Choosing A Property Management Company
For those looking to make a profit from the falling real estate market, a knowledgeable and reputable property management company is a must. The property market has crumbled with the recession leaving thousands of formerly affluent real estate magnates destitute. Yet with prices virtually at rock bottom, there has never been a better time to invest in real estate. However, it is vital that you keep a close eye on the purchased property to prevent vandalism when looking for new tenants and to ensure that new occupants take good care of your investment. If the real estate you purchased is in a faraway location, it is impossible to manage without the services of a property management company.
When utilizing the services of a property management organization, it is imperative that they have thorough knowledge of the local market. This essentially means they must have the ability to momentarily step into the shoes of renters in their area. If you are from another town or state, you will lack this information which means you are dependent on their expertise. The company should be able to use their knowledge to ensure that the property is seldom vacant while securing the best possible rental rates. A property management company lacking local market knowledge will either keep rent too high which inevitably leads to vacancy or else they will undercharge.
Face To Face
High quality property management companies allow their clients to meet up and discuss future plans with them. The chief goal is to maximize your return on investment and your property manager should be full of ideas on how to do that. It is easy to spot ineffective organizations. They will betray their lack of knowledge by coming up with generic plans. Smart organizations realize that each and every property is different and its profit potential depends on a number of factors such as the owner’s plans, ambitions and refurbishment budget.
An area where a lot of amateurish property management companies fall down in is customer service. If you have real estate in another city and are looking for an update, the company should be on hand to deal with your queries immediately. Poor customer service is the sign of an inefficient and badly run organization. This is not a business you want to be in charge of handling such a significant investment. The best property management outlets will contact the owner first, giving them updates about their property’s status and alleviating all concerns.
Obviously, the most important aspect of owning a property is securing a monthly payment in the form of rent. If a property management company rates poorly on any of the above criteria, it is likely they will not be very efficient when it comes to collecting your money from tenants either. It should never take longer than 7-8 days for a company to collect all rent due, prepare the statements and place the money in your account. If it takes much longer, you have to assume that the company has either not collected the rent or is allowing the money to rest in their account in order to rack up interest. Make sure the money is promptly in your account and accept no excuses from the company.
Property management companies that cannot perform the above basic tasks are not worth dealing with. Your investment is designed to help you enjoy a long and comfortable life, don’t allow incompetent agencies take that away from you.
Find a property management company now.