As an investment property owner, you know that a reliable and reputable property management company is key to ensuring your asset is well-cared for. But with so many options out there, how do you choose the right one?
This article is going to go over everything you need to know about choosing a property management company for your multifamily home. We'll cover what you need to look for in a company, tips for finding the right company for you, and some questions you should ask during the interview process.
What To Look For In A Property Management Company
The most important thing you need to look for in a property management company is experience. You want to find a company that has extensive experience managing multifamily homes like yours.
Look for a company that has been in business for at least 5 years. This will give you a good indicator that they know what they're doing and are good at their job. You'll also want to ask them about the current market trends in the rental world. If they know what they're talking about, you'll be assured that your property is in good hands.
Another thing to look for is a company that has a good reputation. You can ask around your neighborhood or do a quick Google search to see what others are saying about the company. If you see mostly positive reviews, that's a good sign.
Another thing to look for is a company that is licensed and insured. This protects you in case anything goes wrong while they're managing your property.
It's also important to find a company that uses technology to its advantage. Look for a company that uses online portals to communicate with tenants and owners, has a mobile app, and is always up-to-date on the latest trends in property management.
Tips For Finding A Property Management Company
It can seem like a daunting task to find the right company to suit your needs. You want to make sure you find someone that you see eye-to-eye with and who has the experience to back up their claims. Here are a few tips to help you find the right property management company:
1. Know your priorities
Start by making a list of your must-haves. What are the things that are most important to you in a property management company? Write them down and use this list as your guide during your search.
Having a clear understanding of what you're looking for will make it easier to find the right company for you. Keeping a written list will ensure that you can clearly articulate your needs during the interview process.
2. Do your research
Before making any decisions, it’s important to do your research and ask around for recommendations. Get your recommendations from other investment property owners. Chances are, they've had to go through the same process as you and can give you some good insights.
You can also look for online reviews of companies in your area. This is a great way to get an idea of what others have thought about their experience with a particular company.
You'll also want to make sure to interview multiple companies before making your decision. This will give you a chance to see how they operate and if they're a good fit for you.
3. Ask about fees
One of the most important things to ask about is fees. What kind of fees will you be responsible for? How much will they be? When are they due?
Be sure to ask about all potential fees upfront so there are no surprises down the road. Some companies may charge a percentage of the monthly rent, while others may have a flat rate.
4. Consider their experience
As we mentioned earlier, experience is key when choosing a property management company, especially if you have a complex or high-end investment property. You want to be sure they have the knowledge and expertise to properly care for your asset.
But it's not just the company's experience you should be worried about. You'll also want to consider the experience of their employees. Make sure to ask about the experience of the people who will be working on your account. How long have they been with the company? What is their background?
You'll want to be sure that the people who are managing your property have the experience and knowledge necessary to do a good job.
5. Ask about their services
Be sure to ask about what kind of services the company offers. Do they just handle rent collection and maintenance requests, or do they also help with marketing and lease renewals? From marketing and leasing to maintenance and repairs, you want to be sure they can handle everything you need.
The more services a company offers, the easier it will be for you to manage your property from a distance. But keep in mind that these additional services will likely come at a higher cost.
6. Get a contract
Once you’ve found a property management company you’re happy with, be sure to get everything in writing. This will help protect both you and your investment.
Your contract should outline all of the services the company will provide, as well as their fees. It should also include information on how they will communicate with you and how often you can expect updates.
Be sure to read over the contract carefully before signing anything. If there is anything you don’t understand or agree with, be sure to have it clarified before moving forward.
7. Trust your gut
At the end of the day, you should trust your gut when choosing a property management company. If something feels off, it probably is.
The best way to find a good property management company is to do your research and ask around for recommendations. Once you’ve found a few companies you’re interested in, be sure to ask about their experience, fees, and services. And finally, don’t forget to get everything in writing before making your decision.
Questions To Ask During The Interview
Once you've narrowed down your list of potential companies, it's time to start interviewing them. Here are a few questions you should ask during the interview process:
- General questions: How long have you been in business? How many properties do you currently manage? What are your fees? What services do you offer?
- Questions about their specific experience: Do you specialize in any particular type of property? Do you have any experience with my type of property? What are your thoughts on the current state of the rental market?
- Questions about their process: How do you communicate with tenants and owners? What is your policy on repairs and maintenance? Do you have a mobile app?
The Bottom Line
Choosing a property management company is a big decision. Be sure to do your research and ask around for recommendations. Once you've found a few companies you're interested in, be sure to ask about their experience, fees, and services. And finally, don't forget to get everything in writing before making your decision.
Property management companies can be a great help when it comes to managing your investment property. But with so many companies to choose from, it can be tough to know which one is right for you. By following these tips, you can be sure to find a property management company that will fit your needs and help you keep your tenants happy.
The team at getMULTIfamily.com are experts when it comes to MULTIfamily real estate and have worked with numerous buyers and sellers over the years. Specializing in duplexes, triplexes, fourplexes and other multifamily homes, Get Multifamily is the obvious choice when considering your next purchase or sale.
