Are you wondering what fees you should be paying and what property managers do for their fees? Here is a simple guide to current property management fees in Perth.

The Perth rental market is hot property right now, after a global pandemic that kept us at home and a building boom that has struggled to keep up with demand, making rental returns the highest they’ve been in years.

Choosing to lease with a property management team is an important decision. Property managers can bring much to the table, from helping you maximise your return on investment to taking great care of your home and tenants (happy tenants = longer lease). So, what sort of fees for property management should you expect?

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Property management fees explained

Management Fees

The main fee you’ll pay throughout your property’s tenancy is the property management fee.

The property management fee is based on amounts received (your property’s rental income) and in Perth this ranges from 7-10%.

It’s the most important service you’ll invest in, as it’s this fee that ensures your property is properly cared for before, during and after its tenancy.

It covers services such as:

• collecting and processing of rent and other monies,
• pursuing late rent and other invoice payments,
• keeping you informed on relevant matters,
• liaising with tenants, and
• attending to routine issues including maintenance requirements.

Letting and leasing fees

The letting and leasing fee covers everything needed to secure a tenant for your property, and in Perth this is normally two weeks’ rent.

This fee includes:

• viewings with prospective tenants,
• processing of application forms and reference checks, and
• collection and lodgement of tenant bonds.

At Blackburne Property Management, we also include an orientation interview with your tenant to advise them of their rights and responsibilities, explain the lease in detail and sign all necessary paperwork. This ensures a smooth transition into and throughout your tenancy agreement.

Our dedicated leasing team will also work across the 7 days of the week, allowing for Saturday and Sunday home opens.

Property condition reports

The property condition report is a comprehensive report detailing the condition of the property prior to the tenant taking occupancy.

As the basis of bond disposal, its importance can’t be overstated. In cases where the retrieval of a bond is in dispute, this report is a powerful piece of court-submissible evidence.

In Perth, the fee for such a report ranges from $150–300. At Blackburne Property Management, we go beyond what is required by legislation and include extra detail in our reports as well as a significant number of photographs. All included in our fee.

Routine inspections

Regular and thorough routine inspections prevent minor issues from becoming big problems, and in Perth range from $60-100 per inspection.

At Blackburne Property Management, we carry out the first inspection 6-8 weeks after a tenant takes occupancy, to act as an early check for any issues a tenant may be experiencing or need to be issued a warning for. Following the first, our inspections are set at three-month intervals – to a maximum of four being conducted per year, as allowed by the Residential Tenancies Act.

Each inspection is an opportunity to check-in with the tenant and your property, and additional photographs are always taken of any property or maintenance issues.

Advertising

Advertising online is hands down the most successful way to advertise a vacant property and secure a tenant as quickly as possible.

Blackburne advertises on all of Perth’s major real estate websites, and each advertisement consists of property photographs and descriptions.

Fees to advertise in Perth vary from $100-300, however we may also recommend investing in premiere property advertising which will push your property to the top of internet searches for like-properties.

Final inspections

The final inspection is carried out against the initial property condition report and the ongoing reports and is necessary to determine if any damage has occurred or cleaning costs that need to be recovered. In Perth the fee varies from $150-300.

Our final inspection fee also covers updating the property condition report for the next tenant, so there is no need for you to pay an additional property condition report fee.

A great property management team can be the difference between not only a hassle-free leasing experience, but a remunerative one too. That’s why we suggest doing your research and considering not just each property managers’ fees, but the experience, stability and service of the team you choose.

Find out more about the Blackburne difference and our Premium Service Guarantee, and get in touch with our friendly team for a free rental appraisal for your property today.