Property Management Companies – 5 Absolutely Necessary Traits
A property management company will help you to manage your property investments without having to do all of the work yourself. They can help you with many different tasks from finding tenants to collecting rent. Of course, there are great property management companies out there and there are some really awful ones. Here are a few traits that every good property management company possesses.
Quick and Helpful Service
You need to find a property management company that handles things quickly. The rental market can be very competitive and you don’t want potential renters to choose another property while waiting to hear back from your property management company. Choose a company located in close proximity to your property and make sure that they are responsible, friendly and quick to respond to both you and potential rental leads.
Cool Tempered and Firm
Your property management company will probably act as the go between for you and your tenants in most matters. This means that they need to be able to handle disputes, confrontations and negotiations skillfully. You don’t want a company that will be rude to your tenants or easily lose their temper because this can cause you trouble and frustrate tenants. Your property management company needs to be able to handle disputes with a firm but even tempered hand and must be willing to handle difficult situations like eviction.
Your property manager should also have experience. It takes time to learn how to determine which tenants will be responsible and which will be a problem. An experienced and talented property manager will be able to weed out problem tenants before they ever move in. Of course, this doesn’t mean that you won’t ever encounter a problem, but it does mean that these problems will happen less frequently. Most states require that a property manager be a licensed real estate agent.
Able to Perform or Supervise Repairs
Tenants are generally responsible for everyday upkeep of a rental, but your property manager will need to step in and help with the occasional repair. They need to be comfortable completing basic repairs or supervising others while these repairs or maintenance duties are completed.
Provide Good Value
Don’t choose a property manager that is going to cut into your profits by overcharging you. They should be willing to work for the industry standard rates which are typically between 8-10% of the monthly collected rent and 50% of the first month’s rent for finding a tenant. Don’t agree to pay extra for other charges like maintenance or repair. You are also entitled to the full amount collected in regards to late fees and penalties.
If you own rental properties, a property manager will save you time and allow you to enjoy your extra income rather than working constantly to earn it. Finding the right property manager is important, so take your time and shop around.