Broker Associate
Whether you have a single rental property or you’re rapidly expanding your investment portfolio, you might consider hiring a property manager to manage your rental units.
A property manager (PM) works for you as a landlord and engages directly with current and prospective tenants on your behalf. Some of the general responsibilities of a property manager is to collect rent, advertise vacancies , arrange for repairs and handle any requests from existing tenants. In this post
I’ve broken down how to decide if you should hire a property manager for your rental property.
HOW TO KNOW IF YOU SHOULD HIRE A PROPERTY MANAGER
A Property Manager might help you more effectively manage your rental units if:
- You have many units and/or multiple properties
- You have a full-time job in addition to overseeing your income properties
- You’re tired of the a hands-on approach and/or is comfortable with a property manager liaising between you and your tenants.
- You don’t want to employ a resident manager or having to deal with hiring freelancers for maintenance requests and renovations.
SUGGESTED QUESTION’S TO ASK
Once you decide to use a property manager, you should have specific questions regarding the quality of services being offered. You should also thoroughly understand their pricing structure.
- What is included in the fee (typically 5-12% of monthly rental income depending on services offered)?
- Are services besides basic management, such as listing a unit, travel to and from the property, etc. included in the base fee? Is the property manager paid when the unit is vacant?
- What is the process for maintenance and emergency repairs?
Rent Collection:
- What is the current process for collecting rent from tenants? Is an automated electronic payments system being utilized?
- What is the time between rent collection and deposit into landlord’s bank account?
Listing Your Units and Finding the Best Tenants:
- Where does the Property Manager advertise? Do they have an advertising presence on mobile?
- What is the process for screening tenants? Are there additional fees associated with conducting tenant credit checks?
