As the US housing shortage continues, rents continue to skyrocket, rising by as much as 31% when compared to 2021. At the same time, the pandemic-driven home-buying frenzy is starting to ebb.
If you've got some cash you want to invest, these factors make now a good time to buy a rental property or rent out an existing property you aren't using.
Keep reading for a quick overview of what's involved in effective rental portfolio management and how you can take the hard work out of it.
What's Involved in Rental Portfolio Management?
When you invest in rental property, you become a landlord. As such, you're responsible for several things related to your property and tenants.
These include:
- Keeping your mortgage payments up to date
- Paying property taxes and insurance
- Maintaining your properties
- Finding tenants
- Collecting rent
- Keeping accurate financial records
- Resolving any relevant tenant problems
Frequently, this amounts to a full-time job, and it's not always a pleasant pastime either. Following up on overdue rentals, fielding complaints at all hours, and evicting bad tenants aren't easy tasks.
On the other hand, you will benefit from rental income as well as the appreciation of the property.
The best way to reap the rewards of owning rental properties without the stress is by hiring a property management company to take care of the leg work for you.
Benefits of Hiring a Property Management Company
A reputable property manager can help you manage every aspect of owning a rental property. They can assist you with selecting the right property at the right price in the best neighborhood.
You never need to worry that your rent is too high or too low when you hire one of these market experts.
They will advertise your vacancies using proven tactics to attract the best tenants. In this way, they find qualified, reliable people to occupy your property.
A property management service takes care of all the unpleasant aspects of being a landlord, like collecting rent, addressing complaints, and evicting tenants when necessary. You can rest assured, they carry out these functions so you don't inadvertently fall foul of the current Fair Housing Laws.
A property manager can deal with all the intricacies involved in dealing with HOAs and ensures you get the best prices on maintenance and repairs thanks to established vendor relationships.
Behind the scenes, a property management company will keep track of each property's expenses vs. income to help you make the best related financial decisions.
Simplify the Property Management Process
It simply makes sense to place an expert in charge of your rental portfolio management, especially if you have many properties and aren't inclined toward managing the finer details.
Hiring a property management service is the only way to truly enjoy passive income from your rental properties, without all the hard work and worry. As a landlord, you'll soon discover it's the most cost-effective way to manage your properties, too.
We can help you build your rental portfolio in the California Bay area and manage your properties more effectively. Get in touch for more information.
