Property management is a comprehensive service designed to provide everything landlords need to run a successful rental property business while enjoying a hands-off approach. In other words, a property manager will do everything that a landlord would ordinarily do. However, the property manager also passes along the bulk of the profits to the landlord. There are a lot of individual services involved in property management. The specific services provided depend on the management company you choose.
Marketing a property involves much more than simply submitting it to a few rental property listing websites. In order to attract high-quality tenants, you’ll need to make the property look as appealing as possible. A property management company will take pictures and/or videos of the interior and exterior of the property. They’ll also develop a complete list of all amenities, such as off-street parking, security systems, complementary trash removal, and laundry facilities.
After posting all of that information online, a property manager may show the rental individually to each potential tenant. In addition, the manager might set up open house events so that several interested people can view the property at once. The manager will also answer all questions about the property, striving to portray it in the best possible light.
After prospective tenants fill out rental applications, it’s the property manager’s job to sort through them. The property management company may also conduct credit and background checks, and review employment references.
Finding the right tenant can be quite difficult. It’s also one of the most important aspects of running a rental property business. This is because taking on the wrong tenant may result in significant damage to the unit. In addition, the wrong tenant may fail to pay rent on time or at all, and they may become a nuisance for other tenants nearby. As a result, it’s critical to ensure the tenant screening process is thorough.
Property Management and Maintenance
Landlords often find that owning rental properties is a lot of work. For example, they need to be available on a near-24/7 basis to respond to maintenance requests. Furthermore, emergencies, such as leaky roofs, need attention right away. In addition to placing tenants in units, property managers provide complete maintenance and repair services. This allows the landlord to enjoy a hands-off approach.
A full-service property management company will typically have an online portal that enables tenants to submit repair requests digitally. Property managers may then take care of the problem themselves. Alternatively, they will rely on their local network of vetted contractors.
Landlords are responsible for keeping their properties up to code and fit for human habitation. Unfortunately, not all tenants are responsible. As a result, property inspections are essential. Property management companies can conduct routine inspections to ensure the tenant is taking good care of the property. An inspection can also reveal other issues, such as pest infestations or water damage. It’s always best to take care of these issues as soon as possible—before they become a major problem. Many property managers recommend conducting inspections seasonally, as well as each time a tenant moves in or out.
Rent collection is easily one of the biggest pain points for landlords. In fact, some landlords hire property management companies specifically so they will not have to deal with collecting the rent. Typically, this is because even high-quality tenants might sometimes fail to pay the rent on time. However, landlords also find it stressful to have to deal with paper checks and bank deposits.
A property manager can streamline the process of rent collection. Management companies often have online portals. These allow tenants to pay their rent online. As a result, there’s no need to deal with paper checks, and the funds are available quickly.
In an ideal world, all tenants would pay their rent on time every month. Unfortunately, this is often not the case. Landlords dread having to deal with eviction proceedings. Not only can it make you feel like the “bad guy,” but it’s also a hassle to go to court. Fortunately, landlords can avoid this stress by hiring a property management company.
The property manager will do everything possible to collect the rent from the tenant. If the tenant still fails to pay, the manager will initiate eviction proceedings, taking care to follow the letter of the law.
Not all property managers offer financial reporting, but this certainly is a valuable service. Financial reporting is essentially bookkeeping. However, it’s focused on identifying unneeded expenses and evaluating the profitability of various properties. As a result, landlords can easily figure out how to optimize their profits.
At New Concept Property Management, we offer a complete continuum of property management services. We even offer legal guidance and financial reporting designed to optimize your business! Get in touch with our Tucson office at (520) 305-3950 to get started.