Unhappy with current PM

Discussion in 'Property Management' started by Duckss, 25th Jul, 2018.

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  1. Duckss

    Duckss New Member

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    Greeting forum. I have a similar question that I haven't been able to find an answer for. We want to get rid of our current PM after an initial 3 year contract. I am in South Australia BTW. They have not breached the contract per se, but they are generally (in my opinion) not very good - They are very slow in responding to issues raised by the tenant, and questions posed by myself, their fees are too high, they charged $1000 cleaning fee (a flat rate) for a 2 bedroom apartment that is only 3 years old (there was nothing 'dirty' or damaged, that's just their fee!) and their tenant checks failed to identify a conviction (and also a pending sentencing for another conviction) for trafficking in a controlled substance, so we had 1 bad tenant that they took AGES to get out, despite have police called to the property numerous times, other tenants being physically accosted and threatened etc). But upon reviewing the contract I notice that they stipulate a minimum 12 months written notice to cancel the contract ! Is there a minimum notification period required by law for cancelling a contract with a Property Manager? I'd have though 90 days would have been more than reasonable. I intend to send them a letter stating we will be terminating the contract in 90 from the date of the letter, but I want to know if I have a legal leg to stand on.
     
  2. wylie

    wylie Moderator Staff Member

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    Twelve months written notice seems ridiculous. Perhaps threaten that they've failed on many levels, and you want immediate release without penalty or you will take things further.
     
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  3. bob shovel

    bob shovel Well-Known Member

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  4. D.T.

    D.T. Specialist Property Manager Business Member

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    Most SA contracts are 60 days notice. Can vary a bit depending on which form publisher they use.

    What some dodgy agencies do is have their own internal cleaning or maintenance people. Its a big conflict of interest in my view - ie are they trying to serve the best interests of their landlord or trying to make a profit.

    The stuff about police coming out isnt really within the property managers control - we cant prevent people from breaking the law. Its definitely something that would come up when determining whether to renew lease or not though.
     
  5. ChrisDim

    ChrisDim Well-Known Member

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    As @D.T. said, only a dodgy agency would sneak in 12 months written notice. In NSW the norm is 30 days... Why don't you give them 30 days notice and see what happens?
     
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  6. R.C.

    R.C. Well-Known Member

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    Dodgy alright!

    30 days notice sounds too generous.
    Would probably take the gamble of going to court or tribunal for breach of contract myself, but in practice how would one obtain copy of rent ledger, keys etc. if they simply engaged another PM?

    Can you name and shame?
    Definitely one to avoid!
     
  7. ChrisDim

    ChrisDim Well-Known Member

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    Find a PM like you want them to be. If they are right they will work with you to help you get out. Send a 30 day notice by email to current PM nominating your new PM. Then let your new PM handle transition of keys, ledger transition etc. The issue is that technically they haven't breached your agreement I am afraid, so you should cut your losses and try to move on. Chances are they don't care about you because they have hundreds of properties which is why you are not hearing from them. So send them email with 30 days notice CCing your new PM (so they know someone else is watching the discussions) and then you'll know where their head is at. If they play hard ball you can reassess your approach... maybe threaten to go to tribunal (you will not get anything there but i can tell you they don't want the hassle), or lodge a complaint with fair trading or counter offer to 60 days... go see them in person It all depends how they react and how much you want to move on.

    That'd be my advice...
     
  8. inertia

    inertia Well-Known Member

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    Was it a 3 year contract from the start? That also sounds dodgy.

    Was this property something like an off the plan with guaranteed rents for a period of time?

    Cheers,
    Inertia
     
  9. Omnidragon

    Omnidragon Well-Known Member

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    Trumbull is not doing well
     
  10. Ray White Marsden

    Ray White Marsden Logan Property Specialist

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    wow 12 months notice that does not sound right at all... I would issue the standard 60 days as mentioned above and see what happens from there.
     
  11. Duckss

    Duckss New Member

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    Thanks for all your input, much appreciated. I am speaking to another PM now and once we have that sorted I'll issue the current one with 60 days notice of termination and see what happens.

    As an aside - regarding the issue of the current/original PM putting in a tenant with not only a criminal record, but with an actively pending sentencing for a previous conviction, I was told they they aren't allowed to do a background police check without the applicant's permission. My response was - Why don't have have a simple question on your application form asking "Do you give permission for us to do a background police check, should we deem it warranted ? - Y/N ". Surely this has the potential to weed out some potentially undesirable tenants, even if the option is never taken up? (And yes, I know some of you may have objections to my preference NOT to have convicted criminals as tenants, but that's my right.)

    It fell on deaf ears and I received no reply....

    Cheers.
     
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  12. charlie01

    charlie01 Well-Known Member

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    What about if you get rid of existing tenants? If the tenants have moved out and the property become vacant, are you able to ask the new PM to find a new tenant for you?