Deciding on Hiring a Rental Property Manager, Part 1
There are several investment property types that those looking to turn a profit from their real estate investments may consider, and one of the most well-known here is the rental property investment. A simple format where buyers purchase the property and then rent it out to tenants for some level of profit on top of their mortgage payment, rental property investment is a great way to add to your overall cash flow.
At Fox Financial, we’re proud to assist clients with several areas of real estate investment, from fix-and-flip homes to rental property investment and many more distinct themes. One of the most common questions or concerns we assist clients with when linking them up with rental property investments: Should an independent property manager be brought in to manage the rental on behalf of you, the property owner? The answer to this question will depend on several factors, many of which we’ll address in this two-part blog discussing everything you need to know about rental property managers.
What a Property Manager Does
To properly answer the question of whether a property manager is a good call for your rental, you must first understand exactly what a property manager does to determine if their services will be worthwhile based on your needs. Their responsibilities tend to include the following areas:
Basic management: First and foremost, a property manager handles numerous day-to-day areas on your behalf, leaving you free to focus on other investments or pursuits. They handle areas ranging from finding and screening tenants and drawing up leases to collecting rent, making property upgrades and numerous additional themes.
On-call service: Property managers are generally on-call throughout the day, including for emergencies and needed repairs.
Records: Property managers will be in charge of records and documentation for the property.
Court representation: In unfortunate situations where a court appearance is required, the property manager is often able to represent the owner in court.
Showings: Finally, property managers also handle showings and also meet with HUD and township inspectors to renew yearly rental licenses, saving you tons of time – especially if you own multiple properties.
Benefits of Hiring a Property Manager
Here are some of the beneficial themes of hiring a property manager for many rental investors:
Saving time and hassle: Many of a property manager’s best qualities come in the realm of convenience, where they save investors huge amounts of time and hassle on rental property details. This translates into saved money for many investors.
Scaling: Those looking to scale up with multiple rental properties will often find hiring a property manager makes this process far simpler and more feasible.
Staying updated: In addition, property managers are a fantastic conduit for investors to know what’s happening in their properties. Without one, you only see a small snapshot through areas like inspections or property turnover.
For more on why it often pays to hire a property manager for your rental property investment, or to learn about any of our real estate investing services, speak to the staff at Fox Financial today.