Updated: Jan 13
Are you looking for the right property manager for your next property? Your right research and considerations can help you! Read more to find out how.
You have put a substantial amount of your hard-earned money into your investment property, so it's only natural that you want to receive the best possible return on your investment. But to do this, you need a dedicated and professional property manager to maximise your returns and minimise stress. Whilst there's an option doing it by yourself, savvy investors choose to utilise the services of a professional property manager to focus on living their lives and finding more investment opportunities.
To make the property a passive income and to make sure that money works for you; one should always focus on getting the right team. A good property manager is like a mortgage broker, or sales agent who is watching the market and continuously benchmarking the performance of their managements against market yields. Access to the right tradespeople is also another compelling reason why one should have the right property manager.
We all know that the two factors that drive profit are revenue and costs. A good property manager should be working hard to keep costs low, and they should be carefully assessing what does and does not need to be maintained and what the appropriate cost should be.
Choosing the right property manager is vital for the success of your investment property, though choosing one can be a lengthy and difficult process.
So, we have listed tips that can help you choose the right property manager.
1. Do your due diligence
Take the time to find out about the property managers in the area you bought your property. Read customer reviews and get some honest feedback from your fellow investors. Here are some great sites that can help you find the right property manager:
2. Look for a local property manager
Local knowledge is crucial in the real estate business. A local property manager gives you a big advantage in multiple areas such as attracting tenants, setting the rent at the right price, and having contracts with trusted tradies.
3. Word of Mouth
Don't let the property management company's spectacular website or brochure convince you. You need to get past their PR efforts and ask around in your property investors network. Ask questions about your prospective property manager to them. Their feedback is more reliable than any of the property management company's advertising materials.
4. Find out their services and costs
Not all property managers offer the services that you and your property needs. The services differ from each property manager.
So, make sure you know what their services cover and at what cost to know what you'll get for your money.
Any cost involved in your investment should always be put into an important consideration. But keep in mind that it's not the only factor you'll need to weigh. You also need to take into account the value that it can bring. Don't put price above all other factors.
5. Communication style
It is very important to choose a property manager who is easily reached and who make sure that you are always updated with any issues. The property manager should be very effective in communications at all times, whether it is regarding any necessary repairs needed at the property or any issue tenant is facing. Being informed on a regular basis is important.
Before getting in touch with a property management company, do much research to find the best fit for you. Don't rush the process. Choosing the right property management is vital for your property investment returns, your property and most importantly, your stress levels. You want the property to be in the best hands as much as possible. Don't forget that it is your investment property, and it is your financial future that needs to go in the best possible hands.
6. Ask the right questions
To ensure that your prospect property manager is the best fit for your investment property and your needs. It would help if you asked the right questions. Asking questions can be the simplest and most effective ways of learning more about your property manager. It will help you know about the working culture of the property manager you are choosing.
Here are some questions you can ask:
● Are you the property manager that will be looking after my property? If not, who will?
● How many years have you been working in real estate?
● How are the financial aspects managed?
● How many properties do you manage?
● How contactable are you when there's a crisis at my property?
● What happens if my property requires urgent maintenance?
● What is your tenant screening process?
● What is your estimate of the rental potential of the property?
We have an exhaustive questionnaire to help you evaluate your potential Property Manager, feel free to reach out to me via email at email@example.com to avail it.
If you are unsure where to start with your search, get in touch with Get RARE Properties. We are here to help you.
Next steps: Should you want to learn how the author built his $5m balanced portfolio in 7 years, and aspire to own something similar, feel free to get in touch via email at firstname.lastname@example.org or book an appointment here.
Disclaimer: This article is general in nature and does not take into account your personal situation. You should consider whether the information is appropriate to your needs, and where applicable, seek professional advice from a financial adviser.