.cubbi.com.au/fees
     
  6. Leo2413

    Leo2413 Well-Known Member Premium Member

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  7. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

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    That's what I once thought. One bad tenant later and I decided that a good PM is worth every penny. If things go sour, it won't be a learning experience, it'll be an exercise in loosing at every turn for you.

    Some people can do property management quite well, but most don't. I know one lady who owns quite a few properties. She's often felt that she can do a better job than a PM. She also has a lot of storys about how unfair the tribunals are.
     
    Leo2413 likes this.
  8. Azazel

    Azazel Well-Known Member

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    Don't do it. Ever. A good PM is worth the 6-8% or whatever. And it's deductible.
    But good luck.
     
    Leo2413 likes this.
  9. Perthguy

    Perthguy Well-Known Member

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    So does my ex property manager ;)

    But to the OP, @Khooj123, don't even consider it unless you are prepared to take your tenant to the tribunal when things go wrong. It can take up a lot of time.
     
    Leo2413 likes this.
  10. legallyblonde

    legallyblonde Well-Known Member

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    Location:
    TAS
    I enjoy self-managing... I only have one and it is local.. With great tenants it has been very cruisey so far! The tenant union website is a super great summary of your obligations.
     
  11. BuyersAgent

    BuyersAgent Well-Known Member Business Member

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    Location:
    Oz
    I had a bad PM cost me 15k once. Fought for 18 months to get insurance to pay, got most back eventually but the time lost would be worth same again. Never again. I also happen to know I personally would make a bad PM. If you are a details person, highly organised, willing to understand the legislation, stay on top of updates, keep accurate and detailed files, letters, financials and photos and also have good people skills and enjoy negotiation and problem solving then go for it.