Being a landlord entails various responsibilities. Those include maintaining tax records, payment invoices, drawing up leases, screening potential tenants, dealing with maintenance issues, and resolving any tenant complaints that may crop up.
You may discover that matters become even more complicated if you own multiple properties. It is tantamount to having another full-time job.
If you’re looking to shoulder some of the burdens, a trustworthy property management company can be a godsend. Keep reading to see how a professional property management company can save you money:
Compliance gets easier with property management expertise on your side
Landlords don’t just have to attend to the local and state matters. They must also be well-versed in compliance issues. Undoubtedly, the latter is one of the most complex things you will juggle when buying rental properties.
For example, you purchased the property because you liked the view from its deck. But, after purchasing, you get a notice to take the deck down because it is placed illegally. It’s ok if you didn’t have the requisite legal knowledge to know it before buying.
This is where a professional property management company could have saved you, only if you had the services of one. They will already have procedures and manuals in place that ensure you remain on the right side of compliance.
Moreover, property managers will also have the knowledge you would need to understand taxes, anti-discrimination laws, fair-housing, and eviction procedures. You can put it to use when you file taxes or must evict a troublesome tenant.
Keeping the new house from staying vacant
If you don’t intend to live in the new house you purchase, you’re likely buying as an investment option. But should it remain vacant year after year, you won’t see the consistent cash flow that you were hoping for.
In that event, hiring a great property management company can come to your aid. They will screen the tenancy crowd before letting your house to them. Therefore, the chances of coming face to face with tenants who need evicting, won’t pay the rent, etc. will be minimal.
Take a load off your landlord shoulders when it comes to paperwork
We all know the qualities that make a property manager the right choice for you. They should be capable of handling all the necessary paperwork and the hassle for you. For instance, screening the tenant means going through their credit reports, doing background checks, and accounting the monthly rent that comes in.
Moreover, if the property you buy will offer subsidized housing, it adds to the documentation heading your way in the future. The same is true if your property has a high turnover rate.
Just getting a handle on the documentation each month will eat many hours of your time. That changes with the assistance of property managers.
Reducing the advertising costs and increasing the visibility of your property becomes possible
Through advertising, property management companies can save landlords so much money. It is because they know the people who run local websites and newspapers. Thus, a discounted rate for advertising via those sources doesn’t seem implausible. Does it?
In addition to that, property managers are often wizards in other ways of making properties more visible. For instance, putting up a virtual tour on YouTube can let the prospective tenants see it without the need for a physical inspection.
This saves you time and doesn’t disturb any tenants already living on the property.
Hand over matters of repairs and maintenance to the pros in the know
If the house that you buy comes with a new roof and water heater, the chances of either requiring repairs will be slim. Before you purchase a new house, property managers can help you inspect the building.
They’d tell you all the shortcomings, like whether the physical structure is sound enough or not, etc. That way, you can skip the part where your tenants call you frequently for repairing.
Other than that, as a landlord, you will also likely own the land that your new house sits on. Expert property managers can tell you if you must devote some resources to it. Jobs that may need doing can include mowing lawns, planting flowerbeds, installing sprinklers, and repairing pathways. After all, an attractive and well-maintained piece of land will invite in better offers.
Taking advantage of the vendor-property manager relationships
A property management firm that has been around in an area for a long time usually cultivates relationships with the vendors in the area. This connection will come in handy when you want to keep up with the maintenance of your rental house.
Through the property managers, you can reach out to maintenance vendors who partner with them. In short, you will probably get better rates and vendors who know what they’re doing. A full-service real estate company can supply you with a list of licensed vendors who can do quality work at the best price.
Also, during the repair job, your property managers can help to coordinate between the vendors and tenants.
Indeed, a landlord would love a definite answer to this very important question. Do I hire a dedicated property management company? Or do I handle all these tasks by myself?
Usually, the answer depends on whether you have the expertise and the time to take the latter route. Because as we mentioned above, you will be embroiled in various legal and technical issues. Also, all the paperwork, you’ll have to it yourself too.
Tenants are happier if their complaints see resolution within 24 hours. Thus, a handyman must be available whenever you need them. Such queries can come in at any time, and a property management company can make sure that the problems are addressed timely and efficiently.
Lastly, do you feel comfortable going to your tenants to ask for rent? You’ll be doing that every month. So, be sure. If you don’t think you’re up for all that, spending some money to hire a property management company can solve most issues.