Should I Hire a Professional Property Manager?
By Leslie Evanoff, HomeStar Property Management
Some real estate investors swear by them while others swear them off.
There are pros and cons to hiring a professional property management company. Hiring a good property manager can increase efficiency, reduce loss and, for some investors, is well worth the added expense. As an investor, you have to decide if reducing your stress level and freeing up your time is worth the additional investment. Here are some factors to consider before hiring a property manager or company.
Professionalism. As a real estate investor, you need to decide whether you have the time to handle the oversight, marketing, leasing, rent collection and maintenance required to successfully manage your rental properties. Handling all the details involved in managing a rental portfolio can be a full-time job. A certified property manager can help mitigate risk and ensure that you get the most out of your rental investment. Professional property managers are trained and certified to help investors stay in compliance with all applicable laws and regulations, though there are resources out there if you want to learn this information yourself. If you don’t feel comfortable navigating the legal responsibilities required to manage a rental, you may want to consider hiring a professional.
Technology Solutions. By utilizing the right technology and tools, property management companies are able to manage rental assets more efficiently while providing investors with valuable big picture data. A tech-savvy property manager is able to provide a wealth of knowledge through the utilization of professional property management applications. These software applications can be expensive but prevent even the smallest detail from slipping through the cracks. Everything runs more smoothly when property managers can quickly communicate with tenants and easily track and handle online rent payments, maintenance requests and lease applications.
Oversight. The best property management companies take technology to the next level by gathering and analyzing rental data and market trends to get ahead of the competition. Data collection and analysis can provide valuable insight into the behavior of current and prospective renters, allowing property managers to develop better pricing strategies and marketing tactics. Advanced technology applications also allow users to generate custom reports that give investors the power to monitor their assets and make important business decisions with less hands-on, day-to-day involvement.
Control. Hiring a professional property manager means handing over some of the day-to-day control you have over your rental property. Unless you have the time and desire to hand pick tenants, source vendors and complete handyman services, using a professional management company is the perfect solution for a busy investor. Many investors tend to find it more practical to hire a local property management company that can quickly handle all preservation issues including property inspections, emergency maintenance and vendor sourcing. These professionals know the ins and outs of finding reputable contractors and can often negotiate better pricing on labor and materials.
HomeStar’s Family of Companies offers a comprehensive suite of services and solutions for real estate investors, banks and servicers. The company is organized into specialized branches including HomeStar Field Services, HomeStar Property Management and HomeStar Property Claims. HomeStar Property Management, LLC provides nationwide property management services using a comprehensive residential REO rental management process that is designed to manage properties from rental evaluation to disposition. For more information on property management or to schedule a consultation, contact Leslie.Evanoff@homestarllc.com.
The information on this page is provided for informational purposes only and does not constitute investment, real estate, or legal advice. This information should not be regarded as a recommendation or an offer to buy or sell any product or service to which this information may relate. No representations or warranties whatsoever, express or implied, are given as to the accuracy or applicability of the information contained herein. The information may be modified or rendered incorrect by changes in the marketplace or developments in the law, or for any other reason, and may not be applicable to any individual reader’s facts and circumstances.