Property managers are not all equal. If you are someone with a rental property who wants to make the most of your investment, you need to enlist the services of a good professional from the industry, to make the most of them.
To find a good property manager, you can follow some proven tips. Let’s see what they are:
- Get some referrals – if you have a professional network, now is the time to use it. Try to get some referrals from several people. Some good sources can be other investors like yourself. Real estate agents and brokers often have the necessary connections and can point you towards property management companies. If you are working with various contractors, it is worth a shot asking them too.
- Check for property management companies online – if you are still in the process of building a local real estate team, you can opt to work with online property managers. If you search for a residential property manager in your city, you will be able to quickly find several options. Don’t forget to check online websites for ratings and customer reviews, to find a decent company.
- Follow an interview process – it is very important to meet with several property managers and conduct an interview. There are many questions you should ask. For example, you need to know how long they have been in business and how many properties they are currently managing. If it is a company, ask them about the number of staff they can dedicate and what areas of the city they operate in. Make sure to also learn more about how they determine rents and how often they conduct inspections. You can also ask them if they have any sort of awards or other forms of recognition from prestigious events, as that can prove they are a solid pick.
- Licenses and certifications – property managers need to have all of the required licenses and certifications. They should be ready to show proof of such, but in case they aren’t, don’t be afraid to ask.
- Understanding the contract – like all binding agreements, a property management contract is an important document. There are certain terms and conditions that each side needs to be fully aware of. In particular, you should be more focused on the start and end date of the agreement, the fees they charge and reporting policy. Make sure you know what your restrictions are, in terms of tenants and property maintenance. If there is an early termination clause, make sure it allows you to end your relationship with the company quickly, as that can save you a ton of money and stress, in case you are not happy with the service.
- Asking for references – this may be the final step in your search for a good property management company, but it is a very important one. Ask for references/samples of their work. And no matter what you are presented with, make sure to do a little further investigation on your own. For example, you can speak to some of their current clients, who have similar properties and find out more about how they are doing. You can also drive by some of the properties they are currently managing, to see if there are enough tenants. After all, many ‘for rent’ signs could be a sign of trouble.
Following all of these tips is a sure way to guarantee you end up with a good property management company on your side.
© MLM Property Management