Most people prefer to manage their apartments or villas themselves; however, professional property managers are also an appealing option because not only do they take all the stress away from you but they also make sure that your place stays maintained and the inflow of rent does not stop. It is difficult for you to invest your time in your professional life, personal life and also to look after your property; so, it is advisable to hire an experienced property manager while you do what you do best.
Read ahead to learn about some essential factors which you should consider before hiring a property management company, summarised by Canonbury Management experts:
1. Fees
The primary question that comes to mind is, “what will the company charge?” Yes, every property management company has fixed fees and variable fees. The following are some bifurcations of charges that most companies take:
- Maintenance fees
- Management fees
- Insurance charges
- Tenant replacement charges
- Evictions charges
- Advertising fees
- Extra services costs
The amount differs with e very company, and even the bifurcation is different. Some companies may include everything except ‘extra services’ in their fixed fees while some may charge fixed fees only for ‘management and maintenance’ and the rest falls under variable fees. Depending on your budget, you should consider this factor and hire a suitable property management company.
2. Responsibilities
A property manager has more responsibilities than you can imagine. You may have overlooked some of the duties mentioned below, but when you hire an experienced professional, then all these are taken care of dedicatedly. The following are some tasks that he/she takes care of:
- Setting rent
- Adjusting rent
- Collecting rent
- Finding and screening tenants
- Repair and maintenance services
- Security deposits
- Routine inspections
- Handling leases and conflicts
- Managing budget and records
You may not know what the current rent rate is in the area or how to screen tenants efficiently. These factors and many more will either result in severe losses or irreparable property damages. Handling complaints, maintenance costs, accounting requirements, and other tasks may affect your personal and professional lives severely. While, hiring a credible management company will help you with all the tasks mentioned above, and will also make sure that your property stays up-to-date for as long as possible.
3. Experience
This is one of the typical factors that must be considered for hiring any company because it helps you recognize the credibility of the company in question. In this particular case, the experience is not just the year in which the company was registered but also the type of properties that they have dealt with.
A commercial property manager may not be as efficient with a residential property because the rules, regulations, and approach is different in both the cases. So, depending on the type of property that you own, hire an experienced company, who can ensure a steady income, charge adequate amount of money and keep your property as good as new for a long period. Moreover, check out what their previous clients have to say about them and their services to make sure that you don’t get fooled by false promises.
4. Availability
One of the most overlooked factors in the list is the availability of the company in question. This can be better explained with the following example. Imagine, your property is not in the neighborhood you’re currently living in, and you are looking for a suitable company in your area. Even if you find a good one, will it be able to cater to your requirements? It is better to hire local companies because they know the locality better than anyone and are supposed to have better connections than others, which can ensure that the property does not stay tenant-free for long and reduce your profits.
5. Communication hierarchy
What is the communication hierarchy in the company that you are planning to finalize? Would you have to deal with one associate or would you be required to talk to every associate handling your property? Yes, an established company may have a number of employees, one for each task, and you may have to deal with them individually. It is advisable to hire a company, where there is only one point of contact from the company, as it will reduce errors and the probability of miscommunication.
Owning a property will not help you earn that extra chunk, managing it right will ensure additional income!
Plan! Hire! Manage!
