What Would You Do?

Discussion in 'Property Management' started by just_some_guy_89, 15th Apr, 2020.

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  1. just_some_guy_89

    just_some_guy_89 Member

    4th Jan, 2020
    Wagga Wagga
    Hi, I've recently purchased my first investment property. Immediately after settlement, I arranged for some repairs to be done to the property. Invoice was forwarded directly to the property manager on 30 March.

    The property manager diligently contacted me, and asked if it could be paid from the rent. I was happy for that to happen but it was going to be about 8 weeks before there was sufficient rent to do that, so they asked me just to top it up and they would attend to payment. The money was paid to them the same day (30 March).

    Today (15 April) I got my Rental Statement, which notes that the monies were paid to them, and that had the full amount I contributed reimbursed, plus the last two weeks rent, paid back to me. It would appear they have not paid the Contractor for works done.

    Given COVID-19, do I cut them some slack? Surely this isn't standard practice...?
  2. Scott No Mates

    Scott No Mates Well-Known Member

    18th Jun, 2015
    Sydney or NSW or Australia
    It's possible that they stuffed up or are working to the letter of the law and have disbursed all of the income received for March at the end of the month.

    Recent changes in NSW have meant from 23/3/20 that the trust account must be cleared every month. I can see this causing many issues where the PM is managing the cashflow (expected expenses such as strata levies, rates or maintenance etc which need be paid before the next rent receipt date) and not having to get the owner to contribute unnecessarily.
  3. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

    15th Aug, 2005
    Gold Coast

    slack yes

  4. Tom Rivera

    Tom Rivera Property Manager Business Member

    1st Jul, 2015
    South East Queensland
    I have admittedly done this a few times.... my system requires me to manually hold those funds back, if I don't they pay out. It's just human error, if they haven't noticed already just let them know and sort it :)
    Biggbird likes this.
  5. Ted Varrick

    Ted Varrick Well-Known Member

    21st Jun, 2015
    No Mans Land
    At the risk of stating the obvious, maybe ring them ask and ask them what happened and why the contractors invoice hasnt been dealt with promptly?

    Depending on the response, you might suggest that they pull their finger out.

    Given the title of this thread, I might have considered this course of action, just prior to posting it to a property forum on the Interweb...
    Tom Rivera and MTR like this.