- Tags: Property Management
VIDEO TRANSCRIPT
Host: Tell us how do real estate offices usually measure arrears.
Dot: David, traditionally we have to adhere to the Residential Tenancies Act (RTA) so the RTA says that when a tenant is 8 days in arrears, we can issue the notices. So according to them, when they’re 8 days in arrears that means we can act.
Host: So how does First National Palm Beach handle this vital aspect, of managing properties?
Dot: We’re very proactive. We start at day 3 an SMS. Day 4 an SMS. By Day 5 – we’re on the phone; we want to know why the tenants can’t pay their rent.
Host: Still there must be some things you can point to?
Dot: Very proactive leasing. Having a large pool of applicants to choose from. Really scrutinising those applications very, very well. As I said last month we took 71 applications and only accepted 23 tenants. So that’s a fairly large ratio of applications to accepted tenancies. Also keep in mind the 80/20 rule. Traditionally you’ll have 80% of your problems with 20% of your tenants. So if you can manage that 20% and make sure that your tenant quality selection is good, then you can usually manage your arrears very well.
Host: So there you have it, First National Palm Beach’s point of difference. by Dot Hamilton
Best Practice in Arrears Management
palmbeachfn.com.au August 2016 First National Palm Beach 15 Palm Beach Ave Palm Beach, Queensland 4221
Phone:
07 5559 9600