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What to Look for When Hiring a Property Manager Featured Image

What to Look for When Hiring a Property Manager

Hiring a property manager in the Greater Boston Area

There are many reasons a property owner may want to hire a property manager. A few reasons include; not living near the property, not having time to manage the property because of a full-time job, not having the resources to find and retain tenants, or simply having no interest in the hands-on management of a building.

Although it may be difficult to put your business in someone else’s hands, it may prove to be a cost-efficient expense that will help your investment maximize ROI. At the end of the day, it’s important to think of your rental property as a business — and a good property management company will manage your property like a business since it is their business! Here are some important things to think about when considering a property manager.

How much are you going to pay for property management?

Depending on your location, property management companies will charge between 4 and 12% of the gross monthly rent in management fees. It is also important to understand what is included in that fee. Ask your property manager to give you a scope of services document so you can clearly understand what is included in the management fee and what they will be responsible for.

How does a property manager handle rent collection?

Ask your prospective property manager about how they handle rent collection. One of the most important tasks of a property manager is to efficiently collect and record rental income. A good property management company should have ACH withdrawal systems set up to pull rent on the first of every month and a full-time accountant to make sure funds are properly recorded.

Maintenance requests and tenant communication
A professional property management company will have a tenant portal and a clear process for taking and recording maintenance issues and requests. If a tenant is not able to communicate issues with the property manager, it can result in upset tenants along with deferred maintenance issues, and even city fines.

Do they have a list of established vendors for building maintenance?
Property management companies are large sources of business for contractors and vendors in the real estate sector. This means the property manager you hire should have developed relationships with contractors and vendors — and more importantly, they should be able to pass the bulk discounts along to you! Be sure to ask about how the property manager can save you money. 

These are very important items to ask and consider when hiring a property manager. It is equally important to have a conversation with a potential manager to see if it will be a good fit on both ends. If you would like to interview MerGo Property Management Click the link Here.