Archive for October, 2017

How to Choose a Property Manager

Choosing a property manager is an important process because you are trusting someone else to take care of what may be the largest investment you’ll ever make. That’s why you need be confident that they can handle the job properly. Of course, they must be dependable and trustworthy. Here are some other things to consider to help you understand how to choose a property manager.

Communication
With all the people involved, such as the owner, the tenants, and the manager, communication is key. Some owners like to receive regular updates while others are happy with a select few. No matter how much communication you desire, it’s important you get high-quality communication. Your property manager needs to be available and respond readily. Think about their speed, courtesy, and availability as soon as you make the first contact with a potential manager.

Residents
The property manager has two key duties as far as renters are concerned; finding high-quality residents and ensuring they are treated well. A happy renter will stay around for longer and be more reasonable if something goes wrong. Whereas bad tenants are some of the most expensive mistakes you can make. It can be costly to evict someone, especially if you have to miss out on a lot of rent, and it can also be expensive to repair and clean up the damage left behind. The property manager must be willing to perform background checks on tenants and choose good ones.

Fees
Property management fees are generally fairly standard – typically coming in at between 7 and 15% of a months’ rent. 10% is considered the standard. Sometimes you could be paying less for a condo than a house because the home and yard are smaller. The owner is the one footing the bill for maintenance costs and often has to pay a finder or leasing fee, which could be worth a full month of rent when new residents move in. Find out if you’re going to be charged, even in the event the unit is empty. Some managers will sometimes charge additional fees, so find out how much you can expect to be paying before hiring a property manager.

House Visits
Your property manager should be proactive about inspecting your property, inspecting it at least once or twice a year to ensure everything runs smoothly. These are time-consuming tasks so a property manager needs to have a reasonable caseload. Hiring one that is managing too many properties removes the personal touch. Find one that has the time to give your property the attention it needs.

Earning Potential
Property managers need to get the absolute most out of your property. This involves properly marketing the unit to reduce vacancies. This can involve posting the property on rental websites and taking great photos to show it off. Property managers must also keep up with market rent rates and adjust rents accordingly. You wouldn’t want to be charging too little and not earning what you should for the property.

October 08 2017 | Uncategorized | No Comments »