A property managing agent is a person or a specialist company that is appointed by the freeholder, the landlord, right to manage company or the residents’ management company (RMC) of a property to manage that property on their behalf.
Property management activities associated with the management of a block of flats are referred to as block property management.
Once appointed, it is the responsibility of the managing agent to manage the property in accordance with the specified terms of the lease. However, a property management company is only an agent the entity that has legal responsibility for the management of the property in question.
What does a property management company do?
A property managing agent can provide a wide range of services, from managing the day-to-day running and maintenance of a property and collecting ground rent and service charge payments to dealing with matters such as legalities regarding the lease on your behalf.
While the specific responsibilities of a property management company will depend on both the management company itself and the property – or properties – being managed, overall accountabilities are likely to include:
- Overseeing general maintenance and upkeep
- Arranging and overseeing any repairs
- Collecting payments from tenants such as service charges and rents
- Arranging the appropriate insurance cover for the building
- Providing information on the latest health and safety / fire regulations
- Inspecting the property periodically
- Dealing with legal aspects of the leases or transfers.
Do I need to use a property managing agent?
Circumstances and the size of your property portfolio will determine whether you choose to manage the properties yourself, or alternatively instruct a specialist property management company to manage them for you.
If the development is small you may wish to manage it yourself, whereas if you own many properties, you may be unable to manage the upkeep on your own. The financial and legal aspects of managing a property are also often best left to a specialist property management company.
A property managing agent can provide you with a wide range of services designed to simplify and streamline the property management process.
What should I look for in a property managing agent?
When you are looking to appoint a property managing agent you should first check their professional indemnity insurance, financial station and qualifications of staff to ensure they are sufficiently qualified. .
Recommendations and word of mouth are also important. Check with your contacts in the property industry to see which company they use and if they are happy with the service they receive.
How much does a property managing agent cost?
The amount you will need to pay a property managing agent will depend on the management services you wish them to undertake.
Usually a managing agent will charge a fixed fee per flat / house to manage the development, and then an element of additional services like overseeing major works.
A typical property managing company in London or further afield will offer a variety of services, so make sure you’re aware of their offering, their terms and what you are paying for before you instruct them.