A new standard in property management

Two years ago, Zac Snelling set out on a mission to investigate the problems within property management in New Zealand.

He pulled back the curtains to find out why almost 70 per cent of landlords in New Zealand choose to manage their own investment properties.

The head of property management for Ray White New Zealand said that his investigations revealed the good, the bad and the ugly.

“Ray White New Zealand is one of the biggest providers of property management services, collecting over $7 million in rent weekly across the country,” he said.

“Despite this huge portfolio we have, the vast majority of landlords in New Zealand self-manage, so both landlords and their tenants have no professional support to ensure things are being done correctly and obligations on both sides are being met.”

Zac said that on a personal note, this exploration has been one of the most challenging but rewarding tasks in his 17 years of working in the industry.

“I took a long hard honest look at the problems within our industry, and created tangible solutions that our network could work towards.”

Zac said there was also no regulation or qualifications required for property managers in New Zealand.

“While large real estate groups may have training and support available for property managers, there is nothing legislated by law which enforces a minimum standard.

“We’re responsible for the care of significant value in both people and property, yet no rules exist that acknowledge the importance of this responsibility,” Zac said.

Regulation and legislation for rentals is a hot topic at the moment, with the government’s Property Management Regulation Bill in the works and indicated as coming, but with no hard deadline or confirmation in place.

Ray White New Zealand decided to go ahead and ‘regulate’ themselves anyway.

“I knew that something had to be done for the greater good of our industry in New Zealand, and to be frank, the quality of life for our tenants, landlords and property managers themselves,” he said.

Over the past two years, Zac has been working on a three-pronged property management strategy, designed to lift-up the industry as a whole.

Education standards

Ensuring all of our property managers have the highest available qualifications are represented in every office (NZQA Level 4), and an in-depth understanding of legal framework and process.

Financial security

Dedicated client fund accounts to help protect customers’ income, independent financial reviews, and public indemnity insurance to safeguard both people and property.

Customer choice

Industry-exclusive new products allowing landlords to pick and choose the services they need and receive targeted support, such as; routine inspections, initial inspections, rent management and arrears support, casual letting and consulting.

“As a group we decided that we didn’t want to wait for the government to regulate our industry, and we want to deliver a product and service that our clients deserve, and should expect.”

“There will be 50 events in New Zealand in the month of May, to help update landlords on the changes that are happening right now. We will be re-introducing ourselves to them and explaining what we have done and why these changes are so important.

“Our offices are hosting these events to connect with and help educate the local community about the current legislation information we have at hand.” Zac said.