6 Things to Look For in a Property Manager
1. Hire a licensed property management company
Sounds like a simple thing but a lot of people don’t check to see if the person they want to hire have a license or not. The first thing that they look for is whether or not the property manager is affordable and their personality. Sometimes it is a good thing to pay a little extra in order to have a licensed property manager, because they will know how to take care of all the paperwork as well as any unforeseen complications.
2. Look at the managers portfolio
Take a look at some of their current managed properties, ask for the addresses of a few locations, which are currently being managed by them. After reviewing the conditions of the property, which they are managing you can start to eliminate some of those candidates.
3. Is the fee reasonable?
There is no such thing as a standard management fee, it all depends on your market area, however you can expect to see fee ranging from 8-10% of the monthly rent amount as the management fee.
4. Will your property be inspected?
Make sure that your investment is being taken care of properly by being check inside and out. If you have a long-term tenant it is still important to check on the condition of the home, that way you can head off any major problems that the tenant hasn’t reported or noticed.
5. Interview your candidate
You should review all of your candidates and ask questions like how many times have you evicted someone on their current property. A high rate eviction can tell you that they aren’t screening the rental applications well enough. Renters should be expected to pass the basic credit check and have a satisfactory reference from the previous landlord.
6. Review the contract
Have a well written agreement that includes a termination clause. If you are unhappy with the property manager you should a pre-defined method for ending that relationship. Perhaps consider providing a 30 day written notice with the company or person about your concerns and dissatisfaction.
The most important thing to remember is that you are satisfied with your property manager and that they are easily accessible.