Building an investment portfolio is no small achievement, it takes years of financial commitment and a savvy eye for market opportunities, not to mention a willingness to take calculated risks. However, you could be forgiven for questioning your decision to invest if you end up with a property manager who isn’t up to scratch or multiple managers across various agencies responsible for maintaining the ins and outs of your portfolio.
That’s why we’ve put together this list of the advantages you’ll enjoy when you consolidate your property portfolio with a single property manager, especially one who knows what they’re doing and prioritises your investment goals.
The advantages
Economies of scale
Having your portfolio spread out across multiple property managers means that you’re probably paying full-price fees to each agency. By consolidating your portfolio with a single property manager, you’ll benefit from economies of scale. This is because you’re providing a single agency with a higher volume of revenue-generating work but only one client that they need to liaise with while doing it. As such, a consolidated portfolio requires less administration time than managing multiple properties owned by multiple clients. This generally means a discount will be made available to the portfolio owner, both to recognise the reduced workload and their loyalty to the agency.
At Access PM, discounts are available if you choose to consolidate your investment portfolio with us. We also extend this discount to any of your family members who choose us to manage their investment property.
Enhanced efficiency
When you work with one property manager, you only need to explain how you like things done once, rather than educating multiple managers across different agencies and departments. This saves time and allows you to develop a strong working relationship with your manager, who’ll develop a holistic understanding of your circumstances and goals. With this knowledge, they’ll be well-equipped to help you build a unified investment strategy, identify compatible expansion opportunities, and reduce your investment risk.
When you consolidate your portfolio with Access PM, we adopt an end-to-end approach that sees your portfolio managed by a single trusted and professional property manager who knows how you like things done. By leveraging their skills and experience, your manager will help you work towards your investment goals while providing the kind of guidance that only a dedicated property manager can give. In Access PM, our team is also fully backed by our directors, Mark and Stacy, who are always available to talk about your investment needs and goals.
Consistent management
No one agency will operate in exactly the same way as any other. Different organisational structures, technological resources, and management software generally lead to inconsistent service offerings from one agency to the next. This can make things difficult when it comes to understanding the documentation and statements you receive from each of your property managers, especially when it comes to tax time or evaluating your ROI.
We understand that most investors don’t have the time or the inclination to learn how to read multiple statement formats or get to grips with the different processes employed across different agencies. Consolidating your portfolio with Access PM means that you can decide how you want your monthly and yearly statements formatted, including whether you would like individual statements for each property or a single statement that summarises your portfolio’s performance. This ensures that you can easily interpret your documents and are able to compare them over time without having to convert figures or undertake complex calculations.
Portfolio consolidation FAQs
What if I already have existing contracts with different property management agencies?
Choosing Access PM to manage your property portfolio means that you’ll enjoy a seamless handover process. We oversee the entire transition, from managing communications with your existing property manager to contacting your current tenants and updating them on the situation.
Are you looking for more information on switching property managers? We’ve prepared this simple guide that explains the process in more detail.
Will consolidating properties with one agency limit my flexibility or options?
No, it won’t. In pre-internet days, there was a logic to having your portfolio managed by separate agents if your properties were geographically dispersed and required a local touch to find the right tenant. However, this paradigm has now flipped – choosing a location-specific manager probably means they’ll already have a number of client properties in the area that they can show to prospective tenants. As such, rather than fighting for the right tenant for your property, they’ll be more inclined to respond to any hesitation by simply moving prospective tenants on to the next property in their local rotation until they lock in a lease.
At Access PM, we manage properties across the Perth CBD, metropolitan area, and outer-metro suburbs. We have no outsized presence in any one location, which means that finding the best tenants for our clients and their properties will always be our top priority.
Will consolidating properties with one agency result in higher management fees?
No, in fact, the opposite is much more common. This is because consolidating your portfolio allows you to benefit from economies of scale – it’s less expensive for an agency to manage multiple properties belonging to one client vs. multiple properties owned by different clients. As such, there is only one client relationship to maintain when managing their portfolio, which means more streamlined communications and a lower level of client administration.
On top of this, property management agencies will usually endeavour to reward loyalty, so they may also choose to offer discounts to clients with multiple properties under their management. At Access PM, we believe in this approach and extend this offer to our clients’ family members as well.
What if my investment isn’t based in South Perth?
Though our offices are headquartered in South Perth, this is by no means the only area that Access PM caters to. In fact, we manage more than 350 properties within a 20-kilometre radius of the city. This means we have a holistic knowledge of the Perth property market and can bring this experience and insight to managing your property.
Are you ready to consolidate your property portfolio with Access PM? Get in contact with us today or, if you’re already a client, simply email your property manager to get the ball rolling.
