When you own an investment property in Melbourne—be it an inner‐suburban unit in Carlton, a townhouse in Fitzroy, or a family home in Craigieburn—you often ask: What is it that the professionals actually handle? This is where a service provider like Besserco steps in. From tenant sourcing to compliance with Victorian laws, their role can make or break your bottom line, your peace of mind, and the longevity of your asset.
Below, I lay out in detail the practical functions, the legal and regulatory landscape in Victoria, the advantages and trade‑offs, and what you should expect from a high‑quality provider.
1. Core Functions of a Property Management Company
Here are the key areas that full‑service providers cover. These are tasks that many property owners try to do themselves—but which, when handled professionally, yield much better outcomes.
A. Marketing & Tenant Acquisition
- Researching local rental market in Melbourne suburbs to set realistic and competitive rent (taking into account proximity to transport, amenities, schools).
- Listing vacancies on relevant Australian platforms (e.g. realestate.com.au, domain.com.au), preparing quality photos, possibly staging.
- Screening potential tenants: verifying identity, checking rental history, ensuring they are eligible under Victorian tenancy law.
- Holding open inspections, private viewings.
The goal: minimise vacancy periods so your investment is earning income as soon as possible.
B. Leasing, Move‑in & Move‑out Processes
- Drafting tenancy agreements that comply with the Residential Tenancies Act 1997 (Victoria) and associated regulations.
- Collecting bond via the Victorian Residential Tenancies Bond Authority.
- Conducting condition reports (photos, detailed descriptions) at move‑in, and then again at move‑out.
- Ensuring tenants understand obligations (repairs, cleaning, keeping look).
Getting this right prevents disputes later—small damage, cleaning issues, unpaid rent.
C. Rent Collection & Financial Management
- Collecting rent regularly (often fortnightly or monthly in Australia). Sending reminders, enforcing late payments as per lease.
- Paying out net income to landlord after deducting fees, maintenance costs etc.
- Keeping records of all income and expenses, issuing statements.
- Handling utility bills or council rates if these are landlord’s responsibilities.
Strong recordkeeping ensures compliance with tax law, helps if landlords need to show deductions, and makes your investment transparent with property management companies.
D. Maintenance, Repairs & Inspections
- Organising regular inspections (often every 3–6 months) to assess condition.
- Handling routine maintenance tasks (garden, lawn mowing, smoke alarm checks, pest control).
- Managing emergency repairs (roof leaks, plumbing, electrical faults).
- Engaging tradespeople, getting quotes, supervising work.
Preventative maintenance is especially important in Melbourne, where for example rain & humidity can cause deterioration. A quality provider will aim to catch small issues early.
E. Legal, Compliance & Risk Management
- Ensuring all leases comply with Victorian laws: rent increases, notice periods, rights & obligations.
- Handling evictions or notices if tenants breach tenancy agreement. Following correct legal procedure.
- Ensuring mandatory safety standards: smoke alarms, electrical compliance, water efficiency, insulation.
- Maintaining adequate insurance for landlord interests (building, public liability).
Avoiding legal missteps preserves your investment and reputation.
F. Tenant Relations & Retention
- Being responsive to tenant queries, repair requests or complaints.
- Mediating disputes (neighbours, neighbours noise, etc.).
- Encouraging lease renewals if tenants are performing well.
High tenant turnover adds costs—cleaning, repainting, vacancy. Retaining good tenants helps stabilise income.
G. Reporting & Advisory Services
- Delivering regular financial statements (monthly/quarterly), showing income, expenses, profit.
- Providing advice on ways to improve returns: small refurbishments, energy efficient upgrades, landscaping improvements.
- Market guidance: what rents are doing locally in Melbourne; what suburbs are up & coming.
2. Legal & Regulatory Context in Melbourne / Victoria
Understanding what laws, regulations and market norms apply is essential. If Besserco or any provider is offering full service, they must comply with these.
A. The Residential Tenancies Act 1997 (Victoria)
- Defines rights & responsibilities of landlords and tenants: notice periods, lease terms, bond, entry to property, rent increases.
- Requires fairness and standards for condition reports, repairs, landlord’s obligations.
B. Consumer & Safety Standards
- Smoke alarm legislation: every residential rental must comply.
- Electrical safety: ensuring sockets, wiring are safe.
- Water efficiency: fittings etc.
- Minimum standards for rental properties (habitability, weatherproofing etc.).
C. Bond & Rental Dispute Authorities
- Bond is lodged with the Victorian Residential Tenancies Bond Authority.
- Disputes are handled via Victorian Civil and Administrative Tribunal (VCAT).
You want a manager who knows how to prepare for potential VCAT hearings, present condition reports, and manage documentation so that you’re in the strongest position.
D. Tax & Financial Regulatory Obligations
- Rental income must be declared. Deductions (repairs, maintenance, depreciation) must be supported with evidence.
- Goods & Services Tax (GST) may apply in some circumstances (generally for commercial properties).
3. Benefits to Property Owners in Melbourne
When everything is done properly, managing your property through professionals brings significant advantages:
- Time & Stress Saved
You avoid dealing with routine issues: broken showers at 2 am, chasing unpaid rent, scheduling tradespeople, etc. - Faster Tenant Turnover / Lower Vacancy
Professional marketing, good tenant screening, reliable maintenance help attract and keep good tenants, meaning less empty time where your investment is earning nothing. - Higher Quality Tenants
With proper checks and good lease agreements, you’ll more often end up with tenants who treat the property well, pay on time, renew their lease. - Better Long‑Term Value Maintenance
Regular inspections and maintenance prevent problems from escalating; properties maintain visual appeal and structural integrity; less depreciation. - Compliance & Legal Safety
Proper leases, adherence to safety laws, eviction correctly done → reduces risk of penalties or disputes. - Financial Clarity
Detailed statements, predictable income after deductions, clarity about what you’re paying for (repairs, fees etc.) helps with planning, cash flow, and tax time.
4. Costs & What to Watch Out For
Working with a professional service is not free. Some costs are obvious, others may be hidden.
- Management Fees: generally a percentage of rent (in Melbourne perhaps 6‑12%), or sometimes fixed.
- Leasing or Letting Fees: often a one‑off charge when a new tenant is placed (advertising, inspecting, signing).
- Renewal Fees: sometimes charged when a tenant renews a lease.
- Maintenance / Repair Mark‑ups: check whether your provider applies mark‑ups on contractor invoices.
- Advertising Costs: may or may not be included.
- Vacancies: a property owner still bears cost of vacancy (no rent).
Be sure to read the contract carefully: what you’ll pay, what the provider returns, what fees are for.
5. What Excellence Looks Like: What You Should Expect from a Great Provider
If Besserco sets a high standard, here are qualities you should demand or look for:
- Transparent fee structure: Everything spelled out (management fee, leasing, renewals, maintenance mark‑ups etc.).
- Prompt maintenance response: Ideally, good contractors, efficient work, minimal downtime.
- Digital tools: Owner portal to view statements; tenant portal for rent payment & maintenance requests.
- Frequent and thorough inspections: not just ticking boxes but truly assessing condition and acting.
- Professional leasing & marketing: good photos, appropriate rent, proper tenant screening.
- Legal & regulatory up to date: smoke alarm compliance, energy efficiency, understanding VCAT processes.
- Good communication: regular updates, clarity when something’s delayed, honest about costs.
6. Example of How It Works in Practice in Melbourne
To bring this to life, here’s a hypothetical of how Besserco might manage a two‑bedroom apartment in Brunswick:
- Vacancy arises
• Besserco assesses current market in Brunswick, sets a competitive rent.
• Takes photos, lists on Domain, realestate.com.au, maybe uses social media. - Tenant selection
• Prospective renters apply; Besserco checks references, rental history, employment.
• Drafts agreement compliant with Victorian legislation; bond lodged. - During tenancy
• Tenant reports that heater isn’t working in winter → Besserco calls electrician, oversees repair.
• Inspections every 3‑6 months; reports to owner. - Rent and finances
• Rent collected each month; late payments followed up promptly.
• Owner receives monthly financial statement: rent income, maintenance costs, Besserco’s fees. - Renewal or turnover
• If tenant wishes to renew: Besserco handles lease renewal process.
• If not: inspects property, arranges cleaning/repairs, re‑markets. - Compliance checks
• Smoke alarms checked and replaced as needed.
• Electrical safety certification maintained.
7. What Property Owners Should Ask Before Engaging a Firm Like Besserco
To ensure you get what you need, here are good questions to ask:
- What is your full fee structure? Management fee, leasing, renewals, maintenance mark‑ups.
- Do you use subcontractors? How do you select them, how do you supervise their work?
- What reporting will I receive, and how often? Will I have an online portal?
- How do you handle emergencies? Is there after‑hours support?
- How do you ensure compliance with Victorian laws and safety standards?
- What is your process for tenant screening and resolving disputes or legal problems?
- What evidence or references do you have from other landlords in Melbourne?
8. Conclusion
In short: property management companies do much more than just collect rent. They’re the bridge between you (the owner) and your tenants; they safeguard the condition, legality, profitability, and tenant satisfaction of your investment.
A firm such as Besserco, operating in the Melbourne market, can add real value—if they do things well. That means transparency, legal compliance, prompt handling of maintenance, good communication, and solid financial reporting.
If you’re a landlord in Melbourne, partnering with a strong provider is not just about convenience—it’s about protecting your asset, optimising returns, managing risk, and giving yourself peace of mind.