How to choose the best property management company?
First, let me introduce you to what property management is.
Property management is the daily oversight of residential, commercial, or industrial real estate by a third-party contractor. Generally, property managers take responsibility for day-to-day repairs and ongoing maintenance, security, and upkeep of properties. They usually work for the owners of investment properties such as apartment and condominium complexes, private home communities, shopping centers, and industrial parks.
Property management companies take on the daily stresses of commercial and investment real estate management on behalf of owners. Because different localities and property types are governed by different regulations, codes, and laws, a property management company can be essential for most landlords. The best property management companies aim to ensure the profitability, good reputation, building upkeep, and tenant occupancy of a residential or commercial investment property. They also keep owners updated on the key performance metrics of their real estate assets.
Finding a good property manager involves reading customer reviews, visiting properties in person, and conducting interviews with your top options. Overall, it can take many hours to determine which property manager in your area stands out as the best.
People who own investment properties often hire property management services to take care of maintenance, tenant relations, and all the other tasks that are required to turn a profit on their real estate assets. Although these services certainly provide a lot of value (the best property management companies will help you increase ROI and give you more time to grow your business), paying for them can get quite complicated.
How much property managers charge?
This monthly fee is the cornerstone of most property management contracts. It’s usually calculated as a percentage of rent (typically between 8% and 12%), though some providers do charge a flat fee for general management.
Fees for their property management services will depend on the type and size of the property, its condition and location, and the extent of services that you need.
What property manager does?
The responsibilities of a property manager generally involve the following:
Screening potential tenants
Drafting, signing, and renewing leases on behalf of property owners
Maintenance of properties, including landscaping and snow removal
Arranging for necessary repairs to properties
Setting up and adhering to budgets for property maintenance
Understanding state and national landlord-tenant laws and regulations
Supervising other employees
Who needs property manager?
Several types of property owners can benefit from the services that property managers offer.
Landlords, for example, hire property management firms for a variety of reasons. Some may have multiple rental properties in their portfolios and lack the time or expertise to maintain the properties and deal with individual tenants. Some owners only have an interest in owning rental properties and earning profits from them. When this is the case, they hire professional property managers. Absentee landlords also make use of property management services. Some property management companies cater to individual landlords who rent out a single property such as a vacation home.
Property owners who participate in affordable housing programs tend to use property management services because their rental properties are subject to complex federal guidelines that require specialized expertise. Certain real estate brokers also operate as property managers. For example, a broker in a resort town may provide buyer and seller agent services as well as property management services. When this is the case, the real estate broker lists, shows, leases, and maintains vacation rentals for a number of property owners.
At last, How Would I Choose a Property Management Company?
Overall, best choice for a property management company supports property owners across the globe with its “beyond expectations” belief in service. It would need to offer a wide range of valuable services and follow a disciplined, process-driven approach to increase efficiencies, reduce investor risk, and drive performance and profitability. It should, preferably, allow owners to monitor their properties’ performance metrics and view real-time reports on accounting and financial management, marketing and reputation management, and legal and regulatory compliance.
Staff should be trained to "think like owners themselves".
The company should have tenant occupancy high.
Find experienced providers that fits your needs with the utmost care and attention to detail.
If you are homeowner in Puget Sound area who is looking to transfer landlording responsibilities to someone else, check out North Pacific Properties Management company. Property managers here guarantee a seamless, full-service experience defined by excellent communication, total dependability and individually tailored strategies.
Leveraging in-depth knowledge of the market, we’ll determine your property’s rental value and prepare it for move-in, as well as deploy aggressive marketing techniques to get it occupied by great tenants, quickly. We’ll also handle every aspect of tenant screening, collecting security deposits, paperwork and of course, handle all tenant communications, leaving you free to focus on you.
A good property manager will give you your time back, while maximizing profit from your investment property.