When it comes to property management, many landlords assume that they can handle the enormous responsibility on their own. The truth, however, is that self-managing a rental property is often easier said than done.
Ask anyone who has hired a professional property management company, and you’ll discover that a property manager can be a lifesaver. Your Florida investment property is an excellent way to earn passive income, but only if it’s in the hands of someone who knows what they’re doing.
If you have an investment property that’s sitting idle, don’t be too focused on the common misconceptions about property management, such as “it’s too expensive” or “it’s just a waste of money.” From handling day-to-day concerns to overseeing every detail that goes into successfully running your rental, the truth is that a property manager can help you reach your investment goals.
Below, we’ll take a look at some of the most common myths concerning property management companies and finally debunk them.
Myth #1: Property Management Companies Charge Excessive Fees
Do all property management companies charge a fee? Yes. Will the fee be worth it? Absolutely.
It’s important to note that property management companies rarely charge exorbitant fees. While there are companies that charge higher than others, it’s because of the type of services that they offer. Despite being costly, a reputable property manager may help increase your rental income because of their familiarity with the local real estate market. They can determine the highest possible rental price that you can charge — which may be hundreds of dollars more than what you were originally charging.
Myth #2: A Property Manager Won’t Look After My Property As Well As I Would
Contrary to popular belief, property managers do not consider your property as a quick way to make money. If you’re thinking, “A property manager won’t care about my property as I would,” it may be time to push that misconception out the door. The fact is that any reputable property management company will be fully committed to ensuring your property’s success.
If they don’t offer the services that they promised, they risk losing you as a client. No company wants that. Hence, they have to look after your property as if it were their own.
Basically, if your property does well, so do they.
Myth #3: Property Management Only Involves Collecting Rent
If only this were true.
Many property owners assume that they can just sit back, relax, and watch the rental payments roll in. Although an investment property generates passive income, this doesn’t mean that you can make money by doing nothing.
The truth is that property management requires a lot of hard work. Additionally, it requires your undivided attention. If you cannot commit to giving 100% of your time to your property, you should consider hiring a property manager. They will oversee the collection of rent, but they will also stay on top of repairs, ensure that the property is well-maintained, handle troublesome tenants, and much, much more.
Myth #4: Property Managers Will Take Complete Control of My Property
This myth is not true at all. While property managers supervise all of the activities that are performed on your rental property, they will never make decisions that are not within your best interests. As the property owner, you have complete control of what your Florida property manager can and cannot do.
For instance, a property manager will never make renovations without your approval — even if the home improvements may actually benefit the property in the long run. Additionally, even if you want to be completely hands-off, your property manager will still ask for your input on most matters.
You will always have the final word.
Myth #5: Property Managers Won’t Screen Tenants — They Just Want to Take My Money!
Rumor has it that property managers pretend to screen tenants to fill vacancies as quickly as possible. The good news is that this is nothing but a rumor.
A reputable property management company will always subject each prospective tenant to a thorough screening process before allowing them into your rental property. They don’t trust their intuition alone, but instead back it up with evidence such as the prospective tenant’s rental history, credit score, criminal records, and more.
Although the screening process can be time-consuming, it’s a step that cannot be skipped. Screening helps property managers choose the most high-quality tenants, reducing the risk of headaches down the road.
Myth #6: Who Needs a Property Manager? I Can Do the Maintenance By Myself!
Unless you’re a jack-of-all-trades, it may be difficult to handle maintenance works on your own — especially when it comes to emergency repairs in the middle of the night. Some tenants won’t care if they’re disturbing your sleep. If they notice something wrong with the rental property, they expect you to drop everything and fix the issue immediately.
A Florida property management firm will have established a network of local service providers, such as plumbers, electricians, handymen, etc. whom they can count on. Additionally, they may be able to negotiate the costs for repair works, saving you a ton of money.
Myth #7: Property Management Companies Are An Unnecessary Expense
Do you have access to the Multiple Listing Service? Do you know how to accurately conduct a market analysis? Are you familiar with federal and state landlord-tenant laws? Do you know how to draft a lease agreement? Do you know and when to file your taxes, as well as which deductions you qualify for?
If you answered “no” to at least one of the questions, then you will need to hire a property manager. The truth is, you probably don’t know the bulk of what goes into property management.
Managing a Florida rental property may seem simple but it’s harder than you think. Having a reputable property management company by your side can spell the difference between your investment property’s success and failure.
Don’t listen to the myths and start looking for a property management firm. It will allow you to free yourself from tedious and time-consuming tasks, giving you the freedom to do the things that matter most to you.
Experience the difference that a property management company brings by contacting Luxury Property Care today. We have expert property managers who will take care of your property from top to bottom.