Acquiring real estate property is a great way to build your net worth, equitable assets, and income streams. However, managing these properties can be challenging, especially if you have several of them in your portfolio.
For this reason, many real estate investors hire property management companies. This way, they can focus on the acquisition and development side of their business, while their properties are being properly looked after.
If you’re on the fence about whether you should hire a property management company, here are 10 reasons why you should do so.
1. Property Managers Can Screen Tenants
When all of the work is done in revamping your property, you ultimately have to move someone in. Believe it or not, this process is very time-consuming because you can’t just allow anyone to move into your property.
When you hire a property manager, you can automate and streamline the process of screening potential tenants. In fact, according to Green Residential, tenant screening usually comes at no extra cost when you hire a property manager.
Finding the best tenant can reduce turnover, increase your lifetime profits, and eliminate the legal risks of your property being damaged. You can also receive peace of mind knowing that at-risk civilians, such as sex offenders, won’t occupy your property and drive down its value.
2. Property Managers Know the Law
Landlords and tenants both have rights. In some cases, you may approach a situation in which a dispute comes up between you and the tenant. There may be an issue regarding who is responsible for repairing damage to the property caused by a home disaster.
The tenant may also want to break their lease at an inopportune time to the landlord. Whatever the case may be, property managers are knowledgeable in fair housing laws that protect both property owners and tenants.
They can also help make decisions that are equitable for both parties involved. When you hire a property management company, you no longer have to worry about the uncertainty of potential legal issues.
A property manager can also help prevent a lawsuit by notifying the landlord of a broken staircase or other hazard that can pose a risk to other people.
3. Property Managers Can Expedite Maintenance
Every home requires maintenance, even turnkey properties. If you’re on your own with multiple investments, you could spend several hours every week attending to maintenance issues with your tenants.
This will ultimately hamper your bandwidth and prevent you from focusing on growing your business. A property management company employs full-time staff to identify maintenance issues before they happen, respond to active requests, and quickly resolve issues to maintain satisfaction with your tenants. Check mynd.co for more info.
Property managers usually implement the use of software to organize their maintenance requests and streamline their completion.
4. A Property Manager Can Provide Helpful Marketing Services
Posting pictures of a property on Zillow doesn’t count as a viable marketing strategy. In a tight and competitive real estate market, it’s simply not enough to rely on this one-dimensional tactic.
Property managers can not only partner with global real estate websites, such as Zillow and Trulia, but they can also take advantage of syndicated networks for home listings. They can even promote your properties on social media, where billions of users gather to observe different products and services.
5. Property Managers Use Professional Software
When you hire a property manager, you no longer have to chase a tenant down for their rent money. In fact, you don’t even have to deal with any transactions that are flowing into your business.
A property manager will use popular software to collect payments from your tenants. This provides an amazing benefit to tenants, who may need to use their bank account to make payments instead of handing cash directly to you. As a result, you can sit back and allow your business to collect money for you.
6. Property Managers Offer Routine Inspections
Another headache property owners encounter is navigating the move-in and move-out process. To put it simply, they have to get a property ready for new tenants who are moving in and investigate the property for damage when someone moves out.
A property manager will provide routine inspections to make sure your properties are always looking their best. After all, it’s your responsibility to enforce your lease. Hiring a property manager will help you avoid conflict with the tenant.
7. You Can Handle Evictions Easily
Evicting a tenant is not as simple as saying “get out!” There are certain laws regarding the legality of an eviction. Overall, it may even cost you money to handle the issue in court if the situation escalates.
A property manager will help guide you through the red tape concerning evictions. They’ll ultimately help you take a step in the right direction to protect your business and investments.
8. You Can Save Time
As the old saying goes, “time is money.” The more time you save, the better it can be put to use in a more deserving area. Property managers specialize in all of the mundane and complicated tasks associated with moving tenants inside of your home.
They can take care of these issues so you don’t have to, giving you the time and freedom to focus on your business.
9. Accurate Financial Guidance
A property manager doesn’t just keep your investments in order, they can also help you manage your finances as well. Property management companies often employ accountants that will help you discover areas where you’re leaving money on the table due to incorrect pricing strategies.
Thus, you can make more money in the long run by hiring a property management company.
10. You’ll Receive Access to a Team of Professionals
A property management company is a collection of skilled professionals that will manage your business for you. You can be sure that your property manager understands the industry and will make accurate decisions that positively impact the nature of your business.