1. Collecting and depositing monthly rent payments
No matter the size of your building or buildings, collecting monthly rent in a timely manner is mandatory in maintaining an investment property. Late payments and non-payments cannot be tolerated. Property Managers have unique systems in place to effectively collect rent payments efficiently and consistently. Collecting monthly rent payments on time is going to significantly affect your properties cash flow.
A property manager has imminent knowledge of current real estate markets to ensure that your rental rates remain economical, reasonable and profitable, which is the only way to ensure you maintain a full tenancy of your property. Without the valuable real estate information that a property manager is privy to, it would be difficult to sufficiently price your properties rentals.
3. Housing Regulations and Property Law
There are many laws that pertain to renting and maintaining your rental property. These include local, state and federal regulations, as well as fair housing regulations. A property manager is well versed in these laws and can help you avoid lawsuits by keeping your property in compliance with all and any regulations that relate to your property.
4. Marketing and Advertising.
A property manager has access to several advertising venues online and offline that will market your property in the best possible light and increase the exposure to possible tenants. A vacant property is an expensive property, and a property manager is able to ensure you avoid this expense whenever possible.
There are several different types and reasons for inspections of your property are required. Inspections should be done before a tenant moves in, randomly while they are a tenant, and immediately following their exit from the property. There are also mandatory inspections made by certain town and state authorities. A property manager can coordinate and ensure these inspections are done thoroughly and efficiently. This helps avoid further expenses in the future.
Getting tenants into an empty rental property can take up a lot of your time. A property manager will do a thorough background check including criminal activity, credit rating, employment verification and landlord references. This increases your chances of having a stable tenant in your rental unit. Property managers also handle all tenant disputes, conflict resolution, and emergency maintenance, and will personalize your involvement in all tenant issues to your taste.
7. Access to Professionals
Through years of experience and networking, a property manager has already acquired professional relationships with people of all the trades necessary to maintain your property, such as repairmen, vendors, suppliers, contractors, and lawyers. Having already established a rapport with these various experts will save you time and money in any venture.
We all know the phrase, “Time is Money”. By having a property manager handling the day to day tasks involved in your investment property, you are free to focus on other endeavors, your career, your family, or just sit back and relax and let the money roll in.
If your investment property is in a different city, state or country from you, it would be difficult to oversee management and maintenance of the property and tenants. A property manager can be a solution to reducing your need to travel to and from your property.
Property managers charge a minimal percentage of the monthly rental rate, usually between 6% and 10%. When you consider the amounts of services provided by a property manager, and the peace of mind you receive, it would be advantageous to have a property manager by your side.
