Owning a property for rent involves additional responsibilities that should be entrusted to an experienced real estate operator. What should you consider when choosing a property manager and what should a favorable lease management offer include?
When browsing through the offers of real estate operators, it is worth paying attention to the list of services offered, the method of settlement, knowledge of the local market and reviews of previous customers.
It is worth starting your search for a rental company by visiting the operator’s website. There you can find a lot of information about the company itself and the services offered, references and contact details.
Before you contact the selected company, prepare a list of the services you care about most. The manager’s tasks include:
- tenant verification and communication with tenants,
- collecting rent,
- real estate inspection,
- coordination of maintenance and maintenance works,
- basic accounting and reports,
- marketing activities.
Communication with tenants
Appropriate communication with tenants is one of the key skills that should characterize a good manager. Organizational skills and ongoing contact with people renting the property will allow us to maintain a high level of services.
Responding to the needs of tenants and collecting information about the condition of the property takes a lot of time and requires communication skills, as well as knowledge and experience in management.
Determining the amount of rent
Rent collection is another important part of property management. Keeping an eye on payment deadlines is one thing, but it is also important to properly set the rent amount. That is why it is so important to choose an operator who knows the local market, its conditions and competitive offers.
Professional knowledge of the current housing market is necessary to prepare an offer that will quickly gain the interest of potential tenants. Experienced operators have the tools to conduct a thorough analysis and ensure that the rent amount is adequate to a given property.
After determining the rental price, it is also worth checking on what terms the rent is collected from tenants and within what period of time after payment the money will appear in your account. It is also worth knowing the procedures implemented, e.g. when a tenant is in arrears or late with a payment.
Agreement
Before you sign a rental management agreement, ask all the necessary questions and make sure you understand each of its provisions. The contract should include the scope of the manager’s services, the amount of fees charged and the obligations of the property owner. The contract should also specify how repairs are handled and settled, and it is also worth setting a limit on expenses related to the management of a given premises.
Additionally, it is worth including the duration of the contract and clauses regarding its termination. The contract outlines the business relationship between the owner and the property manager, so read it carefully and make any necessary changes before signing it.
Insurance
It is also worth asking the property management company about third party liability insurance. The manager is subject to mandatory civil liability insurance, so every company offering high-quality services should have it. The operator’s civil liability for negligence or damage caused gives the owner of the premises peace of mind and certainty that he is protected in the event of irregularities.
Opinions and references
Opinions you can find on the Internet and references provided by customers may be helpful when choosing a property management company. Check online reviews and ask the operator for current customer and tenant references, if available.
By the way, it’s worth checking whether the property manager responds quickly to your inquiries to ensure you get help and relevant information whenever you need it. This will also show what your relationship with the property management company will be like.
Summary
The right property management company is crucial to the success of the investment. Analyzing the above-mentioned elements will allow you to choose an experienced operator, thanks to which you can sleep peacefully. This will give you confidence that your property is in good hands.
