Changing property management made easy

The most commonly chosen method is to implement the change of property management at the next owners' meeting (OGM). In this case, the owners or the advisory board can submit a corresponding resolution and hold the vote during the OGM. A well-prepared motion and open communication are crucial here, and we are happy to assist you.

If the property management company is no longer responsive, each owner can also convene an extraordinary meeting of the owners themselves. In this case, the advisory board or a group of owners will convene the extraordinary meeting to vote on the change of property management company. According to the German Condominium Act (WEG) (Section 24.3), the approval of at least 25% of the co-owners is required to convene an extraordinary meeting of the owners. We would be happy to advise you on this and send you our legally compliant templates for the change.

Another option is a circular resolution, in which all condominium owners submit their approval or rejection of the change of property management in writing or by email. However, for a circular resolution to be valid, all owners must actually cast their votes, which often makes this option only a realistic option for smaller condominium associations.

Most owners rarely need their property management company. Therefore, if you do have a concern, the property management company must be accessible to provide prompt and competent assistance with any questions or problems. However, if the property management company is difficult to reach and responds only slowly or not at all to inquiries, this could be a good reason to change property management companies.

A property management company is responsible for implementing the decisions of the homeowners' association. However, failure to fulfill this responsibility and failing to implement resolutions or delaying their implementation can lead to conflicts and necessitate termination of the property management contract. Failure by a property management company to implement resolutions not only constitutes a breach of contract but also usually results in financial loss for the homeowners' association (e.g., due to the expiration of a warranty obligation).

If a building's renovation backlog occurs and the property manager fails to address necessary repairs and renovations, this can lead to serious problems, such as damage to the building or health risks for residents. In such cases, changing property management may be a solution. Renovations should be planned well in advance. If a property manager only reacts after significant damage has occurred, the subsequent costs are often significantly higher.

Sometimes a property management company simply doesn't have enough capacity to handle all the necessary tasks. Unfortunately, this is now a common occurrence in the industry. Some managers simply abandon part of their portfolio or reprioritize so that some condominiums are no longer managed at all. These are often precisely the condominiums where the current manager expects the owners to not actively pursue termination and will continue paying for a few more months (or years).

When a property management company is sold, this can lead to staff turnover, uncertainty, and insecurity. The new property management company may not be as competent or trustworthy as the old one. In such a case, a change in property management may be necessary to ensure that the building and its residents continue to receive optimal care.

A loss of trust between the homeowners' association and the property management company can become a serious problem. However, good cooperation and a solid relationship of trust are essential to safeguard the interests of all involved and manage the building optimally. However, if trust in the property management company is destroyed, a change may be necessary to restore the relationship between the owner and the manager.