Whether to hire a property management company or not is one of the biggest decisions that any landlord would have to make. Some of the landlords manage their property alone; while some hire an employee like a resident manager. But it is not always that the landlords will be able to manage their property all alone. This is where hiring a property management company might make sense.
The property management company may prove to be an asset for your business as a landlord. Here is when a landlord should consider hiring a property management company.
1. If you have lots of rental units or properties.
If you own many properties or rental units, there are more chances that hiring a company for property management will be beneficial for you.
2. If you live far from your rental property.
You might be living at a place that is far from where you live. If so, a company will be invaluable for you because it will take the responsibility of dealing with all the issues that you can’t handle from afar.
3. If you don’t want to take responsibility.
It is quite challenging to find good tenants and maintain a safe and attractive environment for them. Not all landlords can do this effectively. If you are a landlord, who views his rental property as an investment and don’t want to take the responsibility of managing the properties, you must consider hiring a company for your help.
4. If you have limited time.
You might not always have sufficient time to devote to your business, especially when you are not just a landlord. A good property management company can also help you in growing your business arranging finances for the renovations and repairs of your property, and even changing your whole business structure.
5. If you can afford the cost of hiring.
If you are able to afford the fees of the property management company, it is an attractive option for you. When you are going to hire a company for you, you must be prepared for their fees to be between 5% and 10% of your total rent revenue. But if it’s down market, you can do it on your own until the market turns around.
6. If you can’t manage it alone.
You might be doing quite well with the management of your property. But when your business starts to grow, you might not be able to do it as efficiently as you used to. This where the need for getting help comes into play. At this point, you can consider hiring a company for property management.
Before you hire a property management company, you must know that it is not suitable for everyone. If you are actually in need of hiring a property management company, do it otherwise not.