Management Rights is a term used to describe the on-site management business of an apartment building or unit complex. Many people regard Management Rights as a blue-chip investment that offers lifestyle, great returns on investment and good re-sale potential.

The basic principles of a Management Rights are:

Caretaking agreement – maintaining the common property on behalf of the Body Corporate (swimming pools, gardens, security) – in exchange for a salary.
Letting Agreement – letting of units (holiday or permanent) on behalf of owners (investors) in the complex / building.
Owning a lot in the building designated as the Managers Unit – where the business is run from. This usually incorporates the office / reception area.

Caretaking Agreement

Legal agreement between the Resident Unit Manager and the Body Corporate. The agreement will specify the duties and responsibilities required by the Resident Unit Manager on a day to day, weekly and monthly basis. Some examples of the duties that the Resident Unit Manager undertakes are:

  • Cleans the swimming pool (daily or weekly).
  • Cleans the office foyer and other common areas – BBQ, stairwells, lifts etc…
  • Takes the rubbish bins outside for collection – where applicable.
  • Manages the office – times will depend on type of complex (holiday orpermanent). These are listed in the management agreements.
  • Liase with Body Corporate.
  • Supervise work done on behalf of the Body Corporate.
  • Supervise work done on behalf of the individual lot owners on their units
  • The contractual agreement is for a specific term from 5 years to 25 years depending on the type of complex / building.
  • For example, if you have a Caretaking agreement – 20 years, then you are guaranteed that you will receive a body corporate salary for 20 years (with CPI increases) for your duties. This is a base line of guaranteed income.

Letting Agreement

Legal agreement between the Resident Unit Manager and the body corporate that allows you to conduct a letting business within your complex.

The Resident Unit Manager has the right to act as on-site Letting Agent for the investor owners wishing to rent their units to tenants. You are paid commission and management fees by the individual unit owners for securing good tenants, collecting rent, and ensuring that the rental property is kept in good condition.

Letting Pool – This is the number of units/lots that you manage on behalf of the investor owners. A building may consist of 50 units in the total complex; however, you may manage 40 of those units. The balance of units (10) may be live in owners or lock ups (Owners who leave the unit untenanted)

Most investor owners prefer to have the Resident Unit Manager manage their investment as you have a common interest in maintaining the value of their investments.

Living on site gives you significant competitive advantage over outside agents as you handle all situations straight away. Minor repairs and maintenance of units can be handled straight away without having to engage a tradesman. If there is a problem with a unit, the tenant will generally contact you first.

The term of the letting agreement usually runs concurrently with the term of the management agreement.


  • 1. Research the Industry.

  • 2. Get Excited - Pre-Qualified.

  • 3. Check out some listings and ask us what we think.

  • 4. Find an Industry Expert.

  • 5. Start your license training.

  • 6. Find your dream property and make an offer.

  • 7. Apply for your resident letting agent's license.

  • 8. Sign Contracts.

  • 9. Apply for finance.

  • 10. Review financial reports.

  • 11. CONGRATULATIONS! Your contract is now unconditional.

  • 12. Open Bank Accounts.

  • 13. Review the progress of your licence application.

  • 14. Review and sign your loan security documents.

  • 15. Start preparing for your assignment meeting.

  • 16. Assignment approved. Book the removalist.

  • 17. Get your insurance sorted.

  • 18. SETTLEMENT! Let's get the party started.