If you’ve decided to take the plunge and hire a property management company to take care of your investment, you will be looking to hire the best fit. Your future property manager should attend to your property the same way you would; with the utmost respect and prominence.
Not only do you want to hire a team that caters to your needs, but to your residents as well. Here’s what you should be on the lookout for when you’re researching property management companies:
In regards to owners and real estate investors:
It’s important to find a property management company that has your best interests in mind when you’re a real estate investor. The company’s property management team must have these three credentials:
Your property manager should handle situations in a timely manner.
When you reach out to your team of property managers, you should expect a response. You’ve spent countless sweat equity hours preparing your rental property to hit the market. It’s no small feat, so the company you hire needs to be at the top of their game. A good property manager will be responsive to you. “Not only do we respond to our owners when they have concerns or questions, but we also take notes during conversations so we can remember important details,” Says Dan Holz, Property Manager at RPM Iowa.
Transparency should be a constant factor when communicating with you.
It’s a good thing if your property manager is honest with you. “We may not know an answer to a question right away, or have a solution planned out, so we’ll let our owners know that we will get back to them when we do,” Dan Holz maintains an honest relationship with the owners he is responsible for. “It’s best to take your time and come up with an effective and tangible solution rather than pull something out of nowhere.”
You want your property management team to really consider all of the options on the table when it’s necessary. Especially when it comes to bigger maintenance tickets, like replacing a roof or replacing a furnace at your rental property.
A property manager needs to create value for your investment property.
“Staying on top of rental trends, like new appliance technology or paint color trends is essential for owners,” Holz says. “I make suggestions to owners, like replacing the carpet or repainting the walls so they can get the best return on their investment.” Your property manager needs to know how to maximize your rental income. That is how you elevate your real estate portfolio and reach your financial goals.
In regards to residents:
It takes an army to retain residents. Resident retention allows your monthly cash flow to stay steady and grow, instead of pouring payments out for turnovers. Property managers are a part of that process, too. It’s a major principal aspect that you need to take into consideration when looking for your team.
A good property manager will listen to residents’ concerns.
Most renters will have concerns same as homeowners. They want to keep the property clean and ensure appliances are working properly, just as they would if it was their own. “You have to be sympathetic and empathetic when it comes to residents and their needs,” Holz says. “What may seem like an emergency or stressful situation to them, may be a typical day for a property manager. We handle intense situations normally, so you have to put yourself in their shoes.”
To follow, your property manager should also be responsive to residents’ requests.
They should be responsive.
Your property managers should be as responsive to the residents in your property as they are to you. It may seem like a no-brainer, but organization is key in maintaining these open lines of communication.
Property management companies have to follow certain guidelines and laws in order to enter a facility, collect rent and deposits, and more. Being able to communicate their knowledge with you and your tenants is a qualification that they need to meet.
Quality property managers will find trusted vendors.
Vendors enter residents’ spaces. Your property manager should have a list of trusted vendors who do quality work. “You don’t want a vendor that will just put a bandaid on an issue,” Holz explains the purpose of a quality vendor. “You want someone who will complete the job well, for a reasonable price. And they need to be trustworthy.” Seems like a lot of milestones to hit, but just like homeowners expect, a vendor must be all three for a resident, too.
A good property management company will have an ever-changing list of trusted vendors, who has both the owners and the residents’ needs in mind. Finding that middle ground of cost-effective solutions and a first-rate service is part of the job for a property manager.
Take your time.
Research, research, research. Not just any property management company is a good fit for you. Spend time shopping around, ask plenty of questions, and consider lease-only services for a trial run. This could give you a good look into a company’s systems and how they showcase their teamwork.