Managing your real estate property alone can sometimes get overwhelming and is time-consuming. Property Management companies can be hired to take over the management of your rental properties. Property managers are rental service providers who are specialized in managing your property as per your guidance. Every property management can be different based on your objectives. Hence the roles, responsibilities, and duties of a property manager can vary widely.
Before you hire a property management firm, you must know their basic responsibilities towards your estate property. Here are some duties that a property management company takes care of!
Setting a rental price
Ideally, it is the landlord who determines the rent of his property. Although sometimes the rent of a property might be profitable to the landlord but may not be affordable to the tenants. Property managers know about the market data and the average of the area surrounding the property. They have in-depth knowledge about the target consumer base of the landlord. Hence, they can determine a rent that will be beneficial to both parties as well as live up to the property amenities.
Managing vacant units
A property manager can ensure that no units in your estate are vacant. A vacant unit in your property can be a sign of an unfavorable estate space. They can attract prospective tenants to fill the vacancy. If the unit requires maintenance and repairs, the property management company must undertake the task and make the unit appealing. Property managers must also know how to use tricks to persuade potential tenants to buy/rent the property effectively.
Marketing the property
Property management firms are one of many service providers for an estate. Marketing about the property counts as one of their major responsibilities. They also undertake marketing measures to spread the word about your property. Since property managers are well-versed with the estate industry, market trends, and conditions, they are the best people to advertise the rental space. They know when and how to put out a word about the vacant units in the market.
Screening applicants and identifying suitable tenants
Marketing about the property and inviting applicants does not ensure that the property will be occupied. Not every application that the landlord receives is worth the property. The property management firm does a careful screening to eliminate the unqualified applications as per the rental laws. Under the Fair Housing Act, property managers reject applications without attracting lawsuits and avoiding discrimination. They also undergo a screening to check the qualifications grounds for the selected applications. This includes people who are expected to be responsible for timely rent payments and property maintenance, are easy to negotiate and reason with and who plan to rent the property for a long time.
Signing the lease agreement
Estate property management companies have experts with adequate knowledge about rental laws. They are the best people to draft a lease agreement for your future tenants. A property manager is responsible for preparing a lease agreement and getting it signed and accepted by the tenants. It includes the details of the security deposit, rent and late fees, and any other charges that the tenant is supposed to pay. A lease agreement is proof of transparency between the landlord and the tenant.
Meeting the tenant’s requirements
Property managers act as a bridge between the landlord and tenants. If a landlord hires a property management firm, it is the company’s responsibility to ensure that the tenants are happy and satisfied with the property. They look after the issues that the tenants might face in the estate and whether it requires any maintenance. They are also responsible to solve queries or problems that the tenants might have with each other.
Rent collection and adjustment
Understandably, property managers are responsible for the collection of rent on time every month. It is another major responsibility of an estate property management company to ensure that the landlord receives timely rent without failure. If there are cases of late payments, the property manager must enforce the penalty as per the lease agreement. They are also entitled to adjust the rent depending on the prevailing market conditions.
Maintenance of property and on-site employees
Keeping the property in a healthy and living condition is another important duty of a property manager. The company must do a frequent inspection of the property. If there are areas that need repairs, maintenance, cleaning, or repainting, it is their job to get these done. They are entitled to guide the on-site employees of the real estate property such as the security guards, maids, servants, cleaners, etc. Property managers ensure that their work is efficient and liked by the tenants. In case of faulty work or unsatisfied tenants, they also have the power to fire the personnel.
Take care of evictions and move-outs legally
Evictions are a difficult job but must be done if some tenants are difficult. Property management firms know the rules and ways to take care of evictions while staying within the legal boundaries. Property managers are responsible to take care of the moving-out procedure and paperwork of existing tenants. They must do a thorough sweeping of the property to check for damages caused by the tenant. In case of no damages, they must refund the security deposit along with closing paperwork.
Abide by the legal requirements
Property management companies are required to make sure that the estate property stands on legal pillars. All paperwork, documentation, and processes must comply with the legal requirements as per the local, housing, federal, state, health, and safety laws. They must also guide the landlord in filing their housing tax on time.
Hiring a property manager comes with huge responsibilities. It is advisable to find a company who is specialized in these services and can handle all the responsibilities efficiently. If you are looking for an estate property management company for your rental property, contact the experts today!