You’ve heard of them, you know they exist, but what exactly do property management companies do? More importantly, how can you benefit from their services?
What Do They Do
Real estate investing is big – millions are being made daily and truly anyone can hit it big with this opportunity. There are many things to consider for success. There can also be many problems, most of which can be addressed by hiring a property management company.
These companies deal directly with tenants and prospective, taking on the time intensive tasks of finding and fully vetting possible tenants, handling maintenance and tenant happiness issues, and enforcing evictions when necessary.
When Should You Consider Their Services?
- When you have multiple properties or units, the one stop shop of a good property management company is invaluable. The more locations taking your attention, the likelier it is that things slip through the cracks. Delegating the whole mess allows you to sit back, wait for the rent checks, and focus your attention on other endeavors.
- When you don’t live near your investments. Being a landlord is a hands-on job, but local markets don’t always cooperate with investment wishes. Having an established company on-site frees you to live anywhere you want and still collect the maximum return on your investment.
- When you’re not interested in or available for hands-on management, but want to take advantage of real estate opportunities. If you don’t have the time or the interest to deal with the day to day, hire the help. If you’ve found a good management company, you won’t know you have investments until your monthly rent drops into your account, and that’s how it should be.
- When you don’t want to be an employer. A property management company is an independent contractor, so you benefit from their work and experience without the hassle of being an employer. The legal considerations and time investment of directly employing maintenance and management personnel drives many owners to skip the hassle and let one company handle everything.
- When your property is part of affordable housing. In these programs, the landlord receives financial assistance (low-interest loan, grant, tax credits) in return for renting part of the property to tenants below a certain income level. Receiving the assistance is contingent on rules and regulations, and many landlords choose to benefit from the experience of an established company.
The best management companies will treat your properties as if they are their own. That’s how we do it here at PAM, and it’s what you should always expect from the caretakers of your greatest investment. Please let us tell you why now is the time to invest in Milwaukee, and why we can make your experience great.