Congratulations on making the investment into a rental property. Chances are you’re excited to get started and make some cash!
Of course, purchasing your rental property is just the beginning. When you’re considering hiring a property management company, it helps to think about what needs to be done. Are you prepared to take on all the tasks of not only a homeowner but a property manager as well?
Here are some things you should know when you’re thinking about a property management company for your rental space!
What You Need to Get the Home Ready
If your home doesn’t need any renovations, you might think it’s ready to rent. Is it?
Consider that you’ll need to change the locks (if you haven’t already done so), check all appliances, clean carpets, perform any yard maintenance, and perhaps paint or at least clean inside.
Do you know how much you’ll charge for rent? What about accepting pets? After these items are determined, you’ll need to find a way to attract potential renters. Although there are certain free online options to do this, they might not attract the best renters.
After advertising, you’ll need to show the home to potential tenants. Any ones that want to follow through will need an application. Do you know which application is valid for your state and where to find it?
Screening tenants is a separate process that needs to be done to ensure you don’t end up with renters who refuse to pay the rent and won’t leave.
All this before you’ve even actually rented the house or received your first month's’ income! Getting your property ready for rent and actually signing that first lease takes a lot more work than people think.
Tasks to Maintain Your Property
The work doesn’t stop there. You’re going to have to maintain the property if you want to keep your tenants happy and fulfill your obligations as a landlord.
What does this mean?
Well, performing regular home inspections for one. You’ll have no idea what the tenants will bring into the house—unexpected “overnight” guests, pets, illegal firearms. Not only that, but you’ll need to ensure that smoke detectors are working, no fire or safety hazards are present, and that everything is working smoothly.
For that matter, any repairs that need to be done are your responsibility as well. If the tenant calls with a complaint that something isn’t working, you’ll be required to fix it in a timely manner. Should any emergencies happen—such as a plumbing problem, storm damage, or a roof leak—you’ll need to be on top of it.
Collecting the rent and handling the payments is part of your job as well. Although the tenant screening process can help ensure that your tenants will pay on time, there’s no guarantee of this and you could end up in a legal bind where you’ll need to seek representation.
And finally, when the lease is up and your tenants move out, the whole rental process starts all over again—changing the locks, cleaning, advertising, showings, screening tenants, and property maintenance.
The Risks You Need to Manage
Of course, with an investment such as this, risks are inevitable. Managing risks is something you’ll need to do to protect your investment.
These include risks of not complying with fair housing rules, accounting for guests or pets that aren’t allowed, and legal risks like lease violations. Financial risks such as property damage not covered by insurance are a concern as well.
Handling all this and more can feel overwhelming. This is why people consider hiring property management companies. Here’s how a property manager can help you accomplish these tasks and relieve the burden of taking care of every detail for your rental property.
How a Property Management Company Can Help
When you’re considering hiring a property management company, you’ll need to consider all of the things you need to do to protect your investment.
A skilled and experienced property management company can help you with all of this. They’ll help you manage your property to secure your best return on investment (ROI). Their job is to handle all aspects of your property, therefore keeping your tenants happy. Happy tenants make excellent tenants.
A property management company will also work to conduct turnovers quickly when the lease is up. This means your property spends more time occupied which provides you with better ROI.
When you have another job and you can’t keep up with everything your rental property requires, consider a property management company. The right company will be locally based to best suit your needs. You’ll still be a part of the process, but less burdened by all the responsibility.
A great property management company is an investment just like your rental property is. By protecting your investment, your team of professionals helps you be even more successful with your rental property.
Consider property management to maximize your ROI and keep your tenants happy, all while enjoying extra income!