There are a lot of good reasons for a rental property owner to outsource leasing and management of their buildings. But before St. Louis landlords hand off tasks (like background checks, collecting rent, and maintenance) to a management company, it is important to find out more. Namely, how in-tune is a management company with the St. Louis region?
Along with a good track record for typical services, finding someone with local knowledge is an excellent idea. Property management companies in St. Louis like
Select Leasing & Management bring their hometown expertise to the table. This benefits landlords and tenants alike.
There are two groups of rental property owners that hire leasing and management companies: Investors who never intended to take on the day-to-day operations of a house or apartment building, and independent owners who have tried but can not do it all themselves.
Independent owners have a variety of reasons for hiring a property management company. Caring for multiple properties can be too much for one person. And even taking care of a single rental unit is a lot of work. If the owner’s residence is far away, it is difficult if not impossible to self-manage. Any property owner outsourcing the daily management duties must make sure to find someone they can trust to deal effectively with their tenants and safeguard their investment.
A company with a strong local presence is important, too. In the St. Louis area, for example, everything from rules and regulations to school options can vary widely from neighborhood to neighborhood. The St. Louis region itself is unique, with differences between the city and each surrounding county. The area includes both Missouri and Illinois as well.
The right management can find
and keep good renters, keep the building in good shape, and follow laws and guidelines to avoid costly fines or lawsuits.
When outsourcing, some landlords focus only on the services they can expect and at what price. These things are of course important, but when choosing a property management company in St. Louis, go beyond the basic service list. Find out what they know about managing a building in its local setting. The following can act as a checklist in assessing potential management companies for the right “fit”.
Companies that are in business solely to provide comprehensive rental management services must have a current real estate broker’s license from the Missouri Real Estate Commission. In Illinois, there is a leasing agent license. Select Leasing & Management has a parent company, Berkshire Hathaway HomeServices Select Properties. Because that entity is a licensed real estate brokerage, the leasing and management branch does not need any additional licensing.
Individual owners who self-manage do not need a license. Neither do individuals or companies that they may hire to do specific tasks for the property. But this is an important question to ask before hiring a full-service management company, as a lack of the proper license could expose the owner to fines and penalties.
Renting and managing property is subject to strict laws and regulations at the local, county, state, and federal levels. Property management companies in St. Louis must understand the rules of the specific municipality where a property is located.
At the federal level, all management companies must comply with fair housing and discrimination laws outlined by HUD. Missouri has strict requirements surrounding security deposits and eviction procedures. Locally, each county and city has different rules for occupancy permits, the number of people allowed to live in a dwelling, and inspections. For example, a company managing properties in St. Louis City needs a Housing Conservation District Inspection, but St. Louis County properties need a Residential Rental License.
When it comes to tenants and the building itself, property management companies in St. Louis must understand premises liability. The property must be maintained as a safe place to live. If a renter gets hurt because of the manager or their staff’s neglect, the landlord could face a personal injury lawsuit.
The pandemic brought the topic of rental assistance to the attention of some landlords and tenants for the first time. When a good tenant falls on hard times and has trouble paying the rent, many landlords find it beneficial to work with them to get rental assistance rather than starting eviction proceedings.
Dealing with various governmental agencies for this type of help can be complicated. So, it is a good idea for landlords to ask what type of experience a property management company has with the rules and paperwork surrounding rental assistance that is available in and around St. Louis.
A good rental management company knows the area well enough to help a landlord make decisions. They can help decide what rent to charge or when a rent increase is called for. Their marketing strategy should be tailored to the type of property and what will make the property attractive to the desired renters. For example, an apartment typically rented to students near SLU might be advertised differently than an upscale high rise in Clayton.
A successful property management company can also be known by the local market. A company with a good reputation will often find the best tenants simply because of name recognition.
Part of knowing the market is understanding the (sometimes confusing) neighborhoods of St. Louis and surrounding towns. Knowing the neighborhood vibe, and being able to highlight a rental property’s selling points based on its location, is a plus. As the property management team meets potential tenants, they can point out nearby resources and attractions. Understanding the local school system—and which schools are available to tenants— is particularly valuable when showing apartments or answering inquiries.
There are a lot of different property management companies in St. Louis, and they all offer a variety of useful services. But any search by landlords should dig a bit deeper to assess how well companies know our region.
At Select Leasing & Management, we know every corner of the region. We are also backed by the resources of Berkshire Hathaway HomeServices Select Properties, which include the knowledge of agents all across the St. Louis region and the Metro East in Illinois. Contact us today to discuss your rental property’s needs.
12851 Manchester Rd., Ste 110
St. Louis, MO, 63131
