Property Management Fees in Queensland: What You Pay For and What to Ask

Property management fees in Queensland are not set by law. Each agency decides its own, writes them into the appointment form you sign, and they are negotiable before you sign it. The fee schedule usually has several lines, not one, and the differences between agencies sit as much in what is included as in the headline figure. This guide explains each line, why they vary, and what to ask before you appoint anyone.

The fees you will see on a management agreement

Most Queensland agencies charge some combination of the following. An agency may bundle several into one figure or list each separately.

• Management fee. The ongoing fee for managing the tenancy, usually charged as a share of the rent collected. It covers the day-to-day work: rent collection, communication with the tenant, arranging repairs and keeping the tenancy compliant.
• Letting fee. A one-off fee each time a new tenant is found: advertising the property, showing it, processing applications and preparing the tenancy agreement and entry condition report.
• Lease renewal fee. Charged when an existing tenant signs a new fixed term.
• Advertising and marketing. Photography and listing costs, sometimes included in the letting fee and sometimes charged at cost.
• Routine inspection fee. Some agencies charge per inspection; others include inspections in the management fee.
• Administration or sundries. A monthly amount for statements, postage and software.
• Tribunal attendance. Charged if the agency represents you at QCAT, the Queensland Civil and Administrative Tribunal.
• End of financial year statement. A fee for the annual income and expense summary your accountant uses.

None of these is unusual on its own. What matters is that every line is written down, that you know which ones are included in the management fee, and that the service matches what you are paying for.

What the management fee usually covers

The management fee is the one you pay every month, so it is worth knowing what sits inside it. At most agencies it covers collecting the rent and paying it to you, chasing arrears, taking the tenant’s calls and emails, arranging repairs and maintenance, routine inspections and their reports, rent reviews, and keeping the tenancy within the Residential Tenancies and Rooming Accommodation Act. Where an agency charges separately for inspections, statements or rent reviews, the management fee is doing less than it looks.

Why fees vary between agencies

Two agencies can quote the same headline figure and deliver very different services. The differences usually come down to four things.

• How many properties each property manager looks after. A manager with a large portfolio has less time per property, which shows up in slower responses and longer vacancies.
• What is bundled. An agency that includes inspections, statements and rent reviews in its management fee is cheaper than one that charges for each, even at a higher headline figure.
• How often the property is inspected and how thoroughly. Inspection frequency and the quality of the report decide how early problems are found.
• How repairs are handled. Whether the agency spends your money without asking, and whether it uses trades it has vetted, affects what you pay well beyond the fee.

The cheapest fee is rarely the cheapest outcome. A week of extra vacancy or a month of unchased arrears costs more than the difference between two management fees.

How fees are agreed in Queensland

Before an agency can act for you, you sign an appointment form, the Form 6, which sets out the services the agency will provide and the fees, charges and commission it will receive. Read the fee section before you sign, ask about anything not listed, and check whether figures are shown with or without GST. The Queensland Office of Fair Trading publishes guidance for property owners on appointing an agent; if you are unsure about any term, ask the agency to explain it in writing or seek your own advice.

Questions to ask before you appoint an agency

1. Which fees are included in the management fee, and which are charged separately?
2. How often will my property be inspected, and will I receive a report with photos each time?
3. What happens on the first day rent is late, and what happens after that?
4. Will any money be spent on repairs without my approval, and if so, up to what point?
5. How many properties does my property manager look after?
6. Who do I speak to if my property manager is away or leaves?
7. Can I see my statements, inspection reports and repair jobs online whenever I want?
8. If I move from another agency, who handles the changeover with my current agent?

An agency that answers these clearly, in writing, is an agency that has thought about the work. Vague answers on fees usually mean vague answers on service.

How Your Property Team approaches fees

Our fees are set out in full in your appointment before we start, with nothing added later. What they include is the same for every owner: routine inspections every 14 to 17 weeks with a detailed report and photos, rent arrears checked every day, no money spent on repairs or maintenance without your approval except the emergency repairs the law allows, a rent review before each fixed term ends, and your own owner portal showing your statements, inspection reports and repair jobs at any time. If you are moving from another agency, we handle the changeover, including notifying your tenant and collecting the keys and paperwork.

To talk through the fees for your property, call the office on 07 5676 7755 or request a free rental appraisal, and see what our Gold Coast property management includes.

This article is general information only and is not financial or legal advice.