Some questions you may have about Chic are answered below, for more information contact your friendly Chic representative:
How long do I have to commit to Chic Property Management managing my property… I just want to try you out?
At Chic there is no need to sign a year or longer contract. Unlike our competitors we are so confident you will be happy with our service you only need to commit to us for a month! Now that’s laying it on the line!
Furthermore we offer a Performance Guarantee so if you’re not entirely satisfied we’ll give you 30 days free property management services.
If you are in the unfortunate situation of being tied into a contract with a non-performing competitor, don’t despair, ask us about our investor rescue service* – we may be able to get you out of your contract at no extra cost to yourself. – Leave us to sort out the messy break up with your current supplier (*special conditions apply to the investor rescue service – ask your Chic Representative).
Why did the directors start Chic Property Management Ltd?
The founders of Chic started the business as a result of finding themselves self-managing a growing property portfolio the growth of which was being restricted mostly by the lack of a management company capable of providing consistent quality property management to the standard necessary for enduring investment success. Our Managing Director had commenced a career in Real Estate and believed local property management companies were just not doing the job in their client’s best interests. These companies appeared more interested in quantity (individuals often “managing” over 200 properties) than quality, which was likely restricting the financial growth of the individual property investor clients. Many property managers were salaried meaning a lack of direct financial accountability to clients for their actions or inactions.
The Chic directors felt it was the right time for an investor-centric property management company. While Real Estate Agents and Residential Tenancies are highly regulated property managers remain unregulated and service quality varies widely along with fees charged. Real Estate clients often ask for recommended property managers, so to fill the niche market of “doing property management properly” Chic was created.
What kind of properties can/do you manage?
Chic manages residential property of any configuration, however stand-alone homes, multi income flats and apartments are most common.
Where does the company operate?
Auckland. Chic is a constantly evolving company which is growing holistically in conjunction with our investor client’s needs, emerging improved technologies and systems which we implement enhance the quality of service through increased efficiencies. Our physical offices are based in Papakura to cover South and East Auckland, however as we are mobile and cloud computing technology based we can quickly respond to changing client needs in different rental markets, dependent on upskilling the right potential team members.
Feel free to call Chic now for a no obligation discussion regarding your specific needs.
How independent are you?
Chic Property Management Ltd is not currently a member of IPMA, REINZ, LPMNZ or any other industry group. Our focus is on providing a cost effective premium quality service for our property investor clients. Chic is independently owned and operated with no formal alignment with any franchise group, this minimises the fees we need to charge.
Our managing director is a long term member of Auckland Property Investors Association (APIA) under the umbrella of the New Zealand Property Investors Federation (NZPIF) and a member of the Real Estate Institute of New Zealand (REINZ) being a Licensed Salesperson under the Real Estate Agents Act 2008 and an associate of RE/MAX Countryside Citywide, Papakura, Auckland. Formed in 1974 RE/MAX are consistently rated the global Number 1 Real Estate Sales company with over 110,000 highly productive associates in over 110 countries at time of writing. So although we are independent, should you be considering selling a property we can point you in the right direction to maximise your return.
If you are truly independent how can I be assured of integrity and accountability?
Chic is a family owned company, director Roger Matheson is not only a licensed real estate salesperson under REAA 2008 currently operating his real estate sales business in conjunction with RE/MAX Countryside Citywide, but also has to abide by the REINZ Code of conduct for salespeople as a REINZ member. RE/MAX has no association with Chic Property Management Limited. Chic’s whole business model is based on superior accountability and putting service where it matters most for property investors.
There is no comprehensive authority for accountability in the Property Management Industry as it is unregulated. We have done our best to provide and charge for our services in such a way that Chic is more accountable than is normally experienced by industry clients, Chic’s independence is maintained, Chic’s integrity and transparency assured.
How experienced is Chic Property Management Ltd?
Our Individual team members will have varied experience in property management. As directors we have managed residential rental properties continuously since 2000. We have also been involved buying, holding, developing, financing and selling real estate so have a strong understanding of what buy and hold property investors require to be successful in all markets. We still control a multi-million dollar investment property portfolio. We walk the walk rather than just talk the talk.
Why should I use Chic over another company?
If you are not convinced already? Industry research shows the optimum number of properties to be managed in order to maintain service quality is around 80-100. Many property managers are expected to manage 200 properties or more. We have even heard of some individuals managing 400 plus properties. While this may be highly profitable for the companies involved it likely isn’t for their clients, the provision of quality service is the basis on which the Chic Property Management business model is founded. We limit team members to managing around 100 properties each. As the company grows new team members are added which creates a sustainable win/win for all parties involved. Chic’s company structure has been created on this basis.
Do you charge a letting fee?
Yes. The letting fee is an important part of our income used to offset some of the costs associated with finding, adequately screening, signing and establishing new tenancies. It is paid for by the tenant. The tenant is charged the equivalent of 1 week rent + GST. Some say the cost of a letting fee may put off a potential tenant, others believe it is a great way to make sure you are dealing with tenants who can afford to rent the home and are committed to the whole process. If they can’t afford the letting fee you have to wonder why? Our fees to owners would need to be higher without letting fees. It is important the property management company you choose is profitable, if they can’t mind their own money what makes you think they’ll be good at minding yours?
Why do you charge a service fee for maintenance?
We feel it is important we have the flexibility to manage any property. Poorly maintained properties cost everyone so in order that well maintained and presented properties are not subsidising others it is imperative that a modest fee be charged. We don’t believe there should be an incentive to bill the owner high maintenance costs, neither should there be a disincentive to maintaining a property in a reasonable state of repair so as to keep good long term tenants in place paying their hard earned rent to you. There are costs involved organising quotes, supervising repairs, checking work, billing and paying for repairs. You’ve probably heard the saying “a stitch in time saves 9” nowhere is it more so than with rental properties. (Some companies organise free maintenance up to a certain figure – providing an incentive for them to leave the job until it’s far bigger and potentially a lot more expensive to resolve.)
Who does maintenance and repairs on Chic managed properties and what are their qualifications?
Chic Property Management Ltd uses independent maintenance contractors on a case by case basis. While we have established good working relationships with trades people and companies we engage regularly we always try to have one or two backup contractors available in case they are booked out. We work with service companies that can provide prompt cost effective repairs of an appropriate quality standard to meet or exceed any government regulations. We only use contractors with the relevant qualifications for the work involved, insisting contractors hold public liability and/or contract works insurance. They must guarantee their workmanship and actively comply with HSWA:2015.
Other companies charge property inspection fees. How does Chic charge for inspections?
Most companies charge each time an inspection is completed. It is important for Chic to provide an efficient and cost effective service without making any compromise on service quality. Our reputation is our business. For this reason we provide move in/move out and new tenant inspections for free. If tenants play up, the necessary compliance rechecks are free to the property owner. When you sign up you choose your regular inspection package according to your preference. We charge for inspections automatically according to your chosen package which smooths your income. Regular inspection packages are charged at $2.50+GST per inspection per annum and applied per disbursement a maximum of 24 times in a year.
Are there any other fees?
Water rates, regional rates, council rates, specialist landlord insurance, home insurance, body corp payments, property inspections (entry/exit, new tenant 1 month check), tenancy mediation, tenancy tribunal preparation/attendance and insurance claim processing are all provided free of commissions and extra fees with the exception of awards for exemplary damages.
When seeking a new tenant we charge advertising costs and credit checks at our specially negotiated wholesale costs. Our costs are considerably lower than those dealing directly with the suppliers, including Trade Me advertising. Please check exact figures with your property manager.
How often will I be paid?
At Chic Property Management Ltd we believe waiting a month between rent pay-outs is too long. We pay your income to your bank account twice per month. In addition there is 24/7 internet access so you can check on the status of your rental portfolio online any time, so you are always able to stay informed wherever you are.
What about water?
All of your rental property water bills should be redirected to and paid by Chic, this keeps your end of year accounting simple, allows streamlined billing and recovery of the legally allowable cost from the tenant and allows us to monitor spikes in consumption for possible tenancy breaches or leaks.
How about rates?
Chic will pay your rates and deduct from your incoming rent at no extra charge.
How do Chic handle insurance?
Chic will pay and even assist in referring your insurance, deducting at cost from your rental income at no extra charge, even arranging monthly direct debits for RLINZ specialist landlord insurance. Chic can handle all claim processing on your behalf.
What is your usual management fee?
Our usual property management fee is a low 6.95% plus GST of all rent and other bills recoverable from the tenant deducted from each landlord pay-out. To check if you qualify contact your Chic representative.
Do you do management for fully furnished, room by room, boarding house or other specialty tenancies?
Yes, Chic can tailor a package to suit however the usual management fee will vary depending on requirements, however you would need to discuss each situation with your property manager. Please note all other fees remain at our usual low rates.
Do Chic do casual letting?
No. We believe investors engaging a company or companies to find a tenant are making a potentially expensive mistake. It’s like playing property investor Russian roulette and could end up the most expensive cost cutting mistake you ever make. What incentive is there for the letting agent to find you the best quality tenant? If they are not going to manage the tenant themselves there is little incentive to work in your best interests. We think a property management company should stand behind their tenant recommendation 100% this is why Chic will find you a tenant and manage them with no guarantee from you that you will continue with us beyond the first 30 days. We also guarantee our performance so if you are not entirely satisfied we will give you a free month’s property management service!
You choose…Russian Roulette or Chic Performance Guaranteed!