There’s no denying that real estate investing can be profitable (if you’re good at it), but there’s usually a lot of blood, sweat and tears involved. If renting homes is your thing, but you find that you’re just not into unclogging toilets, or don’t have the knack for finding the perfect tenants, should you throw in the towel? If so, you may want to consider hiring a property management company.
If you’ve invested in multiple properties or are just simply making enough money (that’s the goal, right?), hiring a company to take some tasks off your plate may give you some time to look into future investments. So, how do you find the perfect property manager? Here are some questions you can ask them:
Question 1: What are your fees? Do you charge a monthly rate and are there additional fees for things like finding tenants?
Some companies charge a flat monthly fee even if your property is left vacant. Others get paid a percentage of the rent collected.
Question 2: Are you licensed and insured?
You’ll want to make sure the company is licensed and insured in case of legal or liability issues.
Question 3: How do you vet prospective tenants?
Make sure their requirements include background and credit checks, as well as payment histories, so you don’t end up with tenants who don’t pay.
Question 4: What is the best way a tenant can reach you?
Having an accessible property management company is necessary for a healthy relationship with tenants. They’ll need to know they can reach out when issues arise.
Question 5: How can I end our contract?
If you find that your management company is not working out properly, you should be able to move on. Read the contract thoroughly before […]