When it comes to finding a good property manager, you need to do a lot of research and put a lot of effort into the search. Just looking for the most likely candidate and quickly browsing over their references will not exactly cut it in some cases. You would be amazed at how much damage bad property managers can do to you financially if left unchecked, which is why these top five ways to avoid bad property managers will serve you very well on your search to finding someone who can responsibly manage your property.
- Management Fee
As an owner, you need to know the essence of the management fee which is somewhat around 10%. The percentage management fee pays for the property manager’s time. The 10% allows someone else to help shoulder the burden of owning the property. The owner is paying for someone else to field 2:00 am calls. It is important to remember that the property manager cannot take all of the responsibility and burdens off the owner.
- Personality fit
The owner’s personality has to fit the property manager’s systems and procedures. Sometimes owners will have difficulty with a property managers systems and processes. If the property management company you hired sets their office hours to 9-5 Monday through Friday and owner wants an update on their property @ 6:00 pm on a Friday evening they will have to wait until 9:00 am Monday. This may drive you crazy if you who want to be very involved in the day-to-day management.
Communication is a two-way street. It is not only the property manager’s responsibility to communicate effectively. You should understand they have to lead the property manager in how they expect the manager to manage the property.
When hiring any professional, an interview will be conducted to hire the right candidate and then the professional is left to alone to do their job. There is no difference when working with a property manager. When you are conducting the interview, you should ask good questions; require straightforward answers, hire the right candidate, and then get out of their way.
- Check Out Their Company
If you’re dealing with a firm, you’ll want to check out the company to see how it operates. Your property manager should be available whenever you need them. When you call their firm, are you able to talk to them directly or are you always dealing with a different person who you don’t know? How do you feel about their customer service? Does their firm have a high turnover rate? These are things to consider because you want your property manager to be there to stay. You want them to be readily available when you need them.
These are additional things to check out of your chosen property management company. It is not only about how tenants are picked or how rents are paid. It should also be about taking care of the property and making sure the property is marketed properly.