Every week we are contacted to provide rental appraisals on investment properties. Over time we've come to realise there is a question many investors wonder but rarely ask - "Why did you estimate lower rent than the other agency?".
We realise of course that when we are contacted by an investor to provide a rental appraisal, we are usually one of many agencies contacted with the same request at the same time. Unfortunately, an agency's response to a rental appraisal is a very one-dimensional way of assessing the value the agency they will bring in managing the investment. This has been covered separately in the article The 3 Criteria Most People Use To Select A Property Manager (And Why They're Flawed).
Newcastle Property Manager Reviews: Tips When Reading Rental Management Reviews For Newcastle Real Estate Agents
The marketing of many Newcastle real estate agencies can make them all seem much the same. "We'll always call you back", "We look after your property as if it's our own", "Number 1 Agent in XXXX Suburb", etc.
How do you separate the marketing promises from the actual service experience you are likely to receive from the real estate agent? If you have a family member, friend, or colleague who has direct experience with an agency, this is a good way to get a read on the agency's performance.
However, more likely you will need to read a number of real estate agent reviews. Here are some tips to ensure you make the most of your research.
Two years ago we wrote the article "Should I Use An Online Property Management Service Instead of Hiring A Property Manager?". In this post we spoke about one of the many online property management service providers offering very low fees, raising some food for thought around what may or may not be included within those low fee structures.
Now, two years later, there are even more options for investors to consider in the management of their property. In this article we revisit the potential pitfalls of selecting a very low cost or flat fee property management business.
When choosing a property manager, it can feel like everyone is offering much the same thing. The fees and charges between different options can make it hard to compare apples with apples.
Many investors resort to creating a spreadsheet, listing all the real estate agents they can find and recording the management fee, lease preparation fee, monthly admin fees, advertising fees, etc. for each. Some even work out the annual cost of using each agency, and whoever comes in cheapest "wins".
If this sounds even remotely like you, read on. In this article we cover the 3 criteria most people use to choose a property manager, and why these criteria are flawed.
So often, we meet with investors who have had a poor experience with another property manager. The tales are usually very similar, along the lines of "Our property manager used to be great, but then moved to another role and we're left with someone who doesn't seem to know what they're doing".
Our reaction to experiences like this used to be one of surprise. But negative experiences with property managers and real estate agents have become so common, bad experiences are considered normal by many working within and with the industry.
Now, the commonly-heard anecdotal negative experiences have been quantified by research, and there are 5 main areas which can be identified as reasons for poor property manager engagement and retention in the industry.
When meeting new landlords or tenants, we often receive comments such as "We hadn't heard of you before". This is understandable - our family-owned and run business is far from a household name, and that's fine with us!
But let's reflect on this. Does being a "name brand" in real estate really translate into superior service or reliability?
Investors of course want to minimise vacancy in their rental properties. However many investors tend to wish to hold out for a higher rental return rather than fill their property (and start receiving income!) more quickly.
In this post we'll run through a real example of the outcome of holding out for higher rent, based on a property in the Newcastle area which we had proposed to manage. Details of circumstances are contained in the text, but if you want to cut to the chase, you can scroll to the table at the end of the post.
Carnelian Property Management Newcastle NSW
We are a family-owned and run Newcastle real estate agent offering expert property management across Newcastle and Lake Macquarie.