Is It Time to Hire a Property Management Company?
Updated: Dec 1, 2021
Being a landlord is not an easy task, but it can be very rewarding, both in profits and the ability to help your community and tenants. Property managers are a massive resource for landlords to utilize.
There are many difficulties that come with owning rental properties, residential properties, especially. You are responsible for ensuring that your tenants are living in a safe and well-maintained home. Not only that, but you are responsible for how profitable your investment is.
With this responsibility comes many tasks. Things like maintenance calls, vendor relations, accounting, evictions, and tenant screenings just touch on the surface of what a landlord is responsible for.
A property management company is a company you can hire to manage everything from daily operations to projects on your property. They can handle things such as effectively screening a potential tenant and as well handling the daunting eviction process for you.
Let's take a look at a few ways a property manager could help you. If you find yourself relating to some of these scenarios, it might be time to hire a property management company.
You Don't Live Near Your Properties
Maybe you don't live in New Hampshire, or maybe you like to snowbird to escape the freezing winters. Either way, it is a challenge to manage your own properties from a distance.
Having a property management company close to your investment ensures that your tenants are taken care of. Not only that, it helps protect the longevity of your investment.
Having a property manager who is close by and carefully monitoring your property and its work being completed will help protect your investment.
Also, there are some tasks even the best landlord cannot do from a distance. But what about that annual fire inspection? Or the emergency no heat call in the winter? Who will deliver that eviction notice to the tenant who isn't paying?
Living far away from your properties can be a challenge. That's why you need someone to help protect your investment that lives close by.
You're Tired of Daily Operations
While we strongly believe that one of the best ways to secure a long-term income for yourself is through owning investment properties, that doesn't mean the day-to-day tasks are fun.
If you are a rental property owner, we don't need to explain how much time daily operations can take away from your day.
There is so much that goes into creating a profitable investment for yourself. There are showings that need to be done, rents that need to be collected, and maintenance that needs to be scheduled.
Managing your tenant relations and vendor relations can be exhausting, all while ensuring compliance with landlord and tenant laws.
Hiring a property management company can altogether remove those tasks from your daily routine. This will give you the time to continue growing your portfolio or possibly taking that much-needed vacation.
Whatever your goals in life are, having a property manager can free up your time so you can achieve them quicker.
You Need Help Thoroughly Screening Tenants
Without your tenants, your investment would not be generating money for you.
Choosing the ideal tenant to live in your rental property is a huge responsibility. If you are not experienced in this area, it may be daunting to figure out where to start.
A background check and credit report is just the beginning of screening a tenant.
Did you ask for references from previous landlords? What about an employment verification? Did you think of possibly asking for personal references? Are you complying with Fair Housing Laws?
It's also not just about asking for these references but knowing what to do with them. When you call these references, it can be difficult to know the right questions to ask.
The bottom line is that screening tenants can be a full-time job within itself. If you do it correctly, you won't have to do it often.
But if you have a high turnover rate, consider hiring Admiral Property to take care of all your tenant screening, and apartment fills for you. We are experts in this field.
Finding the perfect tenant for your vacant apartments is arguably one of the most critical parts of having a profitable investment.
You Want More Free Time
By far, the most significant benefit of hiring a property manager is freeing up your time. Think of all the things you would rather be doing than coordinating maintenance, screening tenants, and getting emergency calls at 1 am.
By hiring a property management company, you can have all the financial benefits of being a landlord with none of the headaches.
If your goal is to build your investment portfolio further, you don't need to be bogged down by scheduling contractors to fix leaky faucets or no hot water.
Nothing is worse than being woken out late at night by a sudden call from a tenant saying their heat isn't working in the dead of winter.
If you are a landlord, you know that there are no breaks. You are on call 24/7. By hiring a property manager, we can take the burden and stress out of owning a property.
You Don't Like Marketing Your Rentals
Whatever your business is, marketing is one of the most essential parts of it. Without marketing and getting those new clients in the door, you won't be making any money.
Marketing is the backbone of all businesses. However, this does not mean that it is fun.
If you don't like figuring out how to market your property to attract the right tenants, a property management company might be right for you.
Utilizing a property manager to market your property for you is a huge time saver in this current real estate market.
A lot of the time, property managers already have a base of tenants who need a property to rent. If they don't, they have already done the research necessary to know how to market your vacant apartment effectively.
You Hate Evictions
Let me be honest. Evictions are easily the worst part of being a landlord. It's a hard decision to make whether to work with the tenant or say goodbye.
Not only is it a heavy decision, but it can also be confusing. There are many laws to protect both the tenant and the landlord. It can be difficult to navigate, especially if you do not handle evictions often.
Hiring a property management company can be highly beneficial for the eviction process.
Property managers handle evictions very regularly. The legal aspect is something that a good property manager understands well and knows how to execute the process.
Allowing a property manager to handle the eviction process for you can help elevate the legal stress of an eviction.
You Want To Create a Passive Income
If you choose to invest in real estate, the chances are that you want to make money while you're sleeping. What a dream that is! Fortunately, it is achievable.
Finding a property management company you can trust can allow you to create an almost entirely passive income.
You already put in all the hard work to find the perfect properties. You spent the time researching if it will cash-flow, if they are in good neighborhoods, and if they will stand the test of time.
It sounds like a dream, but wouldn't it be nice to know your property is being professionally cared for and money is just deposited into your account every month?
In our opinion, is this not an unrealistic dream. Even with a property manager, you will still need to have some involvement in your rental properties. But this is far less involvement than if you do everything yourself!
If your involvement is just approving or rejecting projects, you could realistically have a very passive income.
Maybe you're looking to the future for retirement or possibly looking to fund turning your passion project into another stream of income. Either way, generating a passive income is a huge accomplishment and creates more time and money for whatever you want to do next.
Is it Worth the Money?
Is hiring a property management company worth the money? This is a question that only you can answer.
There are many landlords who manage their properties full-time and love it. While the tasks mentioned above are difficult, they are not impossible. If they were, property management companies like ours wouldn't exist!
So, is a property management company right for you?
We went over many of the benefits of hiring a property management company, but what are some of the cons? Can it all be good?
Like all things in life, there are upsides and downsides. A huge thing to consider when hiring a property management company is the cost. Can you afford to pay a property manager as well as cover your other expenses?
A huge benefit of having a property management company is having an expert in the field work for you. If you find the perfect fit for a property manager, you won't have to worry about the day-to-day tasks or the legal hassle being a landlord can bring along with it.
There are also different levels to having a property management company manage your properties.
For example, here at Admiral Property LLC, we are a full-service property management company. However, if you are comfortable managing your own maintenance and vendor relations, you can just hire a company like ours only to handle tenant screenings.
Likewise, you could also hire Admiral Property LLC to handle the eviction process for you.
Sometimes a full-service management contract isn't right for everyone, that doesn't mean we can't help! Talk to a property management company about the services you could hire them for and find what works best for you and your tenants.
Hiring a property management company is a big decision where many landlords go back and forth. There are upsides and downsides to hiring a property management company.
Suppose you are a property owner who does not want to handle all your tenant relations, maintenance, and everything going else going on at your property on a day-to-day basis. In that case, a property manager might be for you.
Likewise, if you are a landlord who is looking to create a more passive income and be hands-off with your property, hiring a property manager can be a massive benefit to achieving that goal.
Every real estate investor is different, though. You might be perfectly content with managing the daily operations of your property. However, you could still benefit from a property management company with a thorough tenant screening process.
Hiring a property manager is a huge decision, but one that can be massively beneficial for not only you but your tenants and your growing investment as well.
So, is it time for you to hire a property manager?
Here at Admiral Property LLC, we can take care of all of your property needs for you. We provide all of the services mentioned above with world-class expertise and so many more.
If you are interested in what we can offer you, please reach out to us at (603)-923-7472 or email@example.com