As a real estate agent, managing properties can be a time-consuming task that takes you away from your core business of buying and selling properties. That’s where it may be beneficial to hire a reliable property manager.
A skilled property manager can handle the day-to-day operations, maintenance, and resident management, allowing you to focus on growing your business. However, finding the right property manager is crucial for the success of your real estate ventures. In this blog, we will discuss the key qualities you should look for when selecting a property manager.
7 Qualities of a Good Property Manager
Experienced & Licensed
When evaluating property managers, consider their experience in the industry. Look for professionals with a proven track record in managing similar properties. A property manager with extensive expertise understands the complexities of property management, local regulations, and market trends. Their expertise will help you navigate any challenges that may arise and ensure your properties are well-maintained and profitable.
If a property manager is relatively inexperienced or new to the industry, ask them for references. Within those references, look for evidence of their service quality and response times. This would also be a great time to ensure property managers have the correct licensing and credentials, especially for the services you seek. Many states have their own requirements for broker’s licenses, so it is best to do your own research.
For example, if you are looking for property management services for commercial rental properties, don’t hire a company that specializes in only residential properties. The training and services may vary significantly.
Strong Communication Skills
Effective communication is essential in the property management business. Look for a property manager who has excellent communication skills, both written and verbal. They should be responsive and communicate with residents, contractors effectively, and you as the real estate agent.
A property manager who can handle resident inquiries, provide regular updates, and address concerns promptly will enhance resident satisfaction and minimize potential issues. Many property management companies have been working on being more accessible to residents, which includes same-day contact/service.
This same-day service communication can make one property management company stand out from the rest. Imagine having to wait for more than a day or two to have your property plumbing issues resolved or broken HVAC during a hot summer day. This is a great service feature that not every property manager offers, which is something to consider when you imagine the type of communication you want with your resident’s property management.
Good Online Reputation
A good online reputation holds more significance than you may realize when looking for the right property management company. It establishes credibility and trust, reassuring potential clients that the company is reliable and capable of effectively managing properties.
Positive reviews and testimonials contribute to a favorable view of the company, making it more appealing to property owners and residents alike. As a real estate agent, your choice of a property management partner reflects on your own brand image, and working with a company with a strong online reputation enhances your credibility.
Furthermore, a good online reputation helps attract and retain property owners and high-quality residents, while reducing the risk of disputes and issues. Satisfied clients are likely to spread positive word-of-mouth (which could lead to more good online reviews), benefiting the company and creating more business opportunities for both the property management company and the real estate agent.
Having a tech-savvy property manager can bring numerous benefits to the management and operations of a property. In today’s digital age, technological advancements have revolutionized the way properties are managed, making it crucial for property managers to stay up-to-date with the latest tools and platforms.
A tech-savvy property manager can efficiently utilize property management software, online platforms, and communication tools to streamline operations, automate tasks, and enhance efficiency. They can leverage technology to effectively market vacancies, conduct virtual tours, and handle resident inquiries promptly.
Additionally, a tech-savvy property manager can utilize data analytics and reporting tools to gain valuable insights into property performance, occupancy rates, and rental trends, enabling them to make informed decisions and optimize revenue.
Attention to Detail & Organizational Skills
Managing properties requires strong organizational skills and attention to detail. A property manager must be attentive in handling administrative tasks, such as collecting rent, documenting leases, and maintaining financial records. They should also have systems in place to track maintenance requests, conduct regular inspections, and ensure timely repairs and upkeep.
A detail-oriented property manager will help protect your investment and ensure the smooth operation of your properties. During interviews, ask prospective managers how they stay organized on the busiest of days. You can learn a lot about how they handle conflicting duties at once from their response.
Knowledge of Local Laws and Regulations
Each region has its own set of laws and regulations regarding rental properties. A reliable property manager should have a thorough understanding of these local laws, including resident rights, lease agreements, eviction processes, and fair housing practices.
Their knowledge and compliance with these regulations will protect you from legal pitfalls and potential liabilities. The last thing you want to do is hire a manager who gets your property in more legal trouble than actual investment returns. This will end up costing you twice as much as just handling your property yourself.
Take the time to thoroughly test their knowledge of these laws and look for any background information that may indicate this manager has had legal issues before. You won’t regret putting in the time and effort to find a quality property manager.
Transparent & Reliable Financial Management
One of the primary responsibilities of a property manager is handling financial matters related to your properties. Look for a property manager who can provide transparent financial reports, including rent collection, expenses, and any repairs or maintenance costs. They should have a system in place for timely rent disbursement and be able to provide accurate accounting records.
Sloppy accounting and reporting practices are more common than you would think. Whether the management company fails to collect arrears and recoverable expenses, doesn’t budget, or is slow with invoices, these are all indicators that these managers aren’t looking at the money side of the business in a timely fashion. A property manager with sound financial management skills will ensure the profitability of your real estate investments.