How to Hire a Property Management Company
Sometimes it makes sense to hire a property management company to screen tenants, collect rent, coordinate repairs and notify you of any issues. Contracting the services of a property manager requires a diligent investigation into how the company functions and how much it charges.
- Research local property management companies. Ask fellow real estate owners, look in the phone book and search online for companies in your area. Select several companies to interview before making a decision.
- Contact each company to set up an interview. Consider all interactions with each company to determine if it is a fit. For example, whether your questions are answered in detail, vaguely or not at all may be representative of how the company functions on a day-to-day basis.
- Make a list of primary concerns. Monthly costs and additional charges may be an issue. The specific home maintenance companies that the property manager is contracted with may be important to you.
- Meet in person for the interview. If possible, ask the property management company representative to meet you at your property. Walking through your apartment building or on your commercial lot may conjure up other questions. It also gives the property manager opportunities to ask questions relevant to your property.
- Examine the property management contract. The manager may deduct a flat fee or a percentage from the monthly rent. Additional fees may be charged for visiting the property to meet with maintenance workers. Before signing the contract, review all of the fine print and keep a contract copy for your records.