Getting rid of Property Manager

[Charms]

Hi everyone,
I am really getting annoyed with our current property manager. Maybe I am expecting too much, I don't know. We are first time investors (Oct 0 and just went with this guy as he was also the agent that sold the house to us.
Within weeks of that, I was already unhappy with his general attitude etc. Lots of other things were going on at the time, so I just left it be. But recently, he hasn't even got the courtesy to return my phone calls.
I want to change PM but not sure what the implications are. ie, the current tenants have signed a FTC with his agency etc. If I give PM two weeks notice to cease using his services, what do I do with regards to the tenants having signed up with him? Also not sure if maybe the next agent will be just as bad, what do I need to be asking them and will they take care of the "cross over" paperwork between letting agencies?
All advise would be greatly appreciated.
Thanks

[CJ]

I think you will need to give more than 2 weeks notice to your agent (it will be in the contract). As far as changing, it should be no issue. The new agent should do all the paperwork to get it transfered over (unless there are existing issues to be fixed in which case they might not be happy or ask for extra payment).

[Avalon]

Give Shayne a ring at Lambton Property 04 499 5512. Excellent property manager who is also an investor himself and has a great staff as well. Thye look after you and also look after your tenants. He will also be able to advise you on what you need to do for a smooth hand over.

[Monkeyboy]

Our agent charges $750 if we break the contract inside 12 months. So check your contract.

[Green Fish]

Charms: The tenancy agreement is not with the PM's agency. It's with you.

Why do you want to change PMs? - ie, why do you have to have a PM? Do it yourself. It's not that hard.

And if it is, in fact, that hard, then why buy a rental in the first place?

[SuperDad]

Check your property management authority.

How much notice do you need to give to terminate the authority?

[BusyLizzy]

Why do you want to change PMs? - ie, why do you have to have a PM? Do it yourself. It's not that hard.

And if it is, in fact, that hard, then why buy a rental in the first place?

There could be lots of reasons why, GF. Maybe they live in another town and prefer to have someone nearby to keep a closer eye on it. Or maybe they want the investment but recognise that they do not have the skills that are required to be a good property manager. Or maybe they have a job that prevents them from being available for PM duties when required. Or maybe they prefer to be a 'professional' investor rather than a 'landlord. Or......

No, it's not that hard. Until you get a problematic tenant. Then it can be an expensive nightmare especially if you aren't experienced in dealing with tenancy issues.

Personally, I found it an invaluable experience to manage my properties (in spite of the expensive nightmares). But my situation has changed so now I some of the properties managed. I don't think that means that I should get out of PI though.

[Wayne]

Charms: The tenancy agreement is not with the PM's agency. It's with you.

Why do you want to change PMs? - ie, why do you have to have a PM? Do it yourself. It's not that hard.

And if it is, in fact, that hard, then why buy a rental in the first place?

Why buy a rental if you don't want to be a landlord? Not everyone wants to be a landlord! Many people are happy to be a property investor without the potential issues of managing the tenant.

[Charms]

Thanks everyone for your replies. As Lisa and Wayne says, we don't feel we have the skills, expertise or the time ( we both work) to be PM. All this is very new to us and we didn't want to "get it wrong" with regards to legalities and other issues of being a landlord. I am going to check the contract we signed with the PM to see how much notice we need to give. Does anyone know of a good PM in Upper Hutt?

[Avalon]

Does anyone know of a good PM in Upper Hutt?

Just a thought but you could try: Shayne at Lambton Property 04 499 5512.

[Puff]

Just check you PM authority. it will have on there how much notice is required, it usually has that either party (you or them) can give notice, usually anywhere between 42 days and 3 months. But if they are fair like us and you ask nicely you should be able to be released earlier if they agree.

Mark
[email protected]
Blenheim

[SuperDad]

Most PMAs will have a clause to the effect that if you instruct the tenant to pay rent to you directly, then the management company will treat that as grounds for immediately terminating the contract.

Just look out for fishhooks.

[Wayne]

Just check you PM authority. it will have on there how much notice is required, it usually has that either party (you or them) can give notice, usually anywhere between 42 days and 3 months. But if they are fair like us and you ask nicely you should be able to be released earlier if they agree.

Mark
[email protected]
Blenheim

if they were nice like you they wouldn't need to move

[Puff]

Good point Wayne!!