Calling all landlords......

[Rowellen]

I had the agents pay for all the bills out of the rent (rates, water etc) which made it easier come tax time.

I started doing this with our rental property but they started slipping up which cost us money as the council gives a discount if rates are paid on time & charges interest if it's paid late. I pay all our rates & body corp myself now. It was so annoying because the reason they didn't pay was because the tenant hadn't paid enough rent to cover it that month (she was in advance the prior month & it had been paid out to us) but instead of contacting us, they just held it over. It might of only cost $15 more but that $15 is better in my pocket than the councils IMO.

Totally agree that the landlord's insurance is worth it. We've never had to claim but for the peace of mind, it is cheap. We are with AAMI.

Try not to worry too much about the possibility of bad tenants. Most people will pay their rent & maintain the property as it is their home. While horror stories do happen, they are the minority & that is why you get insurance. Also, the agent's "should" do their homework too.

[Beach Mama]

Thanks so much everyone!! So much to think about - DH is thinking that we stick to building insurance but not landlord insurance which makes me MEGA nervous - gotta do some convincing and find a really good quote to sell to him I think.

Thanks again and if anyone else has any advice keep bringing it on!

ETA: Janie71 - Tried to pm you back to say thanks for all your help!! Your PM box is full lovely! Thanks so much!

[Beach Mama]

One more question for ya'll!?

What sort of things other than % should I look for when getting an agent to property manage? Am going to call around on Friday but other than %commission Im not sure what other questions to ask.

TIA!

[Catherine]

You might like to ask to see a copy of the rental agreement and condition form (though they will probably give it to you without asking).
Ask if they take photos for advertising, how much they charge for advertising and where they advertise.
Ask about their process for selecting and what your options are for discrimination (ie no pets or specify pets)
Ask about how often they have had to go to the tribunal (i think that is the right term...where disputes are heard) and how that usually goes.
Do they take photos at inspections?
ask about the landlords insurance. (for advice)
Ask about any extra costs beyond the % fee.

In talking with them, use your gut.
You want this property to be someones home, but it is still your house. So the agent needs to respect the tentant, but be your advocate. A though inspection is important.

And ask about maintance...if you want to you can opt to do handy-person stuff, but you have to be prepared to do it quickly.
So ask about the rights of tenants, and what your obligations are by law in regards to maintance. Who changes/supplies light globes, who mows. prunes, what happens if the hotwater fail, or the dishwasher breaks. That sort of thing.

all the best
Catherine