
Property Management
Do I really need to use a property manager?
In this article, you’ll get an unbiased view of the reasons to use a property manager and the reasons not to use a property manager.
Property Investment
6 min read
Author: Tiffany Bracey
Property Manager Team Leader at Opes Property Management Auckland.
Reviewed by: Jess Knight
Business Development Manager with over 3 years of experience in Property Management in Auckland.
Hiring a property manager should take stress off your plate.
They’re meant to handle the tenants, rent, and repairs so you don’t have to.
But when things don’t go well, a property manager can end up creating more stress, not less.
And while many property managers are excellent, in reality … some aren’t.
I see this myself as a leasing agent at Opes Property Management.
That’s why in this article, you’ll learn the most common problems landlords run into with property managers. And most importantly, how to fix them.
The biggest problem is that they sometimes choose the wrong tenant
Get this wrong, and your tenant might not pay rent. They might damage the property. Or, they might just deliver headache after headache.
And the real issue with this? Some managers cut corners.
Maybe they:
That’s how you end up with a tenant who looks good on paper … but turns into a nightmare once they move in.
Make sure you ask your property manager: “What is your vetting process? And what checks will you do on the tenant?”
Here’s the types of things you should expect to hear:
At Opes Property Management, we use tools like Centrix and Equifax to check tenant’s credit scores.
Now, a poor credit score doesn’t mean the tenant always gets rejected. It depends on:
But then a good property manager should tell you about those credit defaults. That way you can make an informed decision. That’s my process with landlords.
Go to any property manager’s website and you’ll see the promise: “We’ll treat your property like it’s our own.”
But let’s be real … that’s not always true.
Some landlords are incredibly detail-oriented. So they check every little thing about the property every month.
Whereas a property manager will usually inspect your property every 3 months.
And while many investors agree that checking every physical detail of the property is overkill … some landlords prefer that hands-on DIY approach.
But in other cases the property manager might not be as detail-focused as you’d like them to be.
Sure, the basics get done. The rent gets collected (and checked). But the little things? They can start to slip.
It’s usually not down to laziness. It’s capacity. Some property managers manage 150+ properties. So they simply don’t have time to treat your property with the same care you would.
Make sure you ask your property manager: “How many properties do you manage?”
Anywhere from 100 – 130 properties per property manager is standard.
For instance, at Opes Property Management we target 110.
We find that after you go above 130 properties per manager … the standards start to slip.
Like in any profession, there are brilliant property managers … and there are bad ones.
A poor property manager might:
That’s when landlords think: “I could’ve done this better myself.”
Which defeats the entire point of paying someone else to manage your property.
When looking for property managers don’t forget to ask: “Can I see a sample inspection report?"
And ask: “What sort of updates can I expect?”
You’re listening for an answer that makes you think: “they have a set process in place.”
Just to give you an example, at Opes we send weekly “Owner Updates”. That’s when you’re looking for a new tenant. This includes:
You should also expect:
If you’re not getting this stuff, your manager isn’t doing their job properly.
Property investors often say the thing that frustrates them most isn’t the actual problem – it’s not being told about it.
I’ve seen times where:
This lack of communication creates unnecessary stress.
You shouldn’t have to chase your property manager for updates, they should be keeping you in the loop. That’s what you’re paying for.
You can (and should) ask your property manager: “What systems do you use to make sure everything happens at the right time?”
They should have a software (like Palace or Property Tree) to make sure they are keeping on top of everything.
And ideally your updates and rental statements will be sent from a system so that the i’s are dotted and the t’s crossed.
A good property manager balances keeping tenants happy while protecting your investment.
But sometimes managers lean too far towards tenants, even at your expense.
For example:
Yes, happy tenants are important. But ultimately, the property manager is working for you, the investor.
There isn’t an easy way to figure this one out in advance.
Of course, you could ask your property manager how they balance your needs and the tenant’s needs. But some people can talk-the-talk. But can’t walk-the-walk.
So this is one to keep a constant watch out for.
Using a property management doesn’t guarantee that all your property investment stress goes away.
Choosing the wrong manager can mean higher costs and unnecessary risk.
So before you sign on, ask the tough questions:
The right property manager will have clear, confident answers. The wrong one will leave you with vague promises.
And if you get this decision right, you’ll protect your property and your peace of mind too.
And if you are looking for a new property manager, check out our team at Opes Property Management.
Property Manager Team Leader at Opes Property Management Auckland.
Tiffany is an experienced property manager who understands the importance of strong systems to deliver top-tier service. She is committed to staying ahead of the ever-changing compliance requirements under the Residential Tenancies Act 1986.