Property managers can help ease the stress of managing a home. We unveil the answer the question- Can I Hire A Property Manager If I Only Have One Home To Rent?
So you want the perks of being a landlord, without all of the hassles that come with it.
You may already have an investment property that you’re looking to rent out. Perhaps you’re hesitating because you don’t want a drain on your time and resources managing the tenant.
However, have you considered hiring a property manager? Even if you only have one income property, there are still advantages to bringing one on board. And it can be a lot more affordable than you think per month for a property manager agreement.
Let’s take a look at what a property manager can do for you, and why you should have one.
Helping You Find The Right Tenant
One of the biggest challenges in renting a home is finding a quality tenant. But how do you achieve that?
A good property management company will help you fill rental vacancies when someone moves out. That includes marketing the rental space in several places for the best exposure, to screening a potential tenant (credit and criminal background checks).
The property manager can also verify a potential tenant’s employment so you don’t run into a situation where they can’t pay. The goal is to find a quality tenant that ticks all the boxes, so you won’t have a high turnover. Creating and reviewing a binding lease agreement is also something you can leave to the experts.
The management service may even make it more convenient for interested tenants by providing an online application.
Dealing With Ongoing Maintenance
Once your property manager has secured a great tenant, you still have to consider what to do if repairs are needed or another issue arises. Even with the best quality tenant, the fridge may break or lights will burn out. These are known as incidentals in the property management world.
Some landlords choose to also be the handyman, giving their skills and time to maintaining the property. However, that’s assuming you have the time and the expertise to do it right.
A reliable property manager will take care of incidentals in a timely manner, so you don’t have to. That means they will have the unit fixed or replaced if needed. It will also help minimize the chance of disputes with the tenant – you want to keep all parties satisfied!
Collecting and Dispersing Money
Collecting rent money can become a challenge in some situations, but a property manager can help streamline the process. They will collect the rent and even direct deposit it to your account so you don’t have to think about it.
But there’s more than rent collection when it comes to managing money for a rental property. The property manager job description also includes paying property-related bills, as well as maintaining accounting ledgers for both you and the tenant. Those are all taken care of.
There are times when a tenant might bend the lease agreements or lag on rental payments. However, because the property management company knows the terms of the lease inside and out, you can be sure they’ll handle it for you if needed.
Determining Rent Amounts
Do you know how much you should charge for rent in your neighborhood? A property manager can take the guesswork out of setting your rental rates, based on market data from similar properties in the area.
Setting the bar too low can mean you’re leaving money on the table, and possible not attracting the best quality tenants. However, charging too much can scare off quality renters. That process can be taken care of for you, so you can be confident you’re getting the amount your property is worth.
You can be sure that potential tenants will also be doing their homework about rental rates in the area based on the size and location of the property.
Can I Have a Property Manager for One House?
The short answer to this question is yes. Not only can a property manager collect rent on your behalf, but they also know all the local tenant codes and laws. They even know the rules about storing security deposits, which they can also collect for you.
Hiring a property manager is about more than just saving time dealing with a tenant. You also get a partner that is well-versed in rental agreements and local laws. If you don’t follow the guidelines in place, it can end up costing you a lot more than management fees.
The bottom line is, you can still have a healthy return on your lone investment property while using the services of a property management company.
Check The Resume of The Property Manager
Just like there’s a process in place to find the best tenant, you should be equally as picky about choosing your property manager.
You want a property management company that is reliable and affordable, with the fees explained up front. That means you should seek out a company that charges a flat fee per month, regardless of rent. That means they’ll charge you the same each month if your rent is $1,750 or $750.
Incidentals should also be included in that fixed fee. You don’t want to be surprised with a large bill to replace an appliance.
You should also find a company that has reasonable leasing fees to cover advertising and move-in costs. There’s no point spending more than you charge in rent to secure a new tenant!
Lastly, you also want a property manager that can establish a good business relationship with your tenants. After all, they are representing you, so professionalism is important.
Property Management is an Investment
Hiring a property manager shouldn’t be seen as an added expense of being a landlord. Instead, you should look at it as an investment to maximize your return. You also can’t put a price tag on the peace of mind you’ll have by letting someone else deal with your tenant and payments.
Contact us today if you’re looking for a local property manager that knows the local market and can make being a landlord enjoyable.