The Benefits of Hiring a Property Management Company
April 4, 2016
If you’re a landlord, you’ve probably wondered at some point whether you should hire a property management company. Plenty of landlords manage properties on their own, but the benefits often outweigh the costs when it comes to hiring a property management company.
What is a property management company?
According to Landlordology, property management companies save you time and effort by handling your current and prospective tenants directly, marketing your rental units, collecting rent from tenants, responding to complaints and dealing with maintenance and repair issues. Good property management companies, like Austin Fleck Property Management, bring knowledge and experience and ensure that your property is in good hands.
When is the right time to hire a property management company?
While hiring a property management company has a multitude of benefits, it can be costly. Consider the factors below to decide whether hiring a property management company is the right choice for you.
You should think about hiring a property management company if:
- You own several properties or rental units. If you have too many rental properties to manage on your own, you would probably benefit from hiring a property management company to lessen the stress and hassle of dealing with tenants and prospects.
- You live far away from your properties. If you don’t live near your rental property, consider hiring a property management company to help you handle tenant issues that you can’t handle on your own from far away.
- You don’t like hands-on management. While many landlords enjoy the challenge and rewards associated with managing their tenants directly, some consider rental property ownership as a simple investment and would rather have someone else handle the day-to-day management. If you fall in the latter category, consider hiring a property management company to help you manage your tenants.
- You have limited time to devote to management. If being a landlord is not your 9-to-5, you may find that you simply don’t have the time to devote to property management on your own.
- You can afford the costs of hiring a company. According to Nolo.com, you should expect to pay 5 to 10 percent of your rent revenue to a property management company. If you can afford those fees, hiring a property management could be a great option for you.
- Your landlord business is growing. If you’re in the process of growing your number of properties, you may need a company to help you with your growing number of management tasks.
The benefits of using a property management company
A property management company can offer a number of benefits, including:
- Higher quality tenants. According to ManageMyProperty.com, an experienced property management company, like Austin Fleck Property Management, knows how to analyze and screen tenants properly in order to give you tenants that pay rent punctually, rent for longer periods of time, cause fewer problems and damage the property considerably less than other tenants.
- Increased investment value. Good property management companies know how to handle maintenance problems early on before they become expensive issues.
- Help with property taxes. Property management companies will inform you on which tax deductions to claim and organize the forms and documents you need to make those claims.
- Fewer legal problems. Property management companies know all the landlord-tenant laws and make sure that you are not vulnerable to tenant lawsuits.