Residential Property Management Myths

Not all property management companies are created equal.

We look at some myths surrounding residential property management.

Property Managers Charge Too Much Money

As with any business, you get what you pay for. If you want cheap service, then expect poor quality service as well. The truth is that there are many different types of residential property management companies out there, and not all of them offer the same level of service. Some charge more than others, but this doesn’t necessarily mean that they will provide better service than someone who charges less money. It all depends on how much value they bring to your business operations and how much time they save you by managing the day to day operations of the property.

Property Management Companies Are a Waste of Money

Property management companies are not a luxury but an insurance policy against losses. The value of your investment may decrease over time due to factors outside of your control (rising interest rates). However, a good property management company will help minimize potential losses by ensuring that the property is well-maintained and tenants pay rent on time. In addition, property managers will review monthly financial statements to help ensure that the owner maintains positive cash flow throughout the year.

A good property manager will also have access to resources you may not have access to, such as local contractors if repairs are needed or other professionals who can provide services at discounted rates because they work with multiple clients.

Property Management Is Just for Large Apartments and Commercial Real Estate

Many think that property management is only for large apartment complexes or commercial property developers. The truth is that property management companies can help landlords with any type of residential rental property — from single-family homes to duplexes to 4-unit apartment buildings — as long as there is at least one full unit available for rent.

The Property Manager Will Take Care of Everything for You

The property manager does not take care of everything for you, especially if you have multiple properties or need to be hands-on with your investment. You must understand what responsibilities are involved with hiring a property manager and responsibilities of all parties involved..

Property Managers Do Not Care About Your Property As You Do

This is clearly a myth. In fact, property managers are there to ensure that your property is well taken care of and maintained. They are not just responsible for managing rental payments but are also responsible for making sure that there is no damage done to the property by tenants. If any damage occurs, they will be responsible for making sure that it gets repaired and managing leaseholder expectations.

Finding Tenants Is Easy, and There Are No Risks Involved

The truth is that finding tenants is not easy at all. If it were, then there would be no need for property management companies! In fact, the process of finding new tenants can be very time-consuming and stressful. You will have to screen prospective tenants and conduct background checks on all of them before they move in. You will also have to deal with legal issues such as evictions and disputes between landlords and tenants. Finally, you will have to ensure that the rental property is maintained properly and that any repairs are done quickly if something breaks down.

All Property Managers Perform the Same Tasks, so They Are All Interchangeable

This is a myth that needs to be dispelled. The truth is that all property managers do not perform the same tasks and are not interchangeable. A residential property manager acts as an intermediary between landlords and tenants, while a commercial property manager handles the leasing and management of commercial properties. In addition, a residential property manager will handle the day-to-day tasks of managing the property. In contrast, a commercial property manager will handle building operations such as maintenance and repairs.

Property Managers Are Not Licensed or Certified Professionals

Most cities require professional certification to become a licensed professional. However, some cities do not require certification or licensing of residential property managers, but this does not mean they are exempt from performing their duties professionally at all times while handling other people’s properties or properties where owners or tenants have appointed them to manage such properties on their behalf. This is another misconception that needs to be corrected.

Do-It-Yourself Management Will Save Me Lots of Money

This is a common misconception among property owners. While it is true that you don’t have to pay a property manager, the amount of time and effort that it takes to manage your property can be significant. You will need to take on the responsibilities of a property manager. They manage fire alarm tests, health & safety inspections, communal are management and cleaning. All the way to preparation of service charge budgets to building insurance.

Property Managers Will Take Complete Control of My Property

The property manager’s job is to help with the property’s day-to-day operations so that you can focus on other things.

Factors To Consider When Choosing a Property Manager

There are numerous factors you need to put into consideration when choosing a reliable residential property management company. These factors will work toward making the entire process of property ownership lucrative. The factors to consider when choosing a property management company are:

Fees

The first factor to consider is the fees charged by the property management company. The fee charged depends on the services provided by the property manager. The services include managing rental payments, collecting rent, and dealing with tenant concerns.

Experience

Another important factor to consider when choosing a residential property management company is their experience in managing properties. The experience will help them know how to handle any problems that may arise during the tenancy. Ask to see how they manage other properties, budgets and what systems they use for communication with leaseholders.

Property Management Services to Be Offered

Another important factor to consider when choosing a residential property management company is the type of services they offer and the kind of properties they manage. You should find out whether they manage properties like yours before deciding on one particular company because some companies might not have enough qualified staff or equipment needed for certain types of properties, such as commercial offices or industrial spaces.

Communication Policy

Communication is important when choosing a residential property management company because you want to know how they respond to inquiries and complaints from tenants. You should select one willing to answer your calls at any time of day or night and resolve problems as soon as possible. In addition, they should have an online portal where you can submit requests online and track their progress in resolving issues raised by tenants on time so that there is no delay in addressing them at all times.