It's no secret that property management can be time-consuming and sometimes overwhelming, so why not let someone else take the wheel?
But before you hand over your keys and trust someone else to manage your investment, it's important to do your due diligence and make sure they're the right fit.
To help you with that, we've put together a list of questions to ask potential property managers before signing on the dotted line. So whether you're looking to manage a single rental unit or an entire portfolio, read on, so you can make sure the property manager you choose is up for the job.
Property management isn't just a job - it's an investment. Hiring a property manager can be a great way of ensuring that all the day-to-day tasks associated with rental properties are taken care of so that you can focus on other things.
Here are a few responsibilities that a property manager can help you with:
Finding and screening tenants
Collecting monthly rent payments
Handling repair requests and maintenance issues
Make sure your property meets local regulations and laws
A great property manager will take care of all these time-consuming and hectic tasks. But if you decide not to hire a property manager, all of these tasks will fall to you.
Nothing is more important than finding the right property manager for your rental property. That's why it's important to ask many questions and do your research before making a decision.
We have compiled a list of questions that you can ask to make sure the property manager is up for the job:
First and foremost, it's essential to make sure the property manager has experience managing properties similar to yours. Ask them about their portfolio and inquire how many rental units they currently manage.
Here are a few more questions to ask about their portfolio:
How long have you been managing rental properties?
What types of rental properties do you manage?
Do you have experience working with long-term tenants or short-term rentals?
What is the average occupancy rate of your units?
It's also important to make sure that the property manager is clear about their fee structure. Ask them what fees they charge as well as when and how they expect to be paid.
Here are a few more questions to ask about their fees:
Do you charge a flat fee or a percentage of the rent?
Do you charge any additional fees for repairs or maintenance?
Do you have a policy on late payments?
What type of payment methods do you accept?
Do you provide monthly or quarterly reports on the property's financial performance?
Do I still have to pay you if a unit is vacant?
Is there an extra cost associated with filling vacancies?
Is there an extra cost associated with carrying out an eviction?
How many people are on your team?
It's important to make sure that your property manager has an established process for finding and screening tenants. Ask them about their tenant selection criteria and what background checks they perform on prospective tenants.
Here are a few more questions to ask about screening renters:
How do you verify the information provided by tenants?
What kind of background checks do you perform on prospective tenants?
Do you have any special requirements for people applying to rent a unit?
Do you provide any kind of tenant education or support services?
Ask the property manager about their process for dealing with repairs and maintenance requests. Inquire about how quickly they respond to tenant requests and who is responsible for carrying out any repairs or maintenance.
Here are a few more questions to ask about repairs and maintenance:
Who is responsible for paying for repairs or maintenance?
Do you have any contractors that you use for repairs and maintenance?
Do I need to approve the cost of any repairs or maintenance before they are carried out?
Do you provide any guarantees on repairs or maintenance work?
Do you have a regular schedule for inspecting the property?
Here are a few more questions to ask about tenant management:
How do you typically resolve tenant disputes?
Do you provide any tenant education or support services?
How long does the eviction process typically take?
Do you have a policy for returning security deposits?
Do you have any advice for handling difficult tenants?
Asking these questions will help ensure that you find the perfect property manager for your needs.
Choosing the right property manager is an important decision, and it's essential to make sure you find someone who is experienced and capable of meeting your needs. Make sure to ask about their portfolio, fees, tenant selection criteria, repairs and maintenance procedures, and tenant management policies. Doing so will ensure you have all the information you need to make an informed decision about who should manage your rental property.