Many landlords attempt to take on the herculean task of property management by themselves. While self-management can result in rewarding experiences, over time, it can become too overwhelming. As you invest in more real estate, you will quickly realize how time-consuming and demanding being a landlord can be. Managing a property often forces landlords to quit their full-time jobs, spend less time with family, and abandon their hobbies.
Because property management isn’t for everyone, this is where property managers come in. Property managers have the expertise that can save you from the headaches of leasing your property.
What Does a Property Manager Do?
Property managers handle the day-to-day operations involved in rental management. They oversee all of the activities done on the landlord’s real estate property, which includes everything from hand-picking tenants to dealing with complaints and that occupants might have. It’s the property manager’s job to ensure that the property is occupied all year long to ensure an uninterrupted cash flow. The usual duties of a property manager include:
- Selecting Tenants
- Collecting Monthly Rent
- Scheduling Routine Maintenance
- Marketing the Property
- Handling Repair Requests
- Evicting Tenants
- …and much more.
When Should a Landlord Hire a Property Manager?
Real estate is one of the most lucrative investments. Its value is consistently increasing, making it a great opportunity to secure passive income in the long-term. Although properties can make a decent amount of money on their own, utilizing the expertise of a property management company can help your real estate investments perform even better.
If you’re still on the fence about hiring a property manager, the following situations are signs that you should go for it:
#1 Your investment properties are far from where you live
You can’t successfully manage a rental property by yourself if you’re miles away. Living farther away from your property means you won’t be able to immediately address concerns or complaints, which would give you a poor reputation among your tenants. You will also have to spend hours traveling to and from your hometown to your property — and let’s not forget to mention the money you will have to budget for gas and transportation.
The smart choice would be to hire a property manager to handle the properties located far from your home. It will be more cost-effective to hire a full-time manager who can commit to being on-site, especially when your property needs to undergo major renovations and repair work.
#2 You own more than one property
Property management is like cooking for a holiday dinner. The more dishes that you have to cook, the higher the chances of you burning or ruining them. The same goes with being a landlord — the more properties that you invest in, the more responsibilities you will have to take. You will have to deal with more tenants, respond to more maintenance requests and complaints, prepare more financial reports, and so on.
Handling one property alone is difficult — imagine handling five or ten of them. If you own several properties, the best approach would be to hire a property management company that operates in multiple locations. Whether one property is in Broward County while the other is in Miami-Dade County, a property manager can give each one the attention it deserves.
#3 You don’t have a lot of free time
A lot goes into managing a property. You have other obligations outside of being a property investor, whether it’s being there for your children, building a business, or making a name for yourself in your chosen career path. All of these parts of your life are important, and you might be balancing them pretty well right now — the question is, do you still have space to take on the massive responsibility of being a landlord?
By becoming a landlord, you will have to deal with time-consuming tasks such as finding suitable tenants and advertising your properties. You will also have to make yourself available 24/7 for emergencies and inquiries from interested applicants. A property manager takes the hassles off your shoulders, giving you the time for the more important things in life.
#4 You have little experience in property management
If this is your first time being a landlord, it would be a good idea to hire a property manager to make sure that you don’t make disastrous mistakes. Lack of experience can cost you in the long run — you might hire irresponsible tenants who will end up damaging your property. You might also end up choosing contractors who only look at you as a cash cow.
Property managers have the expertise to carefully and strategically handle all aspects of rental property management. From handling tenant disputes fairly and legally to hiring reputable home service providers, property managers can save you from sticky situations.
#5 You Don’t Want to Handle Property Maintenance
Being a property investor sounds glamorous until you discover that it also involves getting your hands dirty. While you aren’t expected to perform the maintenance work on your own, at times, you will have to be on-site to oversee the work done to your property. Aside from that, it can be a challenge to find trustworthy contractors at moment’s notice. When emergencies happen, such as a burst pipe or a leaking faucet, you won’t have time to look for local vendors that you can rely on.
A property management company works with their preferred network of local vendors, including contractors, plumbers, electricians, handymen, and more. Because of the relationships they’ve built over the years, property managers can often get the best prices for high-quality workmanship.
How You Can Find a Property Manager
Finding the right property management company is critical to your property’s success. Be sure to gain a complete understanding of the property management firm’s practices and policies. In general, your property manager should have:
- Experience in rental property management
- Specialization in several property types
- Understanding of the local real estate market
If you’re looking for a property manager in the South Florida area, Luxury Property Care provides full-spectrum management for residential, commercial, and luxury properties. Contact us at (561) 944-2992 today for a free property evaluation.