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?
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. The screening entails credit checks, references, and criminal background checks for all occupants over 18 years of age. They also 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. In the unfortunate event that a tenant won’t pay the rent, the management company works with the courts to dispossess and evict the tenant.
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.