If you have a rental property and you think you can manage it on your own, be prepared to spend a lot of time and money taking care of tenants, keeping the home maintained, and following all of the ever-changing landlord-tenant laws and local regulations. If that sounds like a little more than you can handle, you may want to consider hiring a property management company. This is a good way to keep your income up and your costs down. It also ensures you and your property are better protected.
1. Experience
The first reason you should hire a professional property management company is that they have experience. Property managers spend every day of their professional lives screening tenants, marketing vacant homes, hiring vendors, and dealing with security deposits. They understand the law and they know how to keep you out of trouble. It’s very easy to make an expensive mistake. Your property manager has the knowledge, skills, and talents to effectively care for your home.
2. Save Money
The second reason to hire a professional property management company is that you’ll save money. This may seem counter-intuitive since you’ll be charged a management fee every month. However, property managers can often rent your property faster than you can on your own. That saves you a lot of money in vacancy costs. Professional managers often get preferred rates from maintenance vendors and contractors. Those savings will help your bottom line. Your property manager will also protect the condition of your asset, ensuring your return on investment is where you need it to be.
3. Less Worries
Finally, hire a professional property management company for peace of mind. You don’t want to be called in the middle of the night when the air conditioning breaks at the property, or worry about violating fair housing laws or choosing the wrong tenant. When you have a professional working on your behalf, you don’t have to worry about anything except collecting the rent every month.
You should also remember that most of your property management expenses will be tax-deductive. Smart investors and landlords know that it makes financial sense to hire a professional management company to take care of rental properties. You and your tenants will have a far better rental experience if you decide to select a property management company.