If you’re the new owner of a property, or you’ve handled management of your investment property for a long time, you may be considering hiring a property manager.
Property management is a big job requiring a huge commitment of both time and effort. While you may think that you can handle the daily needs of your property or properties, especially if you’re particularly handy at home and you live close to your property, you still may not be prepared for the several hours each month you’ll need to devote to the property.
If you have any hope of expanding your business, hiring a manager is a great choice. Here’s why you may want to hire a manager and ease the burden of management on yourself.
You’ll set appropriate and beneficial rental rates
Yes, you can figure out a reasonable rent to charge for your property by searching online and seeing what other landlords are charging, but this is only going to give you a ballpark and it isn’t going to take certain factors into consideration. If you hire a property manager, they’ll conduct a much more thorough market study to determine the right price for your specific rental property. This will help you find the right balance between getting the most monthly income possible while having a low rate of vacancy.
You won’t have to worry about advertising or marketing
Advertising and marketing is a full-time job in itself, and if you don’t have any experience with promotions, the learning curve is going to be huge. By hiring a manager, you’ll automatically get the right type of marketing strategy for your property and geographical area. They’ll create compelling marketing materials and advertisements to fill up your property with renters and avoid vacancies.
Finding and managing the best tenants
Property managers know how to seek out and accept the right tenants, and they’ll handle everything from running background checks and credit reports to verifying their employment and income. Once you have tenants, the property manager will deal with anything that pops up, like handling emergencies, conducting regular maintenance and dealing with conflicts to find a resolution.
Rent payments will be handled for you
Getting clients to pay and then processing those payments is a big job in any type of business, including property management. When you hire a manager, you’ll also get their efficient system for collecting rent and ensuring tenants pay on time, every time. This is a huge help when it comes to managing your cash flow, and it’ll alleviate a big headache for you if you have troublesome renters who pay late.
Ensuring compliance with regulations and laws
When you own a property, there are so many different regulations and property laws to follow. By hiring a manager, you don’t have to become well-versed in these numerous guidelines. Property managers will know everything there is to know about local, state and federal rules regarding housing and property.
You’ll make the most of your time
When you’re an investor in the property industry, your time is worth something. When your manager is dealing with the day-to-day needs of your property, you can seek out other investment opportunities and spend your time where it’s truly valuable. This will help you evolve your career while also caring for your current properties.
You’ll be able to invest in properties that are farther away
If you were to handle your properties all on your own, you’d need to keep them relatively close to where you live and also close to each other so that you can get to them when needed. When you work with property managers, though, you’re not nearly as limited by geography and can look for opportunities farther away, which is a great goal for any property investor.
You’ll save money
While the property management company you choose will charge a rate for their fees, the money (and time) you save will far outweigh this. The return-on-investment is huge when you work with a professional.
Unless you plan on turning your investment properties into a full-time job, it’s a good idea to hire an experienced manager who can take the stressors of being a landlord off your shoulders. It won’t be long before you see the true and great benefits of letting a professional handle the ins and outs of your properties.