Welcome to Why an Investor Needs a Property Management Company Pt. 2! Time to pick up where we left off:
Once the rental rate is set for the property, the property management company will start the improvements to make it ready to receive tenants. Marketing of the property is done by the property management company in accordance with the latest housing trends. Different platforms will be used for marketing based on the targeted tenant category. Housing rules of the area also taken into consideration when the tenant category is decided.
A proper background study will be carried out by the property management company for the short-listed tenants to have an understanding of their income, identity and etc. Once the background check is done, the company will inform the property owner/investor about the short-listed candidates so that the investors also can join for the decision-making process.
Property management company handles the moving-in process with the tenant. It will review the payment terms, lease agreements and the expected maintenance standards with the tenant before the tenant moves in.
It is the property management company’s responsibility to collect the rent payments. The company is required to follow-up regarding the late payments as well. Scheduled safety inspections will be carried out in order to determine whether the property meets the maintenance standards. It is also required to identify the repair necessities which will be informed to the property owner in a report. Based on the decisions made on the repair and maintenance necessities, the property management company should employ the required services to do the needful on behalf of the owner.
The property management company provides accounting services to file and maintain financial information regarding lease agreements, payments, inspection reports and etc. Also, it will handle the mortgage, insurance, and taxation of the property on behalf of the property owner.
Finally, when the tenant wants to move out, the property management company will carry out the inspections and report will be documented, which will be handed over to the tenant regarding the damage costs. All the agreement related work and the payment settlements such as deposits, security payments, damage costs and etc. will be handled by the property management company.
Hiring a reputed property management company such as Los Angeles Property Management Group (https://www.losangelespropertymanagementgroup.com) helps the investors to boost and run their real-estate businesses more effectively while building a better reputation in the industry.