What are property managers?
Property managers are in charge of the day-to-day operations of a property or properties that have been rented to a person or individuals by the owner. They act as a bridge between the landlord and the tenant. Their primary responsibility is to supervise the specific requirements of the tenant and property owner.
An experienced and certified property management company, such as RK Property Partners, can help you maximise the benefits and return of investment properties while avoiding potential issues that may arise when becoming a landlord.
Why hire a property manager?
Hiring a property management service alleviates the stress associated with managing your own investment property,
- Routine maintenance and repairs, and overall upkeep of the property.
- Administrative, legal, and accounting tasks, including collection of rent, paying bills, maintaining reports, and filing taxes, and staying up-to-date with the latest landlord-tenant laws.
- Marketing your property to find tenants, and keep vacancy periods minimal.
- Tenant communication for emergencies, maintenance issues, problem resolution and timely rent payments.
You want to find a property manager who you can trust, not only for the day-to-day operations and tenant communication, but also one who understands the value of your investment and its return over time.
How to hire a property manager?
With thousands of property management companies out there, ranging from single-person operations to national companies employing thousands of people, you have to be exceptionally careful and considerate with your decision of hiring.
Get referrals and recommendations from trusted sources.
When looking for a property management company, the first thing you should do is ask for references. You can get referrals from the following reliable sources:
- Other property owners
Another great way to find recommended property managers is to look online. If you are looking for a property management company, the internet will provide you with all of the information you want. Review sites, like Google My Business, realestate.com.au and domain.com.au, offer feedback from other property owners and tenants. This gives you a realistic idea of what to expect when you do business with a property management company.
Confirm all management fees.
Look for a company that uses a percentage for their management fee, i.e. 8% of the monthly rent. This is better than a flat fee because it provides motivation to the manager to get the best rental price for your home. Some companies will also charge additional fees for things like tenant finder’s fees, maintenance markups, emergency on-call services, maintenance reserves, evictions, court costs, and so forth. Ensure that you understand all potential expenses and that the property management properly outlines your fee structure. It should be detailed in writing in the management contract.
You likely have your own questions you want to ask your potential property manager, but during interviews, you should cover the following subjects:
- Experience in the rental property industry
- Knowledge of federal, state, and local landlord-tenant laws
- Services offered
- The number of available property managers in company
- The number of properties managed at the same time
- Fee structure for management
- The amount of time your property manager will spend on your property.
- Property inspection process
- Standard lease agreements
Review licenses and certifications.
It is critical to check the company’s licenses and certifications while interviewing potential property management companies. In Australia, you must hold a Property Manager Registration in order to qualify as a property manager. This license was put in place to protect landlords and tenants from managers not reaching a high standard of service.
Request the candidate’s track record and professional experience
A good property manager will be well-versed in property management and the local market. They should be able to give you with the following information:
- Average length of tenancy
- Days on the market
- Average rent range for various neighborhoods
- The average cost of preparing a home for rent
- The number of leases signed each month
- Rate of vacancy
RK Property Partners are qualified, experienced Property Managers
RK Property Partners is your experienced and qualified property manager in Canberra. We are experts in our area. We know how to find the right tenants in Canberra, the best quality traders and correct legislation/laws, to sort out any issues immediately that often arise when renting a property.
To speak to one of our property management experts, contact us here.