Blogging Heros
If you own a rental property, you may be managing it on your own as a DIY landlord. But if you really want to streamline your investment, it’s worth hiring a property manager or property management service to oversee things.
What is a Property Manager?
If you’re considering hiring a property manager, make sure you know what they cover.
“A property manager is an individual or entity hired by the property owner to oversee and manage the daily workings of their real estate investment,” Rocket Mortgage explains. “Property manager responsibilities include setting and collecting rent, handling maintenance requests, filling vacant units and potentially setting the budget for the property.”
Most property managers will not guarantee zero percent vacancy rates or things of that nature. However, much like the approach taken by Beverly Hills property management, they will work hard to ensure your units are as profitable as they can be. Known for their exceptional service, they set a strong example of the dedication and hard work needed to optimize property profitability.
4 Reasons to Hire a Property Manager
Whether you have one property or a portfolio with dozens of doors, hiring a property manager makes sense for several reasons. You’ll find some property management companies that specialize in different types of properties – like luxury property management – that provide tailored services to owners with unique needs.
You’ll also find location-specific management companies, as well as a variety of property managers that fit different types of real estate investment strategies. But regardless of the kind of property manager you hire, here are some of the overarching benefits of having one:
- Lower Stress
One of the biggest things a property manager does is reduce stress. They act as a layer of insulation between you and the tenant.
For example, in a traditional landlord-tenant relationship, it’s the landlord who is getting a call at 2 a.m. when a pipe bursts in the ceiling and a deluge of water starts flooding the kitchen. And it’s the landlord who has to get up, speed over to the property, shut off the water, clean things up, call a plumber, etc.
But if you have a property management service, they’re the ones getting the call. Yes, it’s still an issue that you’ll have to pay for, but you don’t have to respond to it. You’ll simply get a call from the property manager, notifying you that the issue is being handled.
- Time Savings
They say time is money – and a property manager saves you a ton of time. Here are just a few examples:
- A property manager lists your property when it’s vacant, screens tenants, and handles all of the onboarding and move-in process.
- A property manager chases down late rent checks and ensures they get collected.
- A property manager fields all maintenance and repair requests and coordinates fixes.
- A property manager navigates the eviction process, when necessary.
At a minimum, a property manager saves you a couple of hours per week per property. On some weeks – like during tenant turnover – they can save you hours of time every single day. This time can be reallocated to focus on bigger picture tasks, like finding new investment properties or focusing on other businesses.
- Happier Tenants
When tenants have good, reliable, around-the-clock service, it makes them feel respected and appreciated. Thus, having a response property manager can actually improve tenant retention rates and reduce turnover and other related issues.
- Above Board
As a landlord, you might know some of the rules and regulations surrounding real estate investments, taxes, and tenants’ rights. However, it’s not enough to know some of the laws. All it takes is one slip-up and you could find yourself in trouble.
A property manager is a professional who understands screening laws, rules regarding what you can and can’t say to tenants, how to enter the property legally, etc. In other words, they keep you above board!
Putting it All Together
It’s hard to thrive as a real estate investor if you operate in isolation. Being successful in real estate is all about building the right team of people around you, and a property manager is an essential partner.
Yes, it’ll cost you a percentage of your profits, but you have to look at it as an investment. For every dollar that you invest into a property management service, you’ll earn back more in time, freedom, and scalability.
For most landlords, this makes it a no-brainer.
