Real estate investments may not be as passive as people think.
Managing a rental property involves having a good knowledge of the laws governing the landlord-tenant relationship. Also, you need to understand the market, perform routine repairs and maintenance, advertise vacant properties, screen potential tenants, collect rents, handle renter's issues, and so on. Landlords who do all these things themselves find it tasking and first-time investors who do not have enough experience may make terrible mistakes.
For these reasons, property managers are of great use to landlords. However, all property managers are not the same. After investing so much money to purchase a property, you need the right property manager to expertly take care of your house, maximize returns, and minimize stress.
Your property manager should have the necessary training, resources, skills, and experience to care for your investment. In your search for a property manager, you will encounter several of them. But a clever landlord like you will conduct a thorough screening before settling for one.
We recommend that you ask some critical questions during the screening process. The answers you receive from the property manager will help you narrow down your options.
1. Are you a property investor yourself?
It is only an investor in the real estate market that will understand the intricacies. As a landlord, you need to hire a company or someone with a first-hand feel of the investment. Without this understanding, the property manager will not be able to help you excel in your venture.
2. What are the services you provide to your client?
Not all property managers offer the services you need. Ensure that you do not hire someone or a company that omits the vital services you require. When you ask this question, take note if they offer services such as advertising the property, leasing, maintenance, repairs, tenant screening, and regular inspections.
3. What differentiates your services from others?
Property managers differ in the way they offer their services. When you ask this question, property managers will explain their mode of operation. They should be able to tell you:
-The marketing strategy they use for attracting new tenants.
-How they select renters and retain them.
-How they conduct routine maintenance.
-Do they sublet some services or perform everything by themselves?
4. How many rental units do you manage?
The number of units that a property manager oversees is vital. If the property manager supervises a few rentals, it may mean a lack of experience or poor performance. On the contrary, a property manager with several hundred rental units may not have enough time for you.
The bottom line
Managing a rental property is quite tasking and choosing the best property manager for your property requires close attention to detail. During the screening process for property managers, pay attention to the answers they provide.
Guest blog writer: Ryan Erwin with First & MainProperty Management, a property management company in Napa, CA.
https://www.firstandmainpm.com
