Is it time for you to get a property manager for your investment?

In New Zealand, property has proven to be a great investment opportunity with it rarely decreasing in value. Over time, some people have even amassed a portfolio of properties providing a steady income stream that is especially welcome during retirement years.

However, management of properties and dealing with repairs can prove daunting. Not dealing with maintenance issues can lead to depreciation and problems can compound. Is it time for you to consider a property manager?

What exactly does a property manager do?

In essence the role is meant to protect your property, reduce and eliminate any potential liability and secure the most income possible from your property that the market will support. Your property manager would handle all of the day-to-day management and maintenance on your behalf. They also answer tenants’ queries, oversee maintenance quotes and manage tradespeople. When you have the right company and person looking after your investment, the experience should be worry-free. Handling any uncomfortable situations such as evictions and non-payment of rent, is a major benefit. They also market your property and ensure that you are receiving the most rental revenue possible. Most importantly, they vet tenants checking their ability to meet bond and rent requirements.

What do the fees include?

Not all companies offer the same services, but a typical package should look like the following:

• All costs related to finding the ideal tenant. This includes signage, print and digital advertising and also the letting fee.

• Online listings on the most high traffic sites in the industry such as realestate.co.nz, Barfoot.co.nz and Trademe.co.nz

• Tenant selection and vetting processes including interviews, reference and credit checks

• Regular routine inspections with a full report including photos

• Monthly and annual financial reports

• All Department of Building and Housing documentation and legislative compliance guidance

• Representation at Tribunal hearings, if required

• Regular rent reviews and consultation.

Not all property management companies are created equal

It may surprise most people to know that the property management business is unregulated in New Zealand. This means that anyone can set up shop and begin to solicit clients to care for their properties. This often happens without the expertise and knowledge necessary to properly protect a landlord’s precious investment. It can also leave tenants with inadequate service and without even basic maintenance. It is clear that without proper vetting and regular inspections, the wrong tenants can damage your investment. It is critically important that the company you choose is one with a proven track record and a commitment to best practice. Ask for references and for information about their property portfolio so you can be sure that they are already handling comparable properties. Get a list of services and ask about their reporting schedule. Good communication will give you peace of mind.

Want to know more?

Barfoot & Thompson is the industry leader in the Auckland and Northland regions and now Tauranga for property management, with over 18,000 properties in our portfolio. We have an impeccable reputation and operate with the principles of honesty and transparency. Call us today for more information and for an obligation-free chat about all that we offer.

You can also visit Barfoot.co.nz/propertymanagement to find out more