Property Management Frequently Asked Questions
Below is a list of property management frequently asked questions. If you have other questions about our property management services, contact our property management team at 229-262-7133, they will be happy to answer any of your questions.
Why should we hire a property manager?
There are a number of reasons to hire a property manager. Foremost is the knowledge, experience and service they bring to the table on your behalf. The service includes taking care of finding tenants, collecting rent and organizing maintenance requests. With their knowledge of the local rental market, you should be assured your property is bringing top dollar for rental income. Their experience should bring you peace of mind to allow you to focus on other aspects of your business or life.
How much does it cost to hire a property manager?
There is no standard fee for property management which means fees vary from firm to firm. Many times, you may receive a discount by bringing more than one property in for management. Fees are also based on services. The management fee is typically based on a percentage of the monthly rent. Some firms may have other charges for maintenance management or tenant placement. Be sure to ask for a full disclosure of all fees associated with the firm. Typically, you will find management fees to range from 6 to 12 % of the monthly rent collected.
What is a monthly management fee?
A monthly management fee is just that. A fee collected each month from the rent and paid to the management company for services. The fee will cover finding and screening tenants, colleting rent and managing the overall operations of the property. It is usually a percentage of the monthly rent and gives the management company the task of the daily responsibilities of managing the property to save the owner time and effort.
How often does a property management company inspect rental properties?
Inspections of the property should be done on a regular and scheduled basis. These inspections show that the property is being well maintained and necessary repairs are being reported and scheduled. Each property management company has a policy for the number of inspections performed yearly. A minimal of yearly should be expected and bi-annual inspections are becoming more common in the industry not only for the protection of the property but to ensure the satisfaction of the tenants.
What are the signs of a good property management company?
There are several key signs of a good property management company. A comprehensive knowledge of the local rental market and market rates is a priority. Underpricing as well as over pricing a property can effect the bottom line of the investor. Their service should include efficient systems for marketing, collecting rents, handling maintenance requests and investor bookkeeping. The fee structure for their services should be fully disclosed at the time of signing a management agreement. Always check reviews as well as client referrals who have worked with the company and appreciate their knowledge, experience and service firsthand.
What is a property manager’s greatest responsibility?
The primary responsibility of a property manager is to work to protect the investment they are responsible for. They are to ensure the property is well maintained and in good condition by conducting regular inspections and addressing issues with the owner. Ultimately it is the owner’s decision when making repairs or improvements as long as the tenant’s safety and well being are protected.
A property manager is also responsible for screening potential tenants to place responsible and reliable tenants in each property. They handle lease agreements, enforce the terms of the lease agreement and keep records the owner will need for tax purposes and bookkeeping.
Through the expertise of the property management in maintenance, tenant management, financial management and communication, they help to keep the property as a valuable asset for the owner.
How often does a property management company inspect rental properties?
Inspections of the property should be done on a regular and scheduled basis. These inspections show that the property is being well maintained and necessary repairs are being reported and scheduled. Each property management company has a policy for the number of inspections performed yearly. A minimal of yearly should be expected and semiannual inspections are becoming more common in the industry not only for the protection of the property but to ensure the satisfaction of the tenants.
Which function of the property manager is most important to the property owner?
A priority for the property manager should be to ensure the property is well maintained. This should include regular inspections, addressing repairs and maintenance issues in a timely manner. By keeping the property in good condition, the property manager helps to protect the owner’s investment and maximize its value.
How does a property manager find and screen tenants?
The screening process should minimize the risk of damage to the property and ensure a steady income for the owner. Screening processes and rental criteria differ from office to office. It is important not only to have a credit check but a background check as well. Minimum credit scores and rental history play a very important role in determining if a tenant will be approved for a property. Of course, collecting rent and handling financial matters are included in the services provided by a property manager.
Will a property manager keep up with legal and regulatory requirements?
It is important for a property manager to stay informed about all legal and regulatory requirements. These include landlord-tenant laws for each state. By ensuring compliance, the property manager helps to protect the property owner from legal issues and potential liabilities.
Can I manage my own rental property, or should I hire a property management company?
You can absolutely manage your own properties. It takes time, effort, and knowledge. The effort of finding tenants, collecting rent, and handling maintenance issues may be beyond the scope of what you want to do. Consider your personal circumstances and abilities when deciding whether you want to manage your own properties. Many investors prefer a hands-off approach to management which allows them time to find new properties or research new investments. Before making a decision, weigh the pros and cons of managing your own property versus hiring a reputable property manager. Ultimately choose the option that aligns with your goals and ensures the smooth operation of your business. Make sure to interview Mercer Hughes Property Management when weighing your options.
Do property managers need a license in Georgia?
Property managers are required to have a license in the state of Georgia. The licensing is overseen by the Georgia Real Estate Commission. In order to become licensed, you must complete a pre-license course, pass a state exam as well as background check and submit the appropriate application and fees. Once licensed, the agent should adhere to ethical and professional standards set by the GREC. When interviewing a property management company, it is important to know how many licensed agents are on staff. At Mercer Hughes Property Management we have 3 licensed agents and 2 administrative assistants to ensure each owner and tenant receive excellent service.
