You may have secured a tremendous real estate investment but that’s not enough. Owning a property comes with the critical ongoing duty of property maintenance. If you’re a new investor or your property is located somewhere else, a property manager can be a lifesaver for you.
Since a property manager can make or break your investment, it’s critical to make your decision wisely. This post will guide you on how to choose a property manager.
Ask for Referrals
The most reliable way to find an experienced property manager is through referrals. Your family and friends will be most faithful in helping you find the right professional. If anyone among them has investments in the same area, they’ll connect you to the managers they know and trust. Similarly, if you have a real estate agent, they might be aware of some expert property managers too. These referrals can be highly valuable when looking for a property manager.
Meet Each Candidate In-Person
Once you’ve shortlisted candidates, confirm with the Better Business Bureau and your state’s Real Estate Commission that they are licensed to serve in the region. You may also ask about any complaints the authorities may have received for any of these candidates.
More importantly, be sure to meet each of these property managers in person. This should give you an idea about their attitude and behavior. Someone who is well-spoken should get you tenants quickly and easily. When speaking to the candidate, put yourself in the place of a tenancy applicant and decide whether you’d want to rent a home with this person.
Thoroughly Examine the Property Management Agreement
A property management agreement illustrates the business relationship between you and the property manager. It should also comprehensively cover the responsibilities and tasks of the property manager such as screening tenants, collecting rent, addressing repair and maintenance requests, and so on. It will also include the owners’ responsibilities. If there’s anything you can’t commit to, you may want to assign it to the property manager.
Make sure that the agreement is transparent about all fees, including any additional expenses and charges for the approval process. Otherwise, you may have to face some billing surprises down the road.
Moreover, the agreement must include the termination clauses and of course, the duration of the contract.
If any of this information is missing, it can be a red flag against the candidate and you should move on to find a more experienced professional.
Do They Carry Insurance?
The property manager you choose should also have appropriate, property-casualty insurance and general liability insurance. Your proper manager may require you to carry sufficient insurance too, which shouldn’t be a problem. You can always ask them about the necessary insurance protection you should consider.
By now, you should have developed a fair idea about how to choose a property manager. If you’re looking for an excellent property manager, choose Sensible Home Management today!