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YahooFirst, let’s define what a property management company does. It acts on your behalf to assure that a specific property or group of properties are maintained in excellent condition. As you might expect, hiring a property management company to take care of a single family home, condominium, or apartment building can be simple or complex in duties performed, costs and length of contract.
Some people may hire a Property Management Company for a single-family residence for the following reasons:
- Taking care of property while owners are on vacation
- Maintaining property while property is on the market for sale
- Managing property while property is being rented
- Maintenance of lawn and landscaping; trash and recycling collection; payment of mortgage, taxes, electricity, water, and gas
- Assuring property and building codes are up to date, homeowner’s association rules are followed, and taxes are current
- Providing owners and or investment group an on-going service for multiple properties
- Managing and overseeing multiple vendors to assure quality of work performed as it pertains to the design, completion and payment of various projects, including vendors in construction, landscaping, home repairs, pool and spa maintenance, architects, builders and designers.
For a single family home, condominium and or townhouse, a property management company may perform simple duties, such as interfacing with tenants to conduct credit checks, collect payment for rent, perform light maintenance and repairs, and assure tenants are taking proper care of both the interior and exterior of property according to lease and or rental agreement.
As a property increases in size, the duties associated with such property will become increasingly complex and may require advertising, background checks, possible litigation, large-scale repairs, living on the property, and possible outsourcing for regular maintenance, etc.
Preliminary Research: Reputation is Critical
You want to find out as much as possible about the organization, such as
- How long the firm been in business.
- The size of company.
- The type of management style.
Be sure to inquire about the firm’s reputation by soliciting other people you might know. Research the Internet to find positive and negative comments that may have been posted. Be sure to contact the Better Business Bureau for any data they might have.
Prior to scheduling a formal appointment with the property management company, research their website to gain a better understanding of the organization, size, management team and type of properties served, services provided, costs, size of clients, etc. Be sure to assess the company’s website for overall professionalism and contemporary appearance.
Analyze Your Needs
Make sure to create a checklist of the specific services that you want to acquire. Prioritize the list according to both needs and wants; include services that are non-negotiable and those you would be willing to live without. Assign a ballpark cost or budget that you have in mind.
Evaluate
Drop into the property management office unexpectedly and assess how they manage their own property. Are the grounds well manicured? Is the exterior and interior clean? Within their own suite of offices, can you notice any watermarks on the ceilings and or around the windows? Is the staff professional? Is the lighting in good condition and energy efficient? Do you see anything in which maintenance is being skimped on and or has been overdone regarding ROI? Is it an important consideration or just a personal values difference? Notice if the elevator and lighting is in good working condition. Request a brochure and any information about the organization.
If you feel comfortable, make an appointment to meet with the group on a more formal basis - at another time. Do the same for at least one or more other offices. Listen to your gut!
Compare property management companies by reading independent property management reviews given by landlords and tenants.
View more information and all guides by Jason Kay
