The property management company you choose will have a huge impact on the overall success of your business, which is why doing your due diligence in the hiring process is something you can't simply skip. If you don't know which services most property management companies provide, here's a standard list of what you should look for:
Standard Services from Property Management Companies
Marketing
Your property manager should be capable of conducting effective marketing to encourage prospective tenants to rent your property, which will reduce your vacancy rate and increase your rental income. This can come in various forms such as:
- Professional Market Analysis: Expertise in the real estate market will help your property manager create informed decisions based on current market conditions.
- Professional Photography and Videography: The presentation of your property in listings can determine whether or not a potential tenant would consider renting the unit.
- Online Advertising Exposure: In the modern age where the convenience of the internet is hugely popular, an online presence can provide your business with an edge that others might not have.
Tenant Screening
Property managers are also tasked with screening tenants to make sure that they follow the rules stated in their lease agreement. The reliability of your tenants serves as a significant factor in your rental income. Some of the criteria that a property management company should consider include:
- Credit Score
- Debt-to-Income Ratio
- Criminal History
- Employment Verification
- Eviction History
- Previous Landlord Remarks
This mostly applies to residential property managers since commercial rental properties use a different screening method, and you need to consider this factor when hiring a property management company.
Rent Collection
Rent collection is among the day-to-day operations property managers handle. While that's easy enough if you have tenants who pay on time, you will need a professional property management company to deal with those who don't.
Blue Line Property Management uses an online tenant portal that can be accessed 24/7, which can encourage tenants to pay on time because of the convenience. Ultimately, you will be paid faster and more consistently.
Maintenance
Property owners bear the responsibility of providing a hospitable living environment for their tenants, and that can be achieved through regular property maintenance and inspections. It continually lowers turnovers and increases lease renewals.
Property management companies will have access to the best maintenance vendors on offer, and vendor bills and receipts are emailed monthly to the property owner. The company should also have an owner portal where records can be viewed at any time.
Accounting
Property owners also have the burden of crunching the numbers for expenditures, income, and other money-related tasks. The difficulty of the job can also depend on how many properties you're managing, so hiring a property manager might be the best option.
During consultations, you should ask the property management company which tools they use to process all the details of your financials. Blue Line Property Management uses a secure, advanced, and fully automated web-based accounting system, eliminating human error from the equation.
Eviction
The eviction process can be the most stressful part of managing your rental property. If a tenant regularly fails to pay rent or violates the terms of their lease, eviction might be the answer to their actions.
A good property management company will know how to handle the process, from sending a written notice to handling the eviction in court. Hiring a property manager is advisable especially if you are unfamiliar with real estate laws and regulations.
Finding the Right Property Management Company for You
Other than the services provided, there are also several factors to assess the best property management company for your rental property.
Property Managers from Your Local Community
A property management team from your local community is always a better fit, especially since local teams will be more knowledgeable about the local real estate industry, laws, and regulations to consider.
Experience and Expertise
A quality property management team goes beyond their in-house team. The networks they build and the knowledge they have access to play an important role. They should have contacts with local attorneys, accountants, real estate agents, and other professionals you might need.
When you interview potential property managers, you should consider how many years they have been in the business. The more experience they have, the more likely it is that they are doing something right.
Reputation and References
You don't have to take the property management company's word for their excellence. You can look at online reviews or ask their clients for testimonials on how good they are at managing properties before you hire them.
Communication and Responsiveness
A good property manager establishes strong relationships with both you and your tenants. You should evaluate how their employees manage and respond to maintenance issues and other tenant concerns. An inconsistent company may lead to higher vacancy rates.
Property Type
Many landlords don’t consider the type of real estate property they have. For instance, an office building is handled differently from an apartment since the maintenance frequency for commercial buildings may be more frequently needed.
To find the right property management company, look into which property types they manage such as residential, vacation, and commercial investment properties. Some companies are limited to handling one or two types of properties, while some cover all kinds. If they align with your needs, then you’re all set. An honest company will never be afraid to refer you to someone else if it’s not the right fit, however.
Fees and Other Costs
To find out if the management company is worth the investment, browse through its pricing structure and compare it to the work performed and the resources provided to the landlord. Make sure they are transparent about their charges and that there are no hidden fees. Despite the extra cost, property management can and will lead to a higher ROI for your business.
Blue Line Property Management Can Handle Your Rentals
When making this decision, consider us for your Contra Costa County property management needs. Acknowledged as East Bay's highest-rated property management company, your rental business will be in good hands with Blue Line Property Management. We cover all management responsibilities and provide access to technologies a landlord or tenant might need such as online portals and a free rental analysis tool.
You can check out our website to see how Blue Line Property Management can optimize your rental value, or schedule a free consultation and we can further explain how your properties can benefit from our professional management team.
