When Do I Need a Property Manager?
Property management companies can be a great asset to your rental business. They can help you manage the day-to-day operations of your rental property, such as tenant screening, rent collection, maintenance and repairs, and more. They can also help you to maximize the return on your investment by ensuring that all aspects of the property are managed efficiently and effectively. In fact, the number of investors using property management companies has increased from 55% to 63% in recent years. By partnering with a property management company, you can save time and money while enjoying peace of mind, knowing that your rental business is in good hands.
However, not all landlords require the help of a property management company. This article will help you determine if a property manager will add value to your real estate investment portfolio.
How to Determine If You Need a Property Manager
Renting out a property can be a great way to generate passive income, but it also comes with its own set of challenges. From finding tenants and managing the rental process to dealing with tenant complaints and maintenance issues, being a landlord is no easy task. This is why many landlords choose to hire a property manager through a management company to help them manage their rental properties. These companies offer a wide range of services that can help landlords reduce their workload and ensure that their properties are well taken care of, but they are not for everyone. To determine whether you need a property manager, consider these factors:
Do You Have Lots of Rentals to Manage?
Using a property management company can be expensive if you are handling just one or two rentals. The more rentals you own, however, the more cost-effective working with a property management partner can be, as the partner can handle all day-to-day tasks associated with running a rental business.
From tenant screening and rent collection to maintenance and repairs, property managers can help landlords save time and money and provide an extra layer of protection for landlords by ensuring that all tenants are properly screened.
Do You Live Far from Your Rental Properties?
Property managers are an ideal solution for investors who own rental properties but live far away from them. These companies provide a range of services that make it easier to manage the property from a distance, including handling tenant inquiries, collecting rent payments, and performing regular inspections. With the help of a property management company, investors can rest assured that their rental properties are being taken care of even if they’re not physically present.
Do You Hate the Idea of Hands-On Management?
Property managers are a great option for investors who don’t want to deal with the daily hassle of managing their properties. These companies provide a range of services such as tenant screening, rent collection, maintenance, legal advice, and more. They also help investors maximize their rental income by setting competitive rental rates and ensuring that their properties remain in good condition. By taking care of all the tedious tasks associated with property management, these companies can help investors save time and effort while still enjoying the benefits of owning rental properties.
Are Your Properties Part of an Affordable Housing Program?
Rentals participating in an affordable housing program often come with complicated sets of rules that must be followed. Typically, these programs offer landlords specific benefits such as tax credits for renting part of your property to renters earning below a specific income. Not following the rules can jeopardize your participation, so partnering with a property manager that has experience in managing housing programs can be an important asset.
Do You Cringe at the Idea of Being an Employer?
Many investors try to save money by hiring a resident manager to manage their rental properties. However, this means you must create and handle payroll and be cognizant of workplace laws and requirements. Property management companies are independent contractors rather than employees, so hiring one lets you avoid these hassles.
Are You Overwhelmed with Property Management Tasks?
Perhaps you began with just one or two properties, but now your portfolio has grown to comprise five, ten, or even more rental assets. If that’s the case, you have probably noticed a significant jump in the amount of time you must spend managing your properties. At some point, managing them yourself — or even through a resident manager — becomes cost-inefficient. When this happens, partnering with a property management company becomes a smart choice that can save you time, money, and aggravation.
Trust 33 Realty for Hands-On Property Management
As a third-party management company, 33 Realty can offer full-service property management services. From investment sales to residential leasing, we help our clients maximize their real estate investments through thorough, cost-effective, hands-on management when they need it.
If you are overwhelmed with management tasks, our team can help. Contact us here or call 773-839-4728 and get started today!