Have rental property but not sure if you should hire a property manager?
Many residential rental property owners know that property management can be taxing not only time wise but on your patience as well. Managing a rental property takes more than just a do-it-yourself type of person. You need to be up to date with housing laws, handle tenant issues, work with vendors, collect rent and many other time consuming tasks.
#1 Save Time, Money, and Headaches with a Property Manager
Is being a landlord the best use of your time? Can you use that time to be doing things that you love doing? Collecting rent, fixing broken appliances, sourcing vendors, finding tenants, handling poor tenants can be similar to a 40 hour a week job. Hiring a property manager not only gives you this time back, but also gives you peace of mind knowing that all of these daunting tasks are taken care of by a professional.
#2 A Manager Knows Local, State & Federal Laws
Do you know the rental laws in your city, state as well as any federal laws? Reading a few websites might not be good enough and often times “experience” can be very costly in attorney’s fees and lost rent cash flow. A property manager will ensure that no local, state or federal laws are broken during the tenant screening and selection process. In addition to the screening and selection process, a property manager will work through other legal actions such as an eviction process, should that be necessary.
#3 They Handle Rent Collection
A quality property management company will have an online portal that tenants can pay monthly rents online. Since cash flow is a primary reason for real estate investments, it is incredibly important that rents are collected consistently month-over-month, year-over-year. If you don’t have someone working on your behalf to collect rents, it will often seem like just after you worked hard to receive one months rent, you must begin the rent collection process all over again for the next month.
#4 Screen Tenants on your Behalf
A management company with a great deal of experience will make finding tenants a breeze. They will handle sourcing tenants, screening tenants, selecting tenants, conducting background checks, verifying employment, and contacting references. Finding the right tenant can mean a long-term positive relationship for both you and your tenant.
#5 Determine Rental Rates for Maximum Occupancy
Having a vacant rental property is not only providing you with zero cash flow is actually putting you in the negative cash flow category. Each and every day your property sits empty costs your money. A good property manager will work to ensure your property has minimal vacancies. They will conduct a market research that will provide you with the perfect balance between rental rates and vacancy rates.
We hope these five tips provide you with insight as to why hiring a management company outweighs the costs. If you’re looking to generate cash flow but without all the headaches, contact Kunkel Wittenauer Group today to see how we can help! We offer property management services in the St. Louis Metro East including the following cities: O’Fallon, Belleville, Shiloh, Edwardsville, Glen Carbon, Collinsville, Highland, Alton, Godfrey and many more!