How to Choose a Property Management Company?
Owning property is a significant investment but also time-consuming one. If you are in it more for the investment then the work, then choosing a property management company may be in your best interest. Selecting a property management company should be a well-researched endeavor. You want to leave your investment in great hands. Do not take this decision lightly at all.
There are several things to consider when choosing the perfect candidate for the job.
How can the company help you fill your needs?
First, you must figure out what you need. When you hire a property management company, their job is to make your life easier. So you must know what you want them to do for you. The property management company should be able to market your properties, find the best tenants for your property, deal with any issues and complaints the tenant may have, take care of repairs and maintenance on the property, and deal with evictions if need be.
You want to be sure that the company you hire can do all of these things and more. The company should be professional and efficient so your properties can continue to bring in revenue and stay in good condition.
What can you afford?
Hiring a property management company will not be cheap. This is one reason careful consideration should be taken when making a decision.
How much does the company charge?
This is one of the most important questions. The purpose of owning property is to earn income. The property management company is there to help you do that but at what cost. Are the services offered worth what they’re charging?
How do they charge?
Most management companies charge between 8-12 percent of the monthly rental value of the property, but this number can vary widely. Then some companies may charge a flat rate. Costs depend on what services you need them to provide.
What other fees do they charge?
When it comes to prices, all companies are not created equally. Be sure to inquire about all fees that may be a part of the contract. Does the company charge a fee for a vacant unit? Does the company charge for maintenance? Does the company charge for evictions? These are questions that must be taken into consideration when researching potential companies. Then you can decide on what fees and charges will be suitable for your budget?
How will the company communicate with you?
Communication is the key to a successful business relationship. The company you hire should have a system set up to make accessing your property information easy. There should also be a system that allows for simple communication regarding any questions or concerns you may have.
You want to find a company that is readily available. So you will want to ask them how fast they respond to any questions. You will also want to know the best way to communicate with them. If you prefer to communicate via e-mail, the company you hire should be willing to communicate with you that way.
Is there a system in place where you can always have access to your property information? Even though the company will be doing the day to day management, you still need to know what is going on with your property. The company you hire should have no issue providing you with any information you want.
Does the company have good references?
The best way to find out about a company is through word of mouth. Ask them for any references and be sure to contact those references. Ask them about their experience working with the company. The reference has no reason to lie so you can expect an honest evaluation of how the company operates.
These are just a few things that you must look for when choosing the right Phoenix property management company to handle your rental properties.