Property Management Services

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1 Property Management Services Photograph by Statik Illusions

2 Welcome Thank you very much for the opportunity to provide you information on why you should select House Estate Agents to lease and manage your property for you. Residential property management in real estate has become highly competitive over recent years and we have no doubt you will find another agent who will offer to let and manage your investment for a very low fee. They can afford to do that as they usually do not specialise in property management, but merely see it as an adjunct to their sales income. Sales continue to be the most important area for the majority of real estate companies. Professional residential property management is a totally separate and highly skilled area of real estate that demands well qualified and experienced personnel plus an effective and systemised approach to management. effective letting and management to maximise our clients investment returns. And that s what it s all about - maximising investment opportunities. Below, is some literature for your perusal which describes our services in detail. We would very much like the opportunity to demonstrate to you the benefits of using House Estate Agents as your leasing and managing agent. We firmly believe that no other estate agent can provide you with the quality and consistency of service that has built our reputation for excellence in property management. Assuring you of our prompt attention and the very best service at all times. House Estate Agents Property Management Division has developed cutting edge property management systems and procedures that ensure

3 Meet our Property Managers Vicky Glass Shannon Ross Erin Burrows Vicky owned a successful small local business for 25 years prior to joining the House Estate Agent as a property manager. The business focussed on manufacturing furniture and interior decorating. It was here Vicky gained many skills in small business management, customer relations, bookkeeping, and marketing. A hairdresser by trade, Vicky loves talking to people. With a family history in real estate sales and property development, and over the years has invested in real estate herself. Vicky also owns a commercial property, giving her real insight. As a landlord herself she realises how important it is to ensure her clients are also getting the maximum returns on their properties. Vicky places an importance on keeping in regular contact with her property owners and keeping them informed. Above all, she has a passion for the real estate industry and the variety her role as property manager brings each day. Shannon is a member of our dynamic Property Management team here at House Estate Agents. It s hard to believe that Shannon has only been in Property Management for a short time as her grasp of the principles and philosophies of real estate and property management has resulted in her being ranked along side Property Managers who have been in the industry for years. Originally from Jericho, a small town located 492 km West of Rockhampton, she has grown up with the values of kindness and consideration, and a down-to-earth personality that small towns are renown for. As Shannon is a tenant herself, she is able to relate to the concerns of both the tenants and landlords, allowing for a harmonious relationship between the two. Recognised for her kind and warm disposition, her meticulous and professional work manner and her ability to get things done, Shannon will continue to remain a very welcomed addition to our office. Erin has achieved a lot since she began with House Estate Agents at the end of 2013, where she started in the Sales Administration role and has progressed to the role of Property Management Assistant. Her responsibilities include processing tenancy applications, preparing leasing documents, property showing management, client liaison and various administrative duties. Erin has embarked on a Property Management Traineeship and is very excited about her future in the real estate industry, as are the team at House Estate Agents. Call Erin today with any of your Property Management enquiries, she s ready to help.

4 Choose the right agent At House Estate Agents, we realize the importance of appointing the right agent. We value your business and opinions. A guaranteed partnership with House Estate Agents You should expect... Open Communication The highest rental price possible Local expertise Reliable and substantial advice

5 Guaranteed partnership Our service guarantee ensures that House Estate Agents will: Should we fail to deliver on any of the above items, we will: Expose your property to our qualified tenant prospects. Interview all prospective tenants and check references. Sign and execute Leases on your behalf and lodge rental bonds for your security. Collect rental payments on your behalf and ensure correct receipting procedure. Provide monthly statements of income and expenditure and disburse monies as per your instructions. Complete written inspection reports on your property at commencement and completion of tenancy. Carry out regular inspections of your property and provide you with a written report for budget and planning purposes. Arrange quotes and repairs on your property, as per your instructions, and pay accounts from rents collected. Carry out regular rent reviews to ensure your property remains competitive in the market. Regularly review our approved trades people to ensure quality of work and competitive rates Terminate our Agency Agreement Refund the last 3 months management fees Provide guidance on conveyancing, legal and financial services

6 Management services We ensure our staff are continually updated on current legislation and industry practices. Letting Service: Rent Collection: Management and Maintenance: Initial Listing Inspection and Appraisal Photographs for our webpage and rental list Thorough background and reference checks of tenant and completion of a TICA Tenant History check. Preparation of REIQ Tenancy Agreement and associated documentation Collection of bond and lodgement to RTA. Setting up accounts for yourself and the tenant Collection and receipting of Rents Monitoring of payment we track arrears on a daily basis and at any given day know exactly when your tenants rent is paid to Taking prompt action should arrears occur (as per RTA guidelines) Hassle free banking. Simply nominate your bank (or loan) account and we do the banking for you. Either monthly or fortnightly Every deposit into your account is accompanied by a statement outlining all income and expenses for that period A detailed end of year financial statement is and posted to you Tenancy Renewals Regular quarterly inspections with a written report detailing the condition of the property every time one of these are completed Handling tenant requests and complaints Keeping owners informed. We guarantee to keep in contact with you regarding any positive or negative matters concerning your property We arrange and supervise necessary quotes and repairs We ensure all work is completed by competent, reliable and registered trades people We arrange payment of all accounts approved by you from your rent monies

7 Services in detail Tenant Selection We draw applicants through a number of initiatives: For Rent signage on your property A comprehensive rental list in our office and our Window Display Our presence on the internet, including our company web site, and a host of other web sites also. Our reputation and strong community relationship Following a guided inspection of your property (we do not hand out keys) all applicants must complete a Tenancy Application Form including details of previous rental history, current employment, 100 points of identification, current circumstances and other personal details about their family, etc. We check all applicants with the Tenancy Information Centre of Australia (T.I.C.A) for any previous defaults and their referees are phoned / faxed. Whilst reference checks cannot guarantee a good tenant, they do assist us to discover habitual defaulters. Selection Criteria includes the following: Positive identification TICA Clearance Tenant History Suitability to a particular property Ability to Pay The greatest care is taken to ensure that the most suited tenant is matched to your property. Whilst we are unable to discriminate against race, religion, marital status, gender, etc. We cannot predict what may happen in tenants lives during the tenancy. There may be occasions when your tenant falls into arrears with rent. Whilst this is monitored regularly, we recommend to those owners with properties mortgaged that a minimum of two weeks rent be kept in their account as a safety measure to ensure that mortgage payments can be met. We also recommend Landlord Protection Insurance for added peace of mind.

8 Services in detail Repairs and Maintenance There will be times when general repairs and maintenance are required. Items such as tap washers, stove elements (even light bulbs) are the responsibility of the owner to replace although the tenant does have a responsibility to care for your property and not cause excessive wear and tear. We are very conscious of recent court decisions against owners and their managing agents wherein negligence has been proven for failure to carry out repairs. Where this failure has resulted in the death or disability of a person entering the property, large sums have been awarded by way of compensation. Should you choose to carry out your own repairs, it is necessary to disclose your name and telephone number on the tenancy agreement in the event the tenant needs to report maintenance after hours. You can elect to be consulted on all necessary repairs prior to any work being carried out or you can give us the authority to carry out routine maintenance / repairs up to an amount specified by you. Minor and major renovations can be quoted on, and supervised by us, with as much or as little involvement by you as you wish. To minimize the risk of this, we engage only professional tradesmen who carry Public Liability Insurance. We are happy to use tradesmen of your choice, if preferred, provided they have similar insurance.

9 Services in detail The Tenancy Agreement and Bond The tenants must sign an RTA General Tenancies Agreement, setting out the specific terms of the tenancy. They will receive a copy of the essential terms and conditions to the agreement, along with the RTA Information Booklet (in accordance with the Residential Tenancies Act 1994). As your agent, we shall sign the General Tenancies Agreement on your behalf and forward a copy to you for your records. We shall inspect the property and complete a comprehensive Condition Report, which is signed by both parties. The maximum bond we are permitted to charge is an amount equivalent to Four (4) weeks rent, which will be collected from the tenants, along with the first two weeks rent, prior to handing over keys. The bond will then be lodged by us with the RTA (Residential Tenancies Authority). Payments to the Owner Options for payment of rent collected are: Deposited into your nominated bank account as cleared funds Paid by way of trust account cheque directly to you Paid monthly and / or fortnightly Outgoings and Expenses All expenses relating to your property can be paid by us directly from rent proceeds, as instructed by you. These expenses include: Invoices for repairs and maintenance Council rates and water usage Body Corporate Fees Insurance

10 Services in detail Inspections We conduct routine inspections every three months on the property, which you are more than welcome to attend. This ensures that the property is being looked after and any maintenance issues are kept up to date. A written report is sent to you for your records to keep you aware of the state of your property. Rent Increases The rental value of your property is reviewed on each inspection. The increases are based on current market values and normally take place upon lease renewal. When ever the rent is to be increased, we will firstly discuss our recommendations with you to ensure that we are acting in your best interests at all times Financial Year Statement At the completion of each financial year, you will receive a Property Management Statement for the full 12-month period, itemizing all income and expenditure and summarizing all transactions. Rental Arrears This does not occur often, but when it does, do you know the laws relating to tenant eviction? Don t worry, we do! We review rental arrears daily and always act swiftly to protect your home and keep your investment safe. Property Management Statements Each month you will receive a statement itemizing all income and expenditure, payments to you, and a summary of transactions. Any invoices or receipts for expenditure will be attached for your records.

11 Our fees and charges Our fees and charges for such a high level of property management service are as follows: Total Management Fee: Letting Fee: Negotiation/Renewal Fee: Administration/Petties: Bank fees/charges: 8% of weekly rent + GST Equivalent to one weeks rent + GST No cost No Cost No Cost

12 You can t sell a secret Internet: The internet has become a must have tool for all. By using House Estate Agents we are able to create maximum exposure through access to numerous industry websites. The list of these is always growing. Internet Strategy Our fresh new look website is user friendly. The website is updated daily and enquiries are responded to promptly. Local Presence: A local office in your suburb or immediate area. House Estate Agents is located in the Toowoomba CBD precinct which provides for maximum property exposure. Local knowledge and understanding of the local market gives you an immediate advantage when it comes to promoting and maximising the features, benefits and advantages of your home and suburb. Shop Front Window: Nothing beats the ability to showcase your property 24 hrs a day in the window of the local office. Tenants looking to move into your area will visit to get a feel for the area and will always check the agents to see what properties are available. Once uploaded to our company web site your property will be automatically listed on realestate.com.au, domain. com.au, homehound.com.au, myhome.com.au, rentfind.com.au plus many more. All House Estate Agents properties are placed overnight to ensure maximum exposure, and are allocated search priority in their web position.

13 Preparing your property for lease Provide your property in the state of cleanliness and repair that you expect the tenants to maintain and return the property in. Your valuable asset requires an ongoing commitment by you. To maintain the competitive position of your property in the market: Maintenance: Where possible a percentage of the rental income should be set aside to cover anticipated future maintenance requirements, e.g. Painting, renovations, new carpets etc. Gardening: If there is substantial lawn area the owner may consider supplying a gardener to mow and edge the lawns on an as needed basis. Gutters: The gutters should be cleared prior to letting the property and then once or twice each year. Pruning: Trees and shrubs should be pruned at least once a year, particularly prior to winter if there are any large trees close to the house. Y N Is the stove (especially the grill, oven, drip-trays and behind the stove), clean? Have the exhaust fans been removed and cleaned? Have air-vents been dusted? Have venetian blinds been taken down and washed thoroughly? Have windows and window sills been cleaned thoroughly? Have all cupboards been cleaned, in and out and all personal items removed? If carpet is marked and stained, has it been shampooed? Have all light fittings been cleaned? Have all floors, walls and all skirting boards been washed? Have the curtains been washed and dry-cleaned (whichever is applicable for the fabric)? Have cobwebs been removed? Has the bathroom been thoroughly cleaned? Have the toilet, bathroom cabinet and shower recess (including the grouting, shower screen and shower curtain) been left spotless? Have the furniture and upholstery been left clena? Have the lawns been mowed and the edges trimmed? Have the gardens been weeded? Has any rubbish been left in the garden? Are the driveways, carport and all concrete areas free from oil stains? Are all items on the inventory (if furnished) accounted for? Appliances: Instructions on the use of appliances and any valid warranty details should be supplied to the agent and communicated to the tenant, to ensure correct usage.

14 Three elements that make a tenancy agreement When letting your investment property it s important to secure a lease that will not only maximise the return but also underpin the security of your investment. There are essentially three elements of making a good lease. 1. Quality Tenant 2. Lease Period 3. Achievable Rent Always number one on any list, is quality. Everything will fall into place once the quality of something (in this case a tenant) is established. To ensure a good tenant is found and subsequently selected, it s critical for your property manager to thoroughly check references before passing on the final selection duties to yourself. Written references are fast becoming a requirement for this process and you should consider those applicants above all else, it proves these applicants are above all else, organised and considerate of not only a property managers time, but yours as well. If, in the case of the prospective tenants being young or void of a rental history, a co-signature (like a parent) adds to the security of the lease. In this age of short attention spans (are you still reading?) finding someone willing to lease a property for 12-months or more is a god-send. A tenant that suggests a lease period of 12-months or more should be considered over anyone else. Longer term tenants make for a solid lease, as much of the wear and tear on a property comes during the process of moving in and out. You ll also avoid the changeover costs of new tenancies like the letting fee, advertising costs, lease preparation fees and the loss of rent that can occur between the end date of the old tenant and the start date of the new one. If your concerned about achieving market-rate rent at all times, get your property manager to work 6-monthly rental increases into the tenancy agreement. In theory all parties (except for the tenant) want maximum dollar for the asset. This is eminently achievable in markets with very low vacancy rates where there is active competition for the property between prospective tenants. Rent flexibility is common in markets where demand for rental properties is lower but the key to maximising the yield lies in ensuring regular rent reviews with minimum escalation clauses. Offering the property in a cosmetically attractive fashion is also important in ensuring top dollar for rent. Considering each of the three above elements before the letting process begins should ensure a positive outcome.

15 Let s get to work Where do you go from here? To start with, we need to agree on a rental listing price, and then sign an agency agreement. Time to get your home prepared for marketing. Once all of the above is taken care of, we do all the hard work for you. Office Location 430 Ruthven Street Toowoomba Queensland 4350 Office Hours 8.30am pm Monday to Friday 8.30am pm Saturday Please note that we are closed on public and regional holidays. Contact Us Phone: Fax: Website:

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