property management - advice?

M

mellaw

Registered User
Messages
18
Hi, do any of you landlords use a property management company to let your property for you. I have always let my house myself but made enquiries re cost of getting a company to let the property and then to hand it over to the landlord. I have been quoted 6 % of the monthly rental over the first 6 months as the cost. eg if house rents for 6 mths at 600 per month it will work out around 230 euro. Any comments appreciated
 
If you can let it yourself, then do it. I acknowledge that it is difficult to rent in the current economic climate but I still like to see who is living on my property and have a professional relationship with them.

If the washing machine breaks, I am happy to get my brother to fix it rather than paying some stranger fix it and risk the chance of a so called rogue trader ripping me off.

Management companied won't always prioritize your property and may let a similar property for themselves or a friend first.

Also, I prefer to have the opportunity to scrutinize potential tenants before they move in. Not all tenants are ideal for my property.


Finally, check the small print. Will the 6% increase to 10 % after 12 months? I have heard of this happening.

Bottom line..... do it yourself. I own a property over 100 miles from my home and I feel rest assured when I let it myself rather than a stranger who won't have the same interest as you despite getting paid for it.
 
+1

If you can do it yourself, go that route. It's really not that much work once the tenant is in, they can pay the rent by bank transfer.

As Hillsalt says, you also reduce the risk of being ripped off. I know a guy who manages over 100 properties and if anything goes wrong in the properties, he has two 'mates', one plumber and one electrician, who he calls in to do the repairs. They charge an inflated price, he gets a cut and the landlord pays!

He also does, in my view, unnecessary repairs and replacement of household items without even inspecting the item to ascertain if it's really faulty.

An agent won't choose the tenant and they won't look after your property as carefully as you would.
 
+2

Unless you are leaving the country do it yourself,it is difficult to rent in the current economic climate but giving it to a management company wont guarantee you a tenant any quicker. I used management company once - the only tenant that ever broke a lease with me and left the place very bad. I am not going just on this experience I have friends that have gone this route but all look after their own properties now.
 
The Question of getting a management company leaves you open to generalised answers. Some companies can give the industry a bad name. As a management agency ourselves we have found our clients generally come through refferals from the clients friends or family.
If you dont have time to be a professional landlord, you would benefit from a management agent, but it would be best to go with one which have been recommended to you.
 
Hans said:
+2

Unless you are leaving the country do it yourself......
Click to expand...

My uncle owns 2 apartments here eventhough he lives in UK. I let them on his behalf and I don't charge him a penny.

The properties are in good condition and are centrally located and are therefore easily let. If something needs replacement, i buy it and get the receipt in his name an he pays me back.
 
many many thanks for your helpful replies. I would never hand over the entire management to an agent but had considered just getting them to recruit tenant and then take it over myself. Anyway your replies give me food for thought. Do you get references from previous landlords or from other sources? Thanks
 
References are not worth the paper they are written on. What is to stop my buddy (who is not a Landlord) writing a nice reference about me? you could phone him and he could say all the right things that you want to hear.

Also, I know someone who promised a troublesome tenant that she'd write him a good reference if he's move out. He moved out despite not being in arrears and she handed him a reference saying that he always paid his rent on time.
My rule of thumb is simple: Judge Books By Covers

I'm not always right but i am right most of the time... when it comes to choosing tenants.


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References from the tenant's employer can be helpful.

As said above, references are not the be all and end all, often you will have to base your decision on your own judgement, which will obviously improve with experience.
 

We have properties in different areas of the country and use Letting Agents to find us tenants. They charge 4% of the years rental to secure the tenant and then we take over. It saves us time in travelling, advertising and showing the house plus the charge can be offset against any tax liability. We have a list of plumbers, electricians etc to call in an emergency, otherwise we will travel to fix any incidentals (which is not often T.G.). If we are letting in our own catchment area, I look after the advertising and showing etc.
 
Hi Mellaw.

I have sent you a PM which may be of interest.
 
I agree totally with previous posters - do it yourself. Use www.daft.ie to advertise it, set up a viewing schedule, request references (bank and employer) and Bob's your uncle. Use your gut instinct - it's better than any selection company!
 
With regards to references, I know that agents will pass on word about bad tenants and enquire about potential tenants with other agents if they have any suspicions. This isn't possible by going it alone.With regard to cost of repairs etc, most agents that I know are careful at keeping these costs down and will strike deals with repairmen in the knowledge that a low price and good work will reuslt in continued business for said repairmen.
 
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