Hiring a property management company gives you a way to earn passive income while exploring other opportunities. However, you need to find the right property manager for the job based on your needs to ensure that your rental business thrives. With our guidance, you'll quickly know how to choose the right one.
What to Look for in Property Management Companies
Services Provided
Most property management companies offer the same core services: marketing, tenant screening, rent collection, maintenance, accounting, and eviction. However, some companies have more to offer than others such as having actual professionals on their team for certain aspects of property management.
You can start by assessing how well the specific services fit your needs. You might want a property management company that offers professional photo and video tours of your rental properties to create attractive listings for your marketing campaigns.
Experience and Expertise
The services a property management company provides won't matter when they don't have the expertise to back it. New companies can do the job well, but the safer bet would still be on those who have been property managers for years and have extensive experience.
Wave Property Management, for instance, has 51 years of experience combined as entrepreneurs, which means you'll be guaranteed to get an experienced property manager who understands fully the business side of a rental property.
Locality
Arguably the best property management company for your business is one that operates in your area since they will have unique knowledge about the local market that other companies won't. You can also expect that they will be well-connected with the local vendors that you might need access to.
It's easy enough to find a local property management company in your area, and considering this factor first will also narrow down your choices. Of course, this isn't necessary, but it is recommended, especially since they will be easier to reach out to.
Management Fees
You can determine whether the services offered are worth it or not by looking at the pricing structure of the property manager. You might find that the management fees might not work well with your business, depending on how many properties you might have.
Some have flat rates while others are percentage-based. For a residential rental property with a few units, you might be better off with a percentage-based management fee. With bigger investment properties, a flat rate might be the better option.
Technology
A good property management company would be able to provide technologies that can streamline your operations. Some can offer the latest technology for VR allowing you to have virtual tours of your residential or commercial properties.
There are also smaller tools that can make a huge difference in how you handle your rentals like an ROI Calculator or a Vacancy Loss Calculator. You can even use our tools now for free before making a hiring decision.
Maintenance and Repair Response
Most property management companies provide maintenance services, but it's important to check how they respond to the needs of the tenants. How long before they address maintenance issues? How easy are they to contact?
Check the website of the property management company as it often mentions if they have a hotline for such requests, along with how active it is. It's recommended to get residential property managers who can respond to tenant concerns 24/7.
Communication
Property managers will be more in contact with your tenants since they will handle day-to-day operations, so you need to make sure that the property management company's reputation with tenants is a good one. There's a good chance that you'll find that out through online reviews.
A good property manager will help with your rental business' image as well, which is why it's your job as a property owner to hire a management company that will take care of your renters and respond to them as a professional property management company would.
Before You Hire a Property Manager
Check Their Website
If you have done your research, you might've already browsed through your potential property management company's website. However, you can do a more thorough scan through the site to gather more information like reviews, blogs, offers, and more.
Consultation
Check if the prospective property management companies you gathered have free consultation services. You might get a more comprehensive explanation of what they can do for you, and you will need all the details you can get to find the best property management companies for your properties.
Ask Other Property Owners
You can ask property owners who already hired the company to find out how their business relationship is. They will be more credible when it comes to verifying whether you're hiring a good property management company or not.
Review the Contract
Once the property management company gives you the contract, thoroughly review it to make sure that the terms are agreeable for both parties. If you're unfamiliar with some terms, you could consult an attorney, if only for the sake of properly understanding certain terms.
Explain Your Lease Terms
Most property owners have the same terms listed on their rental agreements, but you should explain certain aspects of your lease agreement especially when you have particular property management preferences in mind, and ask whether they can abide by it.
How a Property Manager Benefits Your Business
Property owners see the appeal of hiring a property management company for their rental properties not only because it helps them earn passive income, but also because having an experienced manager significantly helps the business run smoother.
If you're looking for a company that can handle your properties in Boise, Wave Property Management is among the best options you can find. Our website can provide you with complete information about our services, as well as a transparent pricing structure so you can make an informed decision.
You can contact us now, and you can help us help you make the best out of your rental business by maximizing your profits and building your brand.
