A Landlord’s Guide To Understand Property Management In NZ

November 15, 2022

As a landlord, you want the best return on investment for your Auckland property, but to make the most of it, you need solid management.

Harper Properties is an Auckland property manager with over 35 years of combined experience. With our local market knowledge, we’ll walk you through the basics of property management in New Zealand to help you better understand your options and what to expect.

Your Rental Property Management Options

When it comes to managing a rental property, investors have two main options: self-management or enlisting the help of a seasoned property manager.

1. Self-Managing Your Rental Property

Picture this: as the landlord, you wear all the hats – from screening tenants to fixing leaky faucets. Property management is a serious business, and you also need to stay compliant by following the rules and regulations, such those by:

Not following these rules could lead to hefty fines, so self-management means taking on the full spectrum of property responsibilities. This can be rewarding and time-consuming at the same time.

2. Engaging A Full-Time Property Manager

Now, imagine handing off those hats to a seasoned pro who lives and breathes property management. That’s where full-time property managers step in, handling the day-to-day tasks with finesse, leaving you with more time for what matters most.

What Do Property Managers Do?

How exactly can we, as property managers, make your life easier? The specific services offered by each property management company are different, but, in general, a property manager will help you in the following ways:

Find Better Tenants For You: Have you ever had to deal with a troublesome tenant? They’re stressful, frustrating and hard to get rid of. A nightmare tenant can bother you for years; how do you deal with them? Like many problems, the best way to handle a bad tenant is to avoid renting to them in the first place.

It can be difficult to determine who’s trustworthy and who’s not, just based on applications and basic information.

But, a good property management company will help you find more reliable tenants for your properties and reduce your vacancy rates. It’s reported that property managers can minimise vacancy rates by up to 50%.

Better Marketing: Sometimes, the most challenging part of getting renters is getting people to notice that your properties are available. Not many people have experience in professional advertising, but professional property managers do.

We know how to take good pictures and make appealing advertisements. Our property management services cover the highest level of marketing, from professional photos to boosted listings on TradeMe and Realestate.co.nz – at no extra cost!

Efficient Property Maintenance: Maintaining your investment is a big part of property management. Good, routine maintenance is a key factor in preventing big disasters. Skilled property managers know how to set up an efficient maintenance schedule to ensure your properties stay in good condition.

Set Reasonable Rental Rates: Coming up with a rent price that’s profitable and reasonable to your tenants is pretty tough. You’ll need to understand the current economy and the local market, what your properties are worth and so on.

A trained property manager like Harper Properties, who knows the Auckland market inside out, can look at all the facts and create a rent price that’s fair and profitable. Find out more about how property management fees work in Auckland.

Oversee Inspections: We’ll conduct regular inspections to ensure everything’s running smoothly, addressing issues before they become major problems. We’ll keep you in the loop with detailed reports.

Compliance: No fines on our watch! New Zealand’s real estate laws and regulations can be pretty complicated. As your property manager, we’ll provide legal and regulatory compliance to ensure your property follows all relevant laws and regulations and help you avoid fines.

Act as an Emergency Contact for Non-Resident Landlords: If you own a rental property in New Zealand and will be out of the country for more than 21 consecutive days, by law, you must appoint an agent who can act on your behalf. With Harper Properties as your manager, we’ll work on your behalf and be your reliable point of contact during your absence.

Reduce The Stress Of Managing Your Investment: When you combine all of the benefits listed above – and the countless ones not mentioned here – you can experience one of the best benefits; you’ll be less stressed and have peace of mind. On average, property managers can save owners 8 hours per month by taking care of all the nitty-gritty details.

Answers to Landlords’ Common Questions

How Often Should My House Be Inspected?

No more than once every 4 weeks is the maximum frequency of inspections allowed by Tenancy Services NZ. It’s important to respect your tenant’s right to quiet enjoyment of their home, which means not disrupting their comfort, peace, and privacy too often.

Tenancy Services have also set specific timeframes for inspections:

For rental properties: between 8 am and 7 pm
For boarding houses: Between 8 am and 6 pm

You also need to give a least 48 hours’ notice to the tenant before the inspection and not more than 14 days in advance. As your Auckland property manager, we’ll handle all inspections, so you don’t have to work around these restrictions.

Can a tenant refuse viewings in NZ?

Yes, under Tenancy Service laws, tenants can decline viewings by setting reasonable conditions. Landlords must have the tenant’s permission to show potential tenants around the property.

While tenants can’t unreasonably refuse, they can set conditions like specific viewing times. This protects their right to quiet enjoyment. As your property manager, we’ll work with both parties to find a viewing schedule that works for everyone.

What Is The Most Essential Attribute Of A Property Manager?

Communication, expertise in the local housing economy and experience are three of the biggest assets a property manager can offer. A good property manager will provide a hassle-free service that will maximise your ROI, and that’s hard to do when they’re not easy to communicate with and lack the necessary knowledge and experience of the local housing market.

Harper Properties has over 35 years of combined experience, and our team is made up of locals who know the Auckland market inside out. We understand the importance of proactive communication, and that’s why we’ll always keep you in the loop with detailed reports of inspections so any potential issues can be addressed swiftly. Don’t just take our word for it, listen to what our satisfied clients have to say!

⭐ ⭐ ⭐ ⭐ ⭐“Been with this agency for over 3 years and love the service and professionalism. Our rental property is in great hands. Excellent communication and detailed reports. Thank you so much to Harper Properties for the amazing work…” – April Irwin.

See 140+ five-star testimonials ➡️

How Much Will A Property Manager’s Help Cost?

Every company has its own different way of charging its clients, but in general, there are five main types of property management company fees: initial setup fees, tenant placement fees, monthly management fees, maintenance fees and additional charges.

Fixed price or flat fee monthly charges are the most common, and in Auckland, this would range between 6-10%. However, there could be additional costs like tenant screening fees and setup fees. We have a detailed cost-benefit analysis of property management fees in Auckland to help you compare all the costs involved.

Harper Properties has a simplified property management fee structure – we only charge $45 per inspection and a competitive 8.5% monthly rate. No letting fees, maintenance fees, or add-ons! Clear, fair, and hassle-free property management tailored to your needs.

Can A Property Manager Make Me Money?

At the end of the day, your bottom line matters most. Property managers play a significant role in maximising your ROI. With the ability to reduce vacancy rates by up to 50%, your property remains consistently occupied, ensuring a steady stream of income.

Moreover, landlords who enlist property managers report a substantial 15% increase in rental income. Hiring a property manager clearly boosts your profitability.

Key Takeaways On Property Management in Auckland

Choose between self-management or a property manager.
Self-management involves handling all tasks and compliance, which can be time-consuming.
Property managers streamline tasks, allowing landlords more time.
They secure reliable tenants, reduce vacancy rates by up to 50%, and employ effective marketing.
Property managers ensure timely maintenance, set profitable rental rates, and conduct regular inspections.
Compliance with laws prevents fines; they act as emergency contacts for non-resident landlords.
Clear communication, local expertise, and experience are what to look for in a property manager.
Fees include fixed monthly charges, which is 6%-10% on average for Auckland.

In short, property managers optimise your ROI, handling tasks efficiently and boosting profitability. As one of Auckland’s leading property management companies, Harper Properties is ready to help property owners just like you. Our friendly team of managers has many years of combined experience, and we’d love to use it to make your job – and life – better.

We do our absolute best to ensure you are completely satisfied with our services, and we’d be delighted to talk with you about how we can help. If you have any questions or want to start working with us today, you can easily reach us through our website or at 09 361 2810.