5 Questions to Ask Before Hiring a Property Management Agency
With new technology being used in most fields of business, managers have centralised their services, so you won’t have to appoint a managing agent whose office is located in the same general area of your investment property. You should ensure you have someone with experience in the property market, regardless of your Property’s location. It will help you decide whether or not you feel comfortable working with them; that way, you can analyse their level of professionalism. When you meet your potential new property manager, you should clarify which services are included in their proposal and ask questions regarding routine inspections, rent reviews, arrears and other aspects of the business. The following five questions are some of the most important ones:
Does the Agency Have a Dedicated Property Management Department?
Many agencies see property management as a weaker version of the far more glamorous field of sales, and some may even leave the management of client assets to the receptionists and front desk staff. You must ensure that your agent works in a dedicated property management department. It would be best if this department is staffed by experts, with management continuity, in case a property manager falls ill or leaves.
Is a Director or Owner of the Agency Involved in Day-to-Day Management?
Most agencies will have a rental department and a sales department. Generally, the business owner will have a sales background and not a rental background and will often look after the sales department, leaving the rental department in the hands of a property manager. This is often the case because the sales department has a higher turnover rate and income. The rental department is more intensive and harder to manage and has a lower income. You may find that the agency where the director has a more active role in the property management department takes the property management job more seriously.
How Many Years Has the Property Manager Been Working in Real Estate?
Going to a brand-name agency doesn’t necessarily mean improving their service. This is something that relates to the property manager and not the agency. Many people start their real estate careers as receptionists and then move up to property management or the sales department. Yet, in some cases, people stay in property management as a career, and this is the type of dedicated person you want to look after your Property and your interests.
How Many Years Has the Property Manager Been with the Agency?
You need to look for stability in your chosen property manager. Due to the stresses involved in this line of work, turnover rates are high, so you want someone who has chosen property management as a career. You want to have someone who learns everything about your Property, inside and out. You want to be able to pick up the phone and speak to them now or months down the line, the same person who knows your Property as well as you do.
Does the Property Manager Give you a Written Proposal?
Some property managers will go out and look at your Property, then say that they’ve put you in their books. You should look for someone who takes the time and effort to present a professional image and gives you a written proposal instead. If they make an effort to be as professional as this, they will likely look after your Property with the same level of professionalism.
