Vacancy and Arrears are generally a procedure where most business owners have focused their property management department. These statics can normally form part of the KPI’s of a property management and are continually reviewed.
Why is maintaining arrears and vacancies so important?
Very simply, if you have a property that is vacant or you have arrears (money outstanding for rent), you are not earning an income towards your business and also the landlord is not earning and income and therefore could become extremely unhappy and look to leave the agency.
Your business income (management fees) is calculated based on the rent that you collect into your business. A landlord’s income is reliant on the rent collected for the property.
It is important to keep arrears to a minimum and hopefully to a zero and ensure that you quickly tenant a vacant management.