There are several duties that you must be aware of and respect once you become a proprietor. You should be prepared to pay bills, supervise, organize maintenance, and, most importantly, keep your renters pleased to keep the rental money flowing in. Managing your investment property, much like the process of locating and acquiring it, can be demanding. Fortunately, it does not have to be as complicated! You can practically avoid the hassle of owning an investment property by outsourcing the administration to a professional. Here are some signs you might need a property manager to help you out with the day-to-day tasks.
1. You have another full-time job
You might believe that when you've chosen your investment property, all the daily tasks of managing it will fall into place with your other responsibilities. However, taking care of a property is often a 24/7 job. Some of the duties of a property manager include:
Legal requirements and compliance
Vacant property leasing and marketing
Inspections and turnover of assets
Maintenance and repair coordination
Reporting and taxes
Calculating late penalties and notifying clients
If you have a full-time job, you can assume how demanding all these tasks would be in your already busy working day.
2. You live away from your investment property
When you see an excellent investment opportunity, you should take it - no matter how far it is from your home location. However, when managing that investment property, many things require a hands-on, in-person approach. And we imagine driving for a couple of hours every time you need to serve a notice or take care of a maintenance request isn't what you'd consider an ideal arrangement. Well, investing in property management services could help you avoid that stress altogether.
3. You need help with tenant selection
If you do it alone, tenant selection may be a complex process, but it is indeed simple with a property manager on your side. To begin with, property managers are masters at finding excellent renters. They'll handle everything from obtaining all criminal background and security checks to reviewing credit reports, confirming employment, and gathering prior landlord references. Property managers have access to a tenancy database to look up potential tenants' renting backgrounds. They will be able to recommend the right applicant amongst all rental applications using various tools.
Property managers have the most effective marketing tools and a low vacancy rate, helping you boost your ROI. They are also there to walk potential tenants around the property. This requires time, which many landlords lack. It is, nevertheless, critical to obtaining a property; very few excellent renters would agree to rent a place they have not seen.
Additionally: You're having trouble with your current tenants
Few things are more unpleasant than dealing with tenants who routinely fail to pay their rent each month. Additionally, this is a costly problem that requires owners to react. If you realize you are doing this all too often, it’s a sure sign you need a property manager.
Landlords expend a lot of energy following up, sending notifications, and filing for eviction in the worst-case scenario. Existing tenants might generate problems through code breaches, neighbor complaints, or unlawful activities, even if the issue is not one of payment. All of this implies that the owner must intervene and resolve the situation as soon as possible. On the other hand, employing a property manager ensures that these concerns be addressed without engaging the landlord.
4. You need assistance with paperwork and legislation
There are numerous laws and regulations to protect the rights of both tenants and property owners while renting a property. If you are owner unaware of the requirements, breaching them can have severe and expensive consequences. So, one of the most significant benefits of employing professional property management is the opportunity to avoid legal concerns.
Property managers can prevent breaching discrimination laws by thoroughly understanding all state and federal regulations on discrimination in tenant screening and selection. An expert property manager will know how to handle an eviction promptly if one is required.
It might be tough to ensure that all paperwork is done accurately and adheres to all applicable rules and regulations. Property managers are skilled in preserving both parties' rights in any documentation, such as contracts. It's all too easy for landlords to overlook important clauses in leases, giving renters a way out of otherwise binding agreements. Your property manager will also help you with costs related to property upkeep and repairs. They'll make sure you know when your bills are due so you can pay them on time.
5. You need a property manager to handle vendor relationships
When you run an investment property, there is a constant need for vendor services. For example, if your estate lacks onsite storage, the property manager will ensure you have storage brought to you quickly and efficiently. You will need suppliers, the services of a handyman, contractors, etc. While property owners can struggle to establish connections, property management firms devote a significant amount of work to developing contacts with various local businesses. By hiring a property manager, you get reliable services at competitive prices.
6. You are tired of being on-call
When you have many tenants, each has needs and wants, and they want them fulfilled immediately. So, your phone doesn't stop ringing. And we are guessing there are many other things you would rather do instead of being constantly on call, solving issues. Professional property managers companies like us at ProMax Property Management offer 24/7/365 on-call staff and after-hours call centers for critical emergencies. Your phone will stop ringing, and you can relax, enjoying the company of your friends and family.
If you think you check all these boxes regarding signs you might need a property manager and you're asking yourself when to hire one, the answer is: now! With a professional property management company to take over day-to-day responsibilities, your stress level lowers. You can save your health and time, getting the best out of your investment.