We live in an era where the internet can answer almost any question or solve any problem, but what if you don’t know the right questions to ask? When it comes to property management, one wrong step could cost you thousands of dollars and lots of headaches, so it’s important to ensure you’re completely comfortable with your property manager before signing on the dotted line. Here are some frequently asked questions that we get and that you should ask any property manager before working with them!
1. Are You Licensed and Insured?
The property management industry is one of the few industries where unlicensed individuals can take advantage of homeowners, so it’s essential to ensure the state licenses your property manager. Do some research on the laws in your state to determine whether your property manager needs a license and what type they should have.
In addition to a license, your property manager must be fully insured. This is true for all property managers, but it’s crucial for managers who manage multiple properties.
2. Are You Familiar With the Areas Where I Live?
It might seem like a no-brainer, but if your property manager doesn’t know where you live, they might not know the best strategy when dealing with situations like hurricanes or earthquakes in your area. For example, if your home is in a flood zone, the property management company should be very familiar with the tricky issues that could arise when planning a flood event.
Make sure you thoroughly check your property manager’s credentials and make sure they know the area they work in. If you live on an island, this also means that your property manager should be familiar with your specific area so they can be prepared for anything that might happen during their tenure as a property manager.
3. Can You Find Good Tenants?
One of the main reasons why some companies cost more than others is because of the tenant screening process. Knowing how the property management company selects and screens its tenants is important, as it could be vastly different from how you would go about it. It’s essential to find out what the tenant screening process involves so you know if it’s something that will work for you. There are any number of factors that make certain tenants more desirable than others, but there are also many ways to increase your chances of finding good tenants if you manage your rental property on your own.
4. Are You a Good Communicator?
Communication is key in property management, and your property manager should be able to communicate effectively with you. There are many ways a property manager can communicate with you through email, text, phone, and more, so finding out exactly how your property manager will communicate with you and what the process will be is important. Make sure they’re someone who can take care of all of your communication needs.
5. What Are Your Qualifications?
If you haven’t already checked this, look at the company’s qualifications. Some companies have only one property manager, while others have several. Make sure they all meet the same criteria, such as having plenty of experience and being licensed. Also, make sure they can handle multiple properties effectively. If a property management company has several agents and each agent manages their property, it can lead to inconsistency and confusion for both parties involved.
6. Do You Have Experience Managing Rental Properties?
You should also ensure that your property manager has plenty of hands-on experience managing rental properties before hiring them. In addition to taking care of all the administrative tasks involved with managing a rental property, having some management experience will also help you know what questions to ask when it comes time for your inspection or to deal with any repairs.
7. Can You Handle Multiple Properties?
When you’re signing a property management contract, make sure they’re able to handle your entire portfolio effectively. Property management companies that manage several homes will be able to ask the tenants in your rental properties questions and provide quality feedback that can benefit each home. Suppose you want an honest opinion and quality feedback on how each home is going. In that case, it’s important to determine if the property manager has experience taking care of multiple properties before signing their contract.
It’s important to ensure you know exactly what you want from a property manager before signing their contract. It doesn’t matter if this is your first property or your 100th; you should always be on the lookout for good property managers that meet all of your criteria before hiring them.