Let us say that after much research you have selected a woman whom you believe to be competent, professional and experienced to manage your rental properties.
You got the appointment wrong last time by engaging someone that was good at presenting themselves, but had at the end of the day over promised and under delivered.
It all sounds good now though as you have a new agent, or is it?
You must remember that the single most important thing about engaging someone to manage your property is the ability to move them on and engage another if your experience with them dosen’t work out.
All too often the standard documentation produced by the Real Estate Industry for their members (i.e. the letting agents, and not you the investor), provides that 90 days notice must be given to terminate an appointment as an agent.
Recognise that you are free to shorten that period.
[sam id=32 codes=’true’] I have on many occasions reduced that period down to 14 days notice to terminate, or at worst, 30 days. I have never had a real estate agent push back on this point and at the end of the day they will accept a much reduced period if you are educated enough to know to state that in the Agreement.
If you hadn’t really thought about this issue before, but now find yourself reading this column and wondering how you can move on your letting agent rather than have to wait out a 90 day notice period.
The problem with waiting out this period is that a lot more damage can be done by the incompetent agent by the time their 90 day notice period runs out. How do you fix such a problem.
The answer is, with a cheque. At the end of the day you can terminate the arrangement earlier than say 90 days but it will trigger a claim by the agent for compensation for the lost commission for the 90 day period.
The claim will only usually run into hundreds of dollars and is small beer compared to the damage and loss that can occur if you leave the property with a negligent and incompetent letting agent.
So pay it and move on.
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