A good property management company is essential to the successful running of your rental investments. Selecting the right property management company can seem like an overwhelming task when there are so many out there to choose from, especially when qualifications, systems, and fees can vary from company to company.
Hiring a Property Management Company
First thing you need to do is some research for property management companies that are near your rental properties. Questions that should be considered during your analysis for a company are:
- What are the qualifications of the property manager?
- What are you looking for in a property management company?
- Will the property management, adequately protect your rentals like their own?
You want a trustworthy and accountable property management company overseeing the day to day operations of your rental units, which will include collecting rent and other fees from tenants, handling day to day maintenance requests, and responding promptly to tenants or prospective tenants needs. Here are some things to look for when choosing a property management company.
A Good Reputation
You want to be represented by a property management company with a good reputation. A search online can quickly bring up companies and reviews and testimonials. Before hiring a company, you need to do your homework and read through reviews and testimonials. People like to share their experiences, especially if they’ve been bad experiences.
Tenant Screening Procedures
A bad tenant can cause many headaches for a landlord. A reliable property management company will have a useful tenant screening procedure in place to help prevent renting to bad tenants. You want to make sure that the property management company you have representing you conducts background checks, reference checks, and credit checks.
You want an experienced property management company with experienced property managers. An inexperienced property manager could end up costing you money in the long run. Look for a property management company that is well established and employs experienced property managers who can problem solve and make smart decisions on your behalf.
Short Vacancy Periods
Look to see how long a property management companies advertised properties sit vacant. Watch out for companies that have long vacancy periods. For you to make money, you need to have tenants in your units. Ask a company about there vacancy rate. A property management company that has short vacancy periods will be happy to share this information and how they advertise and market their properties.
Considerable Client Base
Be wary of a property management company that doesn’t have any clients. This could be a sign that they have trouble managing rentals and keeping tenants. When looking for a property management company, ask for references and look for a property management company that has a client base of happy customers.
A property management company makes it easier for landlords and investors to manage their rental properties, as long as you are working with the right company. You want a property management company that is professional, reputable, and well established in the business.
A good property management company will manage your investments efficiently with a high level of care and help you make money. Remember that you want to look for a property management company that the following characteristics, leadership, standard operating procedures, financial stewardship, vendor relationships, communication, attention to detail, responsiveness, commitment to training, transparency, focus on sustainability, accountability, and the ability to listen. When it comes down to choosing the property management company that is the best fit for your investments, it will come down to research, references, experience, and instinct.
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