Rent Roll Terminologies Everyone Needs to Know

From time to time you come across acronyms and have no idea what they mean. 

Well......

We have you covered. Below is a regularly updated list of Rent Roll Acronyms that you might not even know about. We update this regularly so keep checking  

Annual Management Income (AMI) – This is the yearly revenue that your Property Management department receives from fees only. No extra charges

Average Annual Management Income (AAMI) – Basically Speaking this is the average of what all your Landlords pay you in fees ex GST for a full 12 months of rent collection. Quick calculation – Average $500 per week rent @ Average 5.2% ex GST Fees. 500 x 0.052 = $26 per week. $26 x 51.4 (weeks in the year) = $1,336.40 AAMI.

Average Property Management Fees – This is the combined Property Management Fees divided by the number of properties. This is ex GST.

Average Weekly Rent - This is the combined weekly rent of all the properties divided by the number of properties.

Broker – The Guy or Gal putting the deal together

Extra Fees and Charges – Anything you charge the landlord for that is not part of the % Property Management Fee.

Geographical Spread – How far each property is from one another and the office

Landlord – Also known as the rental Provider

Listing Price -  This is the Price of the listing in a full Dollar figure. If the seller loses properties or gains properties this number will get lower or get higher. It is an indication only as Property Management is very fluid.

Multiplier – The number of time the AMI is multiplied at for the sale of a Rent Roll. $MULTIPLIER x $100,000 Revenue. $3.5 x $100,000 = $350,000.

Notice Of Assignment – If the Sellers Managing Authority as a Notice of Assignment in the agreement, then written notice is required to the landlords of the properties being transferred as part of the sale with a minimum of 14 days notice prior to the settlement.

Offer In Principle – A none binding offer which outlines terms, price and conditions of offer.

Projected Annual Management Income (PAMI) – This is your total Projected Property Management Fee generated revenue ONLY. No GST no Extra fees and charges. Just what would be paid to you if all of your tenant’s paid on time and all of your properties were fully tenanted for 12 months.

Rent Roll Schedule – List of all properties on the Rent Roll, Property Management Fees, Weekly Rents, Suburb and SAMI.

Restraint – What the Seller cannot do post settlement

Retention – The amount of money as a % of the total sale price held in the Sellers’ solicitors trust account for a period of time for the buyer to draw against in the event of any properties that leave the portfolio for any reason stated and agreed in the contract of sale

Seller – The person/people selling the Rent Roll/Agency

Single Property Annual Management Income (SAMI) – The annual revenue of one single property. Basically, what the landlord would pay you to manage the property if it was rented for a FULL 12 months.

Total Annual Management Income (TAMI) – The total amount of income from Property Management Fees only ex GST.