Regardless if you call them a Property Management Company, home management firms, or rental property management agencies….it all means the same thing. The focus is usually on residential properties (but commercial property management companies do exist of course. Property rental agencies serving the 23235 area provide a variety of services to help you renting your house. It’s a long list of tasks that a top notch Property Management Company will handle; in fact (if you’re a great follow through kind of people person, you may even want to explore a job as a property manager yourself!.) Here’s a quick list of what property managers do if they are asked “will you help me rent my house?”
Rental Property Management Company RESPONSIBILITIES
- What the owner truly wants: “Rent My House”!
- Locate a tenant
- Oversee contracts
- Keep you legal by helping you obey housing laws
- Open your home to interested renters in order to rent your house
- Deal with move in and move out
- Collect rental payments and get you paid!
- Handle collections if payments are timely
- Help with evictions
- Respond to renter inquiries
- And a lot on top of that.
It’s everything from soup to nuts! Points to think about if you are considering if you should rent your home on your own or hire a Property Management Company near the 23235 area.
WILL YOU HAVE THE AVAILABILITY TO MANAGE YOUR INVESTMENT PROPERTY near the 23235 area?
If you are employed at a full-time job while you are dealing with a rental property and simply cannot give your your rental property the attention it demands, the viability of your investment could depend on paying for a great property management company in Richmond
In addition, realize that time is money and overseeing a rental home takes time. If you feel like the real life obligations of rental management are impinging on time that could be more enjoyably spent making more money at your full time job, or looking for other property to buy, hiring an outside property management firm may be the right move for you.
HOW CLOSE IS YOUR PROPERTY?
The more miles between you and your investment property,the more stressful it is to manage. If your main home is in Michigan and your investment property is in the 23235 area, it will be a lot of work for you to find renters,to handle renter complaints,to quickly react to emergencies, to address maintenance concerns, and even to make sure payment is collected by due date.
The amount of time it takes you to get to the property and the cost of gas will also mount. In situations such as these, hiring a greatRichmond property management agency? can make some sense and may actually save you some cash.
DO YOU HAVE EVEN A LITTLE BIT OF PROPERTY MANAGEMENT EXPERIENCE?
If you would like invest in Richmondrental homes, but don’t know a single thing about rental management, hiring an experienced Property Management Company can be a wise choice for you. Figuring it out on the job can become very expensive.
For a property investor who is just beginning, hiring a bad repairman or taking too long to fill a vacancy can rapidly eat into your returns. There are large legal liability concerns you can stumble on if you aren’t educated about Fair Housing laws or Federal real estate law. One lawsuit can pay for a lot of rental management charges!
HOW MANY RENTAL HOMES IN 23235 DO YOU OWN?
As the number of homes you own increases, so do your responsibilities. The more renters you have, the more repair issues, tenant complaints, and empty properties you will have to handle. Additionally, if your homes are spread across multiple cities, your time commitment will increase as you will have to take care of the issues of each particular property as well as travel from property to property to handle problems.
HOW FAR AWAY IS YOUR INVESTMENT PROPERTY?
The more distance between you and your rental home,the more difficult it is to look after. If your primary residence is in Oregon and your rental property is in the 23235 area, it will be more difficult for you to find renters,to handle renter complaints,to quickly respond to emergencies, to address maintenance concerns, and even to guarantee payment is collected by due date.
The amount of time it takes you to get to the property and the cost of gas will also start to bite. In situations such as these, hiring a goodRichmond property management firm? can make some sense and will likely save you some cash.
HOW WILL A PROPERTY MANAGER HELP ME MANAGE MY HOUSE NEAR 23235?
Residential property managers who service the 23235 area will do a number of things for you as the home investor, which can include the following:
OVERSEE MAINTENANCE ITEMS AND REPAIRS
Rental agents are oftentimes charged with caring for the physical oversight of the home, including regular maintenance and emergency work to be done.
RESIDENTIAL PROPERTY MANAGERS HELP YOU DETERMINE THE CORRECT RENTAL RATE
Property managers are responsible for determining the initial rent level, and collecting payment from tenants. Good leasing agents know how to set the correct rent level toattract tenants to your investment property. They hopefully have a specific understanding of the Richmond area, where the property is located and have looked at comparable homes in the general Richmond area.
OFFER GENERAL REAL ESTATE ADVICE:
Chat with you about the pros and cons\pluses and minuses of different policies such as accepting various animals, allowing smoking etc. Some things are very particular to the Richmond market, so having a local area expert who knows the 23235 area in particular is important.
OFFER SOUND REAL ESTATE ADVICE:
Discuss with you the positives and negatives of different policies such as accepting pets, permitting smoking etc. Other are very particular to the Richmond area, so having a local area expert who knows the 23235 area in particular is crucial.
DEALING WITH EVICTIONS
When a renter does not pay on time or otherwise breaches the terms of the contract, the leasing agent realizes understands the best method to file and move forward with an eviction.
Deliver accounting services Handle payment on behalf of the owner (Mortgage, insurance, HOA dues, etc.) Detailed records of expenditures via invoices and receipts Preserve all historical paperwork (paid invoices, paperworks, inspection documentation, warranties, etc.) Provide yearly reports, structured for tax purposes as well as mandatory tax documents including a 1099 form Advise owner on legal tax write offs related to their rental home. Deliver simple monthly cash-flow statements which provide a detailed accounting of income and detailed expenses
COLLECTING RENTAL PAYMENTS:
This is where a leasing agent earns their keep. Residential property management agencies make sure you get paid by collecting rent every month on time and strictly enforcing late penalties.
At times when there are repairs required, the property manager may attend to it themselves or may contract with an outside firm to take care the issue it. They sometimes have a big network of trustworthy electricians,carpenters,plumbers and other types vendors.
COLLECTING RENTAL PAYMENTS:
This is where a leasing agent earns their money! Home management firms make sure you get your money by collecting rent every month on time and strictly enforcing late fees.
TAKES CARE OF TAX PAYMENTS
The property manager will assist the property owner with understanding on how to handle taxes for the investment property. The property manager may additionally mail in taxes for the home
TAKE CARE OF CAREFUL INSPECTIONS
You want to make sure to take before and after photos and written documentation, so you can easily take care of renter deposits and disagreements when they leave your home. A lot of tenants will act dumbfounded when you take out damages from their deposit, so having comprehensive files will help cut down on the amount of disagreeing they do with you.
OVERSEE MAINTENANCE AND MINOR UPGRADES
Rental agents are oftentimes charged with caring for the physical management of the house, including scheduled maintenance and emergency work to be done.
OFFER GENERAL REAL ESTATE ADVICE:
Discuss with you the pros and cons\pluses and minuses of different issues such as accepting various animals, allowing smoking etc. Some things are very particular to the Richmond area, so having a local market expert who knows the 23235 area in particular is important.
Provide accounting services Handle payment for the owner (Mortgage, insurance, HOA dues, etc.) Detailed records of expenditures via invoices and receipts Preserve all historical documents (paid invoices, leases, inspection documentation, warranties, etc.) Oversee yearly reporting, organized for tax purposes as well as required tax paperwork including a 1099 paperwork Counsel owner on relevant tax deductions related to their investment home. Prepare easy to read monthly cash-flow reports which specify a detailed breakdown of income and itemized expenses
Question: How much do rental managers charge?
Answer: As you might guess, the response is “it depends.” Leasing agencies vary a lot, and much of the answer is dependent on what a company does for you.. Just what do you want a rental manager to accomplish for you?
Typical Percentage of Monthly Rent Agreement. As a starting point, expect to be charged a normal Property management company between 7 – 12% of the monthly rental value of the house. This is called a management charge, or monthly management payment. Generally the greater your rent is, the lower the percentage is. For example if your rental charges are $2,000 each month for your rental house, you will typically pay a lower percentage fee than another person whose house rents for $800 each month.
You do not pay this percentage fee until rent is received. Look carefully at your contract regarding whether the management fee is based on ‘rent collected’ or ‘rent due’. If the fee is based on rent received, it means the Property management company doesn’t get paid if you don’t get paid. Conversely, if it’s based on ‘rent due’, then you owe whether or not rent is received from the renter normally.
Fixed Fee Agreements
Some companies may charge, say,$75- $150 each month flat rate. There is nothing required bylaw in this; it’s determined by the firm owner.
You wouldn’t owe money on a flat rate contract usually until rent is collected.
QUESTION: What types of Maintenance can property management companies help with?
Some leasing agencies in the 23235 area have in house maintenance crews, full-time. The majority of contract this work out to various subcontractors. Some property management companies charge a flat rate to oversee any work with outside vendors. A few will upcharge the contractors invoice. Make sure you know how it works with your house management agency!
Question: What do Inspections of my home cost?
Some residential property management will charge for inspections, others will give you an inspection or more without charge per year. This is a walk through of your investment property to see how the tenant is treating it. Charges can range from $100-175 for each inspection.
QUESTION: How Should a Residential Property Company Assist an owner with Property Standard Maintenance?
Leasing agents are responsible for managing preventative property maintenance to keep your home in good condition. Examples of what can be involved:
- Manage and oversee company employed maintenance team
- Create a preventative maintenance policy to locate and deal with repair concerns
- Locate a team of licensed, bonded and completely insured contractors who have been reviewed for good bidding and excellent performance that meets code.
- Assign jobs to various parties such as (in-house employees, handyman and professional contractors) based on who may do a good job for the best price.
- Oversee outdoor areas
- Leaf and snow removal
- Removing garbage and debris
- Maintain and monitor a 24/7 emergency repair hot-line
- Larger renovation or remodeling projects
- Offer suggestions on how the project can optimize rental income.
- Take responsibility for preliminary pricing estimates
- Get a few different bids for the work to be done
- Perform as general contractor overseeing the work
Question: How much do rental managers cost?
Answer: As you may guess, the answer is “it depends.” Leasing agencies vary quite a bit, and a lot of the response depends on what they do for you.. Exactly what do you want a rental agent to accomplish for you?
Normal % of Rent Agreement. As a baseline, expect to be charged a usual Property management company between 8 – 10% of the monthly rental value of the unit. This is called a management fee, or monthly management fee. Usually the higher you charge for rent, the lower the percentage is. To illustrate if your rent is $2,500 per month for your property, you will normally pay a lower percentage fee than someone else whose home rents for $700 per month.
You are not charged this management charge until rent is collected. Look carefully at your contract regarding whether the management fee is based on ‘rent collected’ or ‘rent due’. If the fee is tied to rent collected, it means the Leasing agency won’t get paid if you don’t get paid. Conversely, if it’s determined by ‘rent due’, then you owe whether or not rent is received from the tenant typically.
Fixed Payment Contract
Some firms may charge, say,$75- $150 per month flat rate. There is nothing required bylaw in this; it’s determined by the company owner.
You wouldn’t owe money on a fixed rate contract typically until rent is received.
QUESTION: Do Home Management Companies Assist With Move Out?
Yes, a Home Management Company can Help With Move outs. Activities might include:
- Inspect rental home. and complete a document on the home’s status when the client moves out
- Give occupant with a version as well as noted charges
- Return the remainder of the security reserves to the tenant
- Forward left over portion of the owner’s portion of the renter deposit to the owner or keep in owner reserves for work to be done.
- Turn over home and handle required repairs or upgrades
- Re-do all locks
- Re-List house back on the market for rent
QUESTION: What Inspection Services Do Rental Agents Provide?
- Perform periodic inspections (Inside and outside) on a predetermined schedule watching out for upgrade needs, safety concerns, code problems, lease violations, etc.
- Send owner periodic reports on the condition of the property
QUESTION: How Should a Lease Management Company help an owner with the Tenant Move In Process?
- Initiate rental contract
- Determine move in date with applicants
- Review lease guidelines with tenant regarding things like rental payment terms and required property maintenance
- Ensure all agreements have been properly executed
- Perform detailed move in inspection with renter and have renters sign a report verifying the condition of the property prior to move-in.
- Secure initial month’s rent and security deposit
Question: Should I try to save cash by going FRBO? Or finding the cheapest property manager I can?
Answer: With the best unit managers, paying a little bit more is a smart investment, because it helps increase the value of your property, and they help retain top notch tenants; studies have shown hiring a house agentcan cut your vacancy rate in half. On the other hand, going lowball with a rental agency can end up being very expensive.
Question: What do Inspections of my home cost?
Some rental agencies will charge for inspections, some will give you one or more free annually. This is a walk through of your unit to see how the tenant is treating it. Fees can range from $100-175 per inspection.
Question: How much should I price shop the fees my property management company charges me?
Ultimately, hiring a property agent in the 23235 area is entering into a partnership. In the long run, the fees aren’t as critical as the communication between you and the agent and quality of the service your agent delivers. A great firm can take control of the maintenance of the house, for example, and wind up getting you much more rental value and price appreciation than you might be possible. However, you need to be willing to provide them the resources to do it.
QUESTION: Do Residential Property Management Firms Assist With Move Out?
Yes, a Home Management Company can Assist With Move outs. Activities might include:
- Inspect rental home. and complete a report on the house’s condition when the tenant moves out
- Give tenant with a copy as well as estimated charges
- Return the remainder of the damage deposit to the tenant
- Forward left over amount of the owner’s share of the tenant deposit to the owner or hold in owner reserves for work to be done.
- Turn over house and oversee needed repairs or upgrades
- Re-key the locks
- Re-List home back on the market for rent
QUESTION: What Inspection Services Do Rental Agents Provide?
- Handle periodic inspections (Inside and outside) on a regular schedule noting upgrade needs, safety issues, code violations, lease violations, etc.
- Prepare owner periodic reports on the condition of the property
What can a RichmondResidential Property Management Agency Do to Market Your House?
- Get property ready for rental
- Clean house and emphasize interior appeal
- Manicure exterior to maximize curb appeal
- Develop marketing materials customized for the property and marketing platform.
- Some of the channels regularly utilized are:
- For pay and no charge rental listing websites
- Print publications
- Installing a lock box
- MLS listings
- Property fliers
- Partner with other realtors and leasing agents to find a renter
- Provide a 24/7 phone where potential tenant can listen to specific information about the house
- FieldAnswer phone calls from prospects for questions and showings
- Welcome interested renters for showings during the week and weekend.
- Provide potential tenants with tenant applications that are legally in line with fair housing laws
- Gather applications with application fee
Question: Should I try to save cash by managing my home myself? Or hiring the cheapest leasing agent I can?
Answer: With the best property managers, paying a little bit more can be a smart investment, because it helps increase the value of your house, and they help retain quality tenants; studies have shown employing a unit agentcan reduce your vacancy rate by 50%. Conversely, going cheap with a leasing agency can end up being very expensive.
Question: What are Other charges made by property management companies?
In some cases, you might see some costs passed on to you – especially when the agent is charging a small monthly percentage. Illustrations could include an advertising fee in connection with placing a renter, an annual inspection charge, and some sort of reserve, so that the management firm has some cash on hand to take care of unanticipated, but urgent, costs.
You might want to look into how you share pet deposits collected and bad check charges (basically whoever gets stuck with the greatest amount of bank fees deserves the lion’s share of this one!) Also, pay attention to who gets to hang onto the income from vending machines and coin-operated washers and dryers, if any.