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Self factoring v’S USING A FACTOR

Self factoring v using a factor

Taking care of your block of flats can involve a lot of work. Some of the responsibilities include creating budgets, handling complaints, scheduling and supervising maintenance and repairs.

Self-managing an apartment block and your own property takes a lot of time and work. The neighbours who own the property are the ones who must deal with maintenance, handling finances, and administrative duties. Perhaps undertaking the repair work themselves.

This can be too much, particularly for owners who manage several properties or have busy schedules. Even for a small block with a few problems it is estimated to be 80 hours a year.

Why do people self-manage property?

Perhaps owners have property backgrounds and decide to self-manage. This route isn’t for the faint of heart, but it does have its merits.

Cost Savings: Perhaps the most apparent incentive for self-managing your property is financial. By saving on management company fees. This method is particularly lucrative for landlords with a high volume of units or substantial property portfolios.

Control and Flexibility: The Owners Association, which is typically made up of elected owner occupiers has complete decision-making authority when a block of apartments is self-managed. This implies that they have the authority to determine the budget, the contractors or service providers to hire, and the schedule for significant repairs and outside décor as the collective voice of all apartment owners.

Direct Resident Interaction: The human element in property management is substantial. Self-managing allows you to forge direct relationships with your neighbours, handle their needs firsthand, and possibly, as a result, maintain a more personable and engaged relationship.

Challenges of Property Self-Management

With great power comes great responsibility. Self-management throws you into the deep end of responsibility, leaving you to navigate the waters of property maintenance and legal complexities. 

Without the support of a professional factor, there are a few challenges that you may face.

Time Commitment

You’ll need to dedicate significant time to property management, from calculating management fees to dealing with emergencies. This can be a notable burden for those already balancing their own property and busy personal and professional lives.

Organising repairs when you have to get everyone’s approval can be a slow process, sometimes causing animosity amongst your neighbours.

Legal and Regulatory Responsibilities

If any of your neighbours are renting their property, laws surrounding rental properties are extensive and can vary by location. As a self-manager, it’s vital to stay abreast of these  https://www.gov.scot/policies/private-renting/private-tenancy-reform/ to avoid legal pitfalls or penalties.

Many legal and technological considerations go into managing a complex of apartments. Owners could find it difficult to manage conflicts, understand complicated legislation or successfully supervise maintenance projects in the absence of professional knowledge.

Maintenance and Repairs

One of the more onerous tasks of property management is handling repairs and on-going maintenance.  These can be frequent, costly, and require the self-factor prompt and appropriate action to maintain a safe and habitable property.

The Best Alternatives to Property Self-Management

If the thought of full-scale self-management is daunting, there are middle-of-the-road options that can afford you some autonomy while ensuring you’re not wholly on your own.

Hiring a Factor

Possibly the most common route after self-management. Factor’s property managers can alleviate some of the owner occupiers’ burdens when it comes to managing property, particularly those related to day-to-day interaction and property maintenance.

Looking for help setting up a self-factoring group?

The decision to self-manage property is not one to be taken lightly. It entails a commitment of time, effort, and a willingness to engage with the myriad aspects of property management.

Before deciding, it’s essential to weigh the benefits against the challenges and consider the alternatives, such as hiring a management company, to see what aligns best with your goals, capabilities, and preferences.

Why Factors Direct?

Our team excel in client liaison, we aim to be highly responsive to repairs whilst showing consistent communal maintenance to improve the building and heighten its value. We are on call 24/7, we regularly inspect your property to ensure we are proactive to maintenance issues to ensure repairs are not larger than they need to be. Our trusted team of contractors are on hand, so we don’t have long waiting times for repairs to be carried out.

Get in touch today and speak to our team who will be delighted to guide your through the process on 0141 739 4439 www.factorsdirect.co.uk enquiries@factorsdirect.co.uk