Want to change property managers and not sure how to go about it…
The good news is it is easy. Here are the 5 steps to make it happen.
- Find a new property manager that is right for you.
- Agree the service fees and scope.
- Sign the property management and leasing agreement.
- Complete the owners instruction details.
- Sit back and wonder why you didn’t change sooner.
Sometimes it can feel like there is so much history and detail with a property that changing is too hard. You will lose all that history and back-ground of issues. In practice that is very rarely the case.
When you change property managers the new manager will get any relevant information and be able to pick up where the other left off.
Lets dig in to the 5 steps.
1. Find a new property manager that is right for you.
This is the most important step. It can feel daunting as you might be afraid of jumping out of the pot into the fire. It can feel like all agents are the same and why bother changing. However, there are many great property managers and your property is too valuable to have it managed by a substandard company.
You can get the full low down on how to find the best property manager for you and your property here but there are 6 steps.
a) – Experience and Advice
b) – Type or style of business
c) – Boutique or large network agency
d) – Property Managment fees
e) – Location
f) – Systems and processes.
2. Agree the service fees and scope.
While you are discussing fees with the agent don’t forget to confirm exactly what services they provide as well.
Here are some common questions and areas to clarify that you might have. You can read more about them in greater detail in our page on property management and letting fees.
a) – How much are property management fees and what do you get for it?
b) – How much are letting fees and when do you pay?
c) – How much is advertising costs and who gets this fee?
d) – Why do you need professional photos taken?
e) – What is an account service fee and why do you pay this?
f) – Are the fees negotiable?
g) – When do you actually pay property management fees?
h) – Can you change property managers if the agent is hopeless?
3. Sign the property management and leasing agreement.
Property managers need a contract with the owner to perform their duties. The good news is these can all be signed online. Unfortunately, online signing means you can too easily skip a really important step of meeting the property manager and having a chat to get to know each other. Make sure you do this so the property manager understands you, your apartment, and your needs.
4. Complete the owners instruction details
This includes some regulatory requirements as well as telling the property manager more formerly about you and your apartment. The questions include;
- Proof of ownership or identity (eg – copy of drivers licence)
- Best emergency contact
- Bank account details to pay your rent to (incl % split to different accounts)
- Insurance details
- Any preferred trades people for repairs
- Details of the owners corporation (strata manager)
- Preferred lease length
- If you would like to be invited to the routine inspections.
- Permission to cut additional keys and fobs if required.
- Confirmation of car spaces and storage areas.
- Permission to organise gas, electrical and smoke alarm safety checks.
- Details of utility providers (councils and water authorities)
- Several other general disclosure questions.
5. Sit back and wonder why you didn’t change sooner.
Pretty self-explanatory this one. Enjoy 😊🍷
Here are a couple of FAQ’s
Can I change at any time?
Yes. You don’t need to wait for the lease to end or the renter to vacate before you change property managers.
Is there a fee to change property managers?
No. There might be outstanding costs such as recent “for lease” advertising for your apartment or maintenance works. Otherwise, you can change property managers without any cost or fee.
Why does an agency agreement have an exclusive agency period.?
This is more about the leasing process. It means if a renter is introduced to the property during that exclusive period (regardless of when the lease is agreed) that agent is entitled to a fee. Exclusive agency periods is more relevant to sales agreements than letting.
Do I have to tell my current property manager I am changing?
No. Your new agent will advise them of the change. They then collect the file, keys, photos, ledgers, lease, condition report, any ongoing maintenance issues, renter notices etc.
Do I need to tell my tenant about the change?
No. Your new property manager will let them know as well as the new rent payment details.
Can I change agents during a fixed lease term?
Yes. All the current lease information will transfer to the new agent.
Do I need to meet the new agent to sign all the forms?
No. Everything can be signed online.
The process of changing is very simple.
There is a small amount of paperwork, but these days it is all online, and is completed quickly and easily with the right agent.
If you would like to change agents, please contact Wood Property to discuss you situation and needs in more detail.