choosing a property management companyRental property owners may not have the time to screen potential tenants, oversee maintenance issues and repairs, collect rent and take care of all the details of property management. One solution is to hire a property management company for the task. Professional managers are up to date with laws regarding tenants including eviction, maintenance and other details. While screening prospective management companies, there are five important questions to ask. Keep a notebook to list the questions and answers from each company for comparison.

 

 

1. How Many Properties Does Each Manager Take Care Of?

Each property manager should be able to take care of several properties, but should not be overwhelmed. You should not receive calls from tenants complaining that the manager is not responding to repair requests or other concerns. You should also not have to wait for rental income because the manager is tied up with other properties.

2. Is Your Company Exclusively Managing Or Selling Properties?

Companies that both sell and manage properties tend to make sales a priority for higher income. A property management company will give your property the attention it deserves.

3. How Will You Manage My Property?

Never assume a company will manage your property the same way you would. The company should be willing to manage your property to maximize income and minimize any liabilities. The staff should perform the following, which includes the following.

• Advertise the property for rental or lease.
• Maintain and show property to prospective tenants.
• Have a detailed screening process for tenants.
• Collect rent every month.
• Respond to repair requests in a prompt fashion.
• If eviction is warranted, the company should perform the entire process, not leave you holding the bag.
• If recovering damages from tenants is required, the company should go through the legal process.
• The manager should inspect your property periodically for compliance to the rental agreement and act accordingly if the rules have been broken.

A representative at the company should go over their lease and rental agreements with you and explain their procedures in detail. There should be no surprises if anything happens.

4. What Licenses And Memberships Does The Company Have?

The company should be licensed by the state as a Broker and designate their company as a property management company. You should check with the state to verify that the license is current and in good standing. Memberships in property management associations show the company subscribes to a set of ethical standards. This can include The National Association of Residential Property Managers, or NARPM, The National Association of Realtors, or NAR as well as state or local associations.

5. What Are Your Fees And How Do I Receive Money?

The company should explain their fee structure in full so you know exactly what you are paying for. For example, if legal services are required for eviction or property damage, you need to know if you or the company is footing the bill. The representative should explain when and how you will be paid and what happens if a tenant is late or has stopped paying.

The more you know about prospective property management companies, the better able you will be to make a final decision. The company should do everything possible to keep your property occupied so you make money from your investment. You should be able to call anytime and find out the status of your property and how it is faring.

Coast & Valley Properties Inc proudly serves the Salinas, Monterey County area. If you’d like to know more about our services, please don’t hesitate to call our office at 831-757-1270, or fill out our contact form. We look forward to hearing from you!