After writing my post on Property Management Fees in Perth, WA, I thought I'll follow up with a calculator that has more detail and I think more complete than the calculator on Our Management Fee Benefits page.
It's taken me a bit of time to get something that I think will be useful. I wanted to make sure everything was clear and transparent with this calculator and I think its in a state where I feel comfortable sharing it with you. If you spot any errors let me know.
How to use the Property Management Fee Calculator:
Find your management agreement and enter the fees into the input (left) column below. This will automatically compare the fees you are paying to what you would pay if you switched to Box Property Management.
There are two scenarios:
New Tenancy (whether vacant property or changing of tenancy)
Tenancy Renewal
The calculator will tell you the actual fees you paid per year, the effective management rate per year and how much you would save for each of the two scenarios above if you switched to Box Property Management. i.e the Output (right) column.
Note: I have excluded the following fees from the calculator because they are either a once off fee or an optional fee:
Title Search Fee. This is $27.50 (as at 1st July 2018). This is the only way a property manager knows whether all the owners of the property has agreed to enter the management agreement. (Box Property Management does charge this for new clients)
Optional Photography Fee. Professional photography starts from $110 for~8 photos and can be over $200. (Normal photography is included at Box Property Management and allows for your property to be listed within 2-3 business days, whereas Professional Photography could takes 3-5 working days and mostly longer depending on the photographers availability. i.e. unnecessary vacancy for you)
Optional Premium Advertising Fee. This cost $165 (inc GST) instead of the standard Advertising Fee of $110 (inc GST) - i.e. $55 more if you want to get one of those feature listing. For the average/median house this is usually not necessary and depends on the supply of rental property in the suburb.
Optional For Rent/For Lease signs at the front of your property until property is leased. This cost $110 (inc GST) and is usually not necessary as majority of properties are leased within 2-3 weeks. Exceptions are when your property is in a high traffic location (i.e. main road) or if you own multiple units in the complex (i.e. it will take months to lease all the units out).
Court Attendance Fees. This cost $110/hour (inc GST) up to a maximum of 4 hours (i.e. $440 inc GST). Usually when things get to this stage, nobody wins. This is something Box Property Management work to avoid and can be largely mitigated via landlord insurance.
Centrelink Deposit Fee. $0.99 per deposit, this usually works out to be around $25.74 per year because Cetrelink payments are paid fortnightly. This gives landlord security of income as it comes directly from Centrelink where applicable and it is a fee worth paying if it applies to you.
I personally like this Property Management Fee Calculator more (I'm obviously biased since I created it), but Let me know if you prefer the one on the Property Management Fee page or this one in the comment below.
Property Management Fee Calculator