If you own a flat or property within a shared development in Scotland, you will likely have a property factor in place who is responsible for managing common areas, organising maintenance, and ensuring services are delivered on behalf of all owners.
While many factors provide a reliable service, there are times when homeowners feel that standards have slipped or costs are no longer justified. In these situations, switching property factors can be a practical way to improve how your development is run.
Although the process might seem complicated at first, it becomes much more manageable when you understand the steps involved and what is required of you and your neighbours.
What is a property factor?
Property Factors play an important role in managing shared spaces within residential developments.
Acting on behalf of homeowners, they coordinate a range of essential services, including maintenance and repairs, cleaning, landscaping, and insurance, ensuring communal areas are kept safe, functional, and well-maintained
In Scotland, all property factors must operate in line with the Property Factors (Scotland) Act 2011 and the associated Code of Conduct. This gives homeowners a layer of protection and sets clear expectations around communication, transparency, and financial management.
How to switch property factors
Step 1 – Review your title deeds
The first and most important step in the process is to check your title deeds. These documents set out the legal framework for your property and will explain whether you have the right to change factor and what conditions must be met to do so.
In many developments, a majority of owners need to agree before a change can be made, although the exact threshold can vary. Understanding this early on helps avoid delays or disputes later.
Step 2 – Speak with other homeowners
Once you’re clear on what your title deeds require, the next stage is to speak with other homeowners. Switching property factors is often a collective decision, so it’s essential to build agreement among your neighbours.
This doesn’t have to be overly formal at the start. It usually begins with informal conversations to understand whether others share your concerns. If there is wider interest, this can develop into a more structured discussion, such as a meeting or a shared summary of issues and potential alternatives.
Step 3 – Review current management contract
As the conversation progresses, it’s important to review your current contract with your existing factor. This will outline the notice period required to terminate the agreement, along with any conditions or fees that may apply. Many contracts require advance notice of one to three months, so timing becomes an important consideration. Knowing these details ensures the transition can be planned carefully and helps prevent unnecessary costs.
Step 4 – Find a new property factor
With agreement building among owners, attention can then turn to finding a new property factor. This stage involves researching different companies, comparing the services they offer, and looking at how transparent they are about pricing. A good property factor should be easy to contact, clear in their communication, and proactive in managing repairs and maintenance. Many homeowners find it useful to request proposals from several factors so they can compare approaches and fees in a straightforward way.
Step 5 – Formalise the process and notify your property factor
Once a preferred option has been identified, the decision needs to be formalised. This usually involves holding a vote among homeowners in line with the requirements set out in the title deeds. It’s important to document the outcome clearly, including how many owners agreed to the change and which factor has been selected. Having a clear record helps ensure the process is transparent and avoids misunderstandings later on.
After the decision has been made, notice must be given to the current property factor. This is typically done in writing and should follow the terms set out in your contract.
At this stage, the focus begins to shift towards managing the handover from one factor to another. A smooth transition relies on cooperation between both parties, including the transfer of financial information, maintenance records, and any ongoing work.
Step 6 – Begin the handover process
The handover process is often led by the new property factor, who will liaise with the outgoing company to ensure everything is transferred properly. This helps minimise disruption and ensures that services such as cleaning, repairs, and maintenance continue without interruption.
At FirstPort Scotland/SGPM, we combine local knowledge with national expertise to deliver reliable, transparent property management tailored to your community.
If you’re looking for a new property factor or want to find out more about how we could support your development, get in touch with our team today to learn more about our services.
