Property managers are professionals working in the real estate industry who handle everything related to the management of a rental property. You can hire them to do specific things such as only collecting rent, but generally people hire a property manager to handle everything.
A property manager can make your life as a landlord a whole lot easier and remove a lot of the stress of owning a rental property. Instead of dealing directly with tenants, chasing up rent, organising repairs and inspecting the property, you can have someone else do this for you.
Below is a list of things that a good property manager should do.
1. Collecting rent
The most fundamental job of a property manager is depositing rent money in your account.
They will also ensure that the rent is set at the right price given the market conditions. You could be charging more than you currently are, and an experienced property manager will be able to give you a thorough rental appraisal and set the right price for the property.
They will also collect the rent, usually monthly, and chase up any arrears. They have systems in place which tell them precisely the date that the tenant has paid to and will chase them up if they are late with their payments.
Finally, they are across all the relevant legislation and will tell you want you are entitled to do if your tenant doesn’t pay rent. They could save you thousands of dollars of lost rent just by following the rules!
2. Managing tenants
A property manager will handle the entire process of finding a new tenant, screening them, completing the relevant paperwork, moving them in and moving them out at the end of the lease. They will also handle any urgent repairs that arise or evict the tenant if necessary. There are a million little things that need to be done before, during and after a tenancy, and property managers know what they are because they do them on a daily basis.
3. Maintenance and repairs
Property managers will also handle any repairs that come up during a tenancy. They will let you know what the problem is and what should be done. Then they will source a few quotes and can recommend reliable tradespeople because they deal with them on a daily basis and have extensive networks of licensed professionals. All you have to do is approve the quote they provide, and they will take care of the rest.
4. Knowing the law
Perhaps the most important thing a property manager can provide for you is a detailed knowledge of the law surrounding property rentals. Many landlords get caught out because they don’t know what they can and can’t do.
There are certain things you can’t do as a landlord, that could land you in hot water if you’re not aware. Conversely, there are certain advantages that many landlords are not aware of, so they miss out on extra rent or other benefits.
You want to be sure that you are doing everything legally and above board because the repercussions can be severe. The money you spend on a property manager is an assurance that you are doing everything properly and keeping on the right side of the law.