Hiring a property management company: advantages and disadvantages
Posted On May 25, 2021
Owning a rental property can be a lot of fun, but it can also be a lot of work. While many homeowners have truly amazing experiences, there are many who don’t. By hiring a property management company, you can take the worries and time-consuming tasks that come with managing a rental property and turn them over to a professional. Before making a move toward hiring a professional rental management company, take stock of your property and decide whether or not the costs are worth it.
The advantages of hiring a property management company
They can find tenants for you
A professional management company can handle the marketing for you and your property, placing ads and screening calls from potential tenants. When someone responds that they fit the ratings you have given the property management service, the company will call you!
They can act as your link
Good customer relationships are essential, and if you have a large business, you may not have time to maintain a relationship with every new tenant. If you hire a rental management company, they can help perform this role for you. Professional property management companies can also file complaints and requests for repair or maintenance instead of leaving it all up to you.
They can handle finances
If dealing with the financial aspects of being a homeowner doesn’t appeal to you, or you just think you’d be better off having someone else take care of this part of your business, a property management company might be for you. Professional property managers collect rent, deposits, and any late fees that may occur. No more having to remind tenants of a late payment!
They know the local laws
Because there are specific laws that deal with rental properties, hiring a property management service can be your ticket to a greater understanding of these laws for your own benefit. Having a professional on your side can go a long way and also help you avoid potential legal errors when managing your rental property.
They are well connected
Any professional rental manager worth mentioning is likely to have connections with other professionals and groups in your area. When you need to hire someone for a repair, upgrade, or replacement, your manager will be able to recommend someone they know or have worked with before, helping you get the job done right the first time.
The Cons of Hiring a Property Management Company
They cost money
Really, the only downside to using a professional rental management company is cost. Many owners will avoid signing with these companies because they are concerned that it will affect their profit margin a little more than they would like.
There are many advantages to hiring a property management company; Peace of mind and the knowledge that you will be called if something really big happens are all valuable things that a business owner can definitely appreciate!