Being a landlord is not an easy task, especially if you own multiple properties. How can one do it all? You need time for a second job. Not to mention all the skills in negotiation, market knowledge, and relationships a landlord needs to have.
Letting someone care for the investment is the best choice any landlord can make. They’ll know how to tackle everything from beginning to end, and the landlord will be able to enjoy his free time without carefully managing everythng.
But does one find the right property manager for their needs?
Look in the right area
Let’s say the landlord owns property outside of the area where most property management companies are. It will be harder for the assigned manager to go inspect the property frequently, oversee maintenance or talk to tenants. A manager that’s close to the property will not postpone certain duties because of the long road or try to visit multiple properties at the same time to avoid multiple trips. They will be able to go there in case of an emergency and will be more present.
They will also know the local market better than other managers. They will know what the average rent in that area is, what the expectations are for the property’s conditions, what marketing tactics the locals are used to, and so on. They will also know the federal laws for real estate in that area.
Another thing is that they will know excellent and reliable maintenance and repair businesses. Knowing the community in real estate will ensure they’re fitted to take care of the landlord’s needs.
Conduct proper research
Nothing is as bad as knowing you could’ve chosen more carefully. This is why it’s important for landlords to do their research well before they choose who they’re gonna work with. You can find the information you need about all the agencies and experts online.
The landlord needs to choose someone who has positive reviews. There are some businesses that choose not to have any reviews available, and that can be a red flag. Ideally, one should look for indications that those reviews belong to real people. One indication can be natural speech, without too much professional language, as ordinary people will most likely not consider that.
A potential customer might even ask for a reference from the company to inform themselves about the quality of the services. This is an excellent opportunity to get unfiltered information about them.
One of the most common ways to research is to check their website and social media pages. Here the landlord can see if they’re an authority in their industry, if they respond to comments and engage with their audience - this could be an indicator of whether their communication is a good one, etc.
The landlord should also ask communities in real estate for recommendations. These can be online communities or local networks of people they may know.
Ask the right questions
When speaking to a potential property manager, the landlord must prepare well for that talk. Eventually, he might need a list to make sure they cover everything that will help him make an educated decision. Here are some of the questions landlords should consider asking: -What are all the services you offer? Are they all included in the fee?
-How many other properties do you manage? How much time would you be able to allocate to my property/portfolio weekly?
-What is your process for screening tenants?
-What is your preferred method of communication?
-How did you manage a nightmare tenant?
-Do you make monthly property management reports?
-Do you have vendors you typically work with?
-How do you handle complaints?
-Do you have experience managing this kind of property?
Whatever it is discussed, the landlord needs to make sure the questions are according to his particular situation.
Inspect the property management agreement
This agreement will settle the relationship between the property manager and the landlord. Every task and responsibility of each party will be written down. As this contract will be used in case of an unfortunate event, the landlord must take his time reading the contract and ensuring everything is as discussed, not leaving anything out. He needs to ensure the contract covers all responsibilities for both owner and manager, fees, timeline, and termination clauses.
Final word
Choosing someone to conduct all the responsibilities is a serious process that should not be taken lightly. However, these indicators will help the landlords move in the right direction, clearing the air on things they should pay attention to.
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