Property managers must be able to communicate and get along with all types of people. Renters need someone they feel comfortable dealing with, who respects them and listens to their issues, and takes them seriously. If tenants have a good relationship with the manager, they are more likely to stick around.
Find a property manager who is both personable and professional. They need to be friendly and helpful, but must also be willing to settle disputes and enforce rules and regulations. And they absolutely must know and comply with Federal Fair Housing Laws.
Unfortunately, a property manager’s job isn’t always pleasant. They must sometimes deal with tenants who don’t get along, don’t pay their rent, break the rules, or engage in criminal activity. An effective property management company will have experience in handling these difficult situations and not be afraid to intervene when necessary.
Depending on the problem, they may need to diffuse a conflict between neighbors, start eviction proceedings, or get law enforcement involved. The important thing is that they do not shy away from the hard choices that sometimes must be made in order to protect the other tenants, the property, and the landlord’s financial interest.
Some landlords may choose to leave all decisions and day-to-day operations to the property manager, while others may want to be more involved. Even if the owner doesn’t want to do anything but sit back and collect the rental revenue, the best property management companies are good at keeping them informed when they need to be.
Landlords may not need to know every little thing that happens at the property, but some things are significant and should be reported. For example, an owner should know if a tenant has slipped on an icy sidewalk (there could be a lawsuit), or if there is a water leak that must be fixed again and again (this might signal an upcoming expense to fix it once and for all), or if a problem tenant has wrecked an apartment (repairs and a possible eviction might be in order).
Property management companies can handle the financial side of renting, including rent collection, banking, and handling security deposits. As part of these accounting tasks, they should also be providing detailed financial reports to the property owner.
Owning rental property is a business and an investment, so keeping track of revenue and expenses is essential. One big selling point for deciding to use a property management company is having someone else handle this paperwork that will become important at tax time. (By the way, read this article to find out if property management fees themselves are tax-deductible.) Find someone whose bookkeeping is thorough and accurate, and gives the information needed to make informed financial decisions.
Because they are responsible for the repairs and maintenance of the rental units, property management companies hire part-time or full-time staff, or subcontractors (or a combination) to do the work. Not only is it up to them to find people who are capable of doing good work, but they must also prove that they can be trusted. After all, these people will be entering tenants’ homes.
The best property management companies will screen workers and do background checks. They will vet them to make sure they are using licensed, bonded, and insured professionals with the skills necessary to do the work safely and correctly.
The best property management companies have a handle on the state of the rental market in the area. They know the going rate for apartments and what attracts the best renters.
Find a property manager with a good track record for finding tenants who are most likely to renew their leases year after year. Insight into things like improvements that can capture the attention of new tenants, or why renters are moving out, and when it’s appropriate to raise rents is an invaluable asset in a property management company.
Dealing with current problems is essential, but looking ahead is important too. The best property management companies are constantly looking for ways to improve and enhance the property. This could mean something small like noticing that the all-weather mats by the front door are worn, or something major, like suggesting it’s time to have the roof replaced.
Find a property manager who doesn’t just wait for things to break, but thinks proactively to anticipate what will be needed in the short and long term. Looking ahead can save money, as big-ticket items can be worked into the budget. For example, addressing a leaky pipe as soon as it begins to drip is cheaper (and easier) than waiting until it bursts and floods the basement!
Working with a property management company should be collaborative. Both the company and the owner should discuss and agree upon what needs to be done. But the best property management companies set their own performance goals. For example, if a landlord does not specify a time-frame for all repair requests to be addressed, the company does not just assume they can let things slide.
Look for a property management company that sets high standards and holds itself to them. If they impose rules such as responding to tenant requests within 24 hours or striving for a limit on the time a unit remains vacant, they are showing their commitment to the property and the owner.
It’s important for property managers to have standard operating procedures to follow. The best property management companies have them in writing so there is no question of how things are to be done. Rules are consistent for every new tenant, maintenance provider, and employee of the management company. Without SOPs, managers may make decisions based on their gut or a whim. They run the risk of treating some tenants better or worse than others, allowing some people to break the rules, or randomly changing the rules—in other words, flying by the seat of their pants.
Find a property management company that has clear, concise standard operating procedures. They must also be willing and able to incorporate procedures that are requested by the owner. Good SOPs ensure that things happen according to pre-agreed-upon plans.
The best property management companies use technology to help streamline operations. All types of software and online services are available for managing rental properties. These include online background checks, automatic rent payments, and maintenance-logging programs, to name a few.
In this day and age, there’s no excuse for using outdated, manual methods of managing property and dealing with tenants. Find a property management company that is familiar with and offers these time- and money-saving tools.
Property management fees can vary widely, so owners must look at the value of the services they are getting. Fees should include the basics of tenant screening, preparing units, repairs and maintenance, and drawing up leases and collecting rent. Beyond that, owners must examine what is included and what might cost extra. For example, are there additional charges for emergency repairs? Are cleaning supplies included in the monthly fee, or will they be billed separately? And if there is a fee per apartment, what happens if it’s vacant?
There’s no right or wrong answer to these billing questions. Owners and property managers can agree on whatever works for their particular partnership. What is important is to find a company that is clear and upfront about what value they can provide for their fee. The best property management companies offer reliable service for a fair price, without hidden costs and surprise up-charges.
It’s a property management company’s job to act as a go-between for the landlord and the tenants. In fact, tenants may never even meet the person who actually owns the building. Instead, all of their interaction will be with the apartment manager or management team.
We can’t stress enough the importance of finding a company with these 11 traits. Select Leasing & Management has these and more. Call us today to find out why we’re the best for you!
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12851 Manchester Rd., Ste 110
St. Louis, MO, 63131
