In a city teeming with residential and commercial multi-unit complexes, so many opportunities have opened up for people seeking good investment. In-demand apartment complexes, holiday resort complexes, and townhouses and villa residences have been effective in driving tourists into the city to create an ever-growing and fertile real estate business.
For businesses to stay afloat, they need to have a team of people to maintain optimum property conditions and look after the daily operations. That is where the management rights industry has a role.
The property owners and developers saw the importance and inconvenience of having an individual in charge of the management and regulation of the day-to-day operation of the properties. As a result, the State Government legitimised this industry and provided formal and legal guidelines to protect owners, Bodies Corporate and Resident Unit Managers.
Traditionally, management rights include ownership of property in a community title scheme, a caretaking contact for the common property, and a letting authorisation of lots within the scheme.
Currently, there are several variations in the list above. Some management rights include caretaking or letting only; there’s no real estate ownership. Before committing to this type of investment, it’s vital that you understand what it is you’re buying and that you’re comfortable with the inclusions.
Management rights are often considered as the ultimate home-based business. So, why should you consider this venture into this kind of business?
You earn in two ways: by salary and commission
Salary
Being an on-manager entitles you to a monthly salary provided by the Body Corporate. One of your tasks is to maintain the common property, which includes gardens, pathways, tennis courts, and others. Your other assignments include ensuring that by-laws are followed and making a report on any matter related to the complex.
Commission
You can also serve as the letting agent for investor owners who want to rent out their units. By doing so, you secure qualified tenants, account for rent, and maintain the excellent condition of the units. That entitles you to not only a management fee but a commission fee as well.
You can also earn from cleaning charges and monthly statement fees. Managing tourist complexes can also entitle you to extra incomes from telephone and internet use, room services, linen clean and change services, and automobile service bookings.
You can easily qualify
You can qualify as a letting agent by acquiring the Restricted Letting Agent’s Licence. You only have to enrol in six subjects through a registered training organisation, like Property Training Queensland or Australian Property College. For your convenience, some of these training organisations offer online courses.
Ultimately, one of the most rewarding things about being a manager is you get to contribute to the caretaking sector of the real estate business and improve your local and national real estate economy.
One tip before you invest: shop around. See what’s out there to compare options on the market at the time you’re looking. If you’re in any doubt of what you see, get a valuation as part of the finance approval process. That guarantees that you’re not paying more than the indicated market value.
