No matter 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 agencies do exist certainly. Property rental agencies serving the 23836 area provide a long list of services to help you renting your house. It’s an overwhelming punchlist of jobs that a great Property Management Company will handle; in fact (if you’re a detailed follow through kind of people person, you may even want to investigate a job as a property manager yourself!.) Here’s just a partial 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 renter
- Oversee contracts
- Keep you out of jail by helping you follow housing laws
- Show your house to possible renters in order to rent your house
- Handle move in and move out
- Collect rent and get you paid!
- Handle follow up if payments are not on time
- Assist with evictions
- Answer tenant inquiries
- And so much on top of that.
It’s everything but the kitchen sink! Areas to consider if you are wondering if you maybe should rent your house on your own or hire a Property Management Company near the 23836 area.
DO YOU HAVE THE TEMPERAMENT TO WORK WITH RENTERS?
Is the challenge of dealing with evictions, renter problems and maintenance concerns stressful for you? Rental agents are skilled in handling landlord-tenant conflict. Property Management Company have an understanding of Richmond landlord-tenant law and can serve as a buffer for difficulties. Additionally, if the renter is aware they are dealing with a third party, they are likely to act more civilly as well.
You don’t have to hire a property management agency because you are brand new to property investing in 23836, have a lot of units or are having trouble filling empty units. Many people manage their own homes. Personal experience can often be the best teacher and everyone has to begin learning somewhere. If you educate yourself about residential real estate, ask the advice of others and have a clear desire to oversee your home well, its very likely, you will succeed.
HOW MANY RENTAL HOMES IN 23836 DO YOU HAVE TO TAKE CARE OF?
As the total homes you own multiplies, so does your workload. The more renters you have, the more maintenance concerns, renter complaints, and empty properties you will have to handle. In addition, if your homes are spread across multiple locations, your time commitment will increase as you will have to manage the cash flow of each individual investment home as well as physically commute from property to property to resolve issues.
CAN YOU AFFORD TO HIRE A Property Management Company ?
You’ve figured out that top notchrental agentswho provide services to the 23836 area in Richmond aren’t free.
Property management firms will charge a fee, ballpark, between 5% and 9% of the monthly rents for the house. The usual fee for a single family investment is closer to 8-10%. The cost for a property of 10 units or more is on average between 4% and 8%.
If your house is vacant, it’s typical to pay a lease up fee to locate and place a new renter in your rental home. Depending on the property management company this can fluctuate from 50%-100% of a month’s rent.
Something to consider: Having experienced property manager input on market rents and having a professional agent deal with locating a renter could mean you might get higher rents, which means a good property manager likely will end up covering all or part of their cost because of increased rents.
DO YOU HAVE THE AVAILABILITY TO MANAGE YOUR INVESTMENT PROPERTY in the 23836 area?
If you work at a full-time job while you are dealing with a rental property and simply can’t give your investment home the focus it requires, the profitability of your investment could depend on hiring a full time property management company in Richmond
In addition, realize that time is definitely money and overseeing a investment home takes energy. If you feel like the real life requirements of rental management are impeding on time that could be better spent making more money at your full time job, or looking for other property to buy, hiring an outside property management company may be the smartest move for you.
WILL YOU HAVE THE TIME TO OVERSEE YOUR RENTAL PROPERTY near the 23836 area?
If you have a full-time job while you are dealing with a investment home and simply cannot give your investment home the energy it needs, the profitability of your investment may depend on paying for a full time property management company in Richmond
Also, realize that time is definitely money and managing a rental home takes effort. If you feel like the every day duties of rental management are impeding on time that could be more profitably spent making more money at your full time job, or searching for other property to buy, employing an outside property management firm may be the right move for you.
HOW CAN A RESIDENTIAL PROPERTY MANAGEMENT COMPANY HELP ME MANAGE MY HOUSE NEAR 23836?
Residential property managers who service the 23836 area may do many things for you as the homeowner, which can include the following areas:
HANDLE CAREFUL INSPECTIONS
You want to make sure to have before and after photos and written documentation, so you can accurately take care of renter deposits and disputes when they move out. A good number of renters will act amazed when you remove damages from their deposit, so having careful documentation will help reduce the amount of disagreeing they do with you.
This is where a rental agent earns their money! Home management companies make sure you get paid by collecting rent each month on time and strictly enforcing late fees.
One of the main responsibilities of the property managers is to oversee tenants. Agents are involved in all capacities, from identifying the renters and dealing with issues to initiating evictions.
RENTAL MANAGEMENT COMPANIES HELP YOU SET THE CORRECT RENT LEVELS
Property managers are responsible for setting the beginning rent level, and collecting rent from renters. Excellent leasing agents know how to set the right rent level todirect tenants to your rental property. They hopefully have a specific understanding of the Richmond area, where the property is located and have examined at comparable houses in the general Richmond market.
TAKES CARE OF HANDLING TAXES
The rental agent can assist the property owner with knowledge of how to handle taxes for the investment property. The rental agent can additionally mail in taxes for the home
Professional property managers are many times engaged to observe vacant properties to ensure there has been no destruction and to execute regular maintenance. They also make certain vendors and other repairmen are completing their work in a timely manner.
HANDLE CAREFUL INSPECTIONS
You want to make sure to take before and after photos and written records, so you can easily take care of renter deposits and disputes when they move out. A good number of renters will act dumbfounded when you take out damages from their deposit, so having careful documentation will help cut down on the amount of arguing they do with you.
PROPERTY MANAGEMENT COMPANIES HELP YOU DECIDE MARKET RENTAL RATE
Rental agents are responsible for establishing the initial rent level, and collecting payment from renters. Excellent property managers know how to set the correct rent level toattract renters to your home. They hopefully have a specific understanding of the Richmond area, where the property is located and have reviewed at comparable properties in the general Richmond market.
PROPERTY MANAGEMENT COMPANIES HELP YOU SET THE CORRECT RENTAL RATE
Rental managers are responsible for establishing the initial rent level, and collecting rent from tenants. Excellent rental managers know how to set the market rent level toattract tenants to your investment property. They hopefully have a specific understanding of the Richmond area, where the home is located and have looked at comparable houses in the general Richmond market.
Many agents are responsible for recommending the duration of the lease and ensuring it has all the necessary clauses to look out for the client. This includes determining the total of damage deposit needed.
Nearly all they are paid to oversee repair situations, noise disturbances and have the needed relationships to deal with emergency situations.
DEALING WITH EVICTIONS
When a tenant does not pay on time or in some way violates the terms of the agreement, the rental property management agent knows understands the proper way to legally respond and move forward with an eviction.
PROPERTY MANAGERS HELP YOU SET THE CORRECT RENTAL RATE
Rental agents are responsible for determining the initial rent level, and collecting payment from renters. Top level leasing agents know how to set the correct rent level todirect renters to your home. They hopefully have a specific understanding of the Richmond area, where the property is located and have examined at comparable homes in the general Richmond area.
SUGGEST AND SUPERVISE VENDORS
Residential property management agents should be able to offer recommendations on repairs and cosmetic improvements that maximize profitability while providing good ROI.
QUESTION: Do Home Management Firms Assist With Move Out?
Yes, a Property Management Company can Assist With Move outs. Actions might include:
- Inspect investment property. and complete a report on the property's status when the renter moves out
- Give occupant with a copy as well as estimated damages
- Return the remainder of the damage reserves to the tenant
- Forward remaining portion of the owner’s share of the renter deposit to the homeowner or keep in owner reserves for work to be done.
- Clean home and perform needed repairs or upgrades
- Re-do all locks
- Put the property back on the market for rent
QUESTION: What Inspection Services Do Rental Agents Provide?
- Handle systematic inspections (Inside and outside) on a regular schedule noting repair requirements, safety concerns, code problems, lease violations, etc.
- Prepare owner periodic reports on the condition of the property
Question: What Is The Normal Term Of A Property Management Agreement?
Normally, an owner signs an agreement with a residential property management firm for a certain length of time – 12 or 24 months, for example – with an option to renew. Paperwork could be prepared so that they automatically renew if neither party takes actionopposing it. Termination clauses allow for early termination if the residential property management firm is in the breaking of the contract in any way.
Question: What Is The Normal Term Of A Property Management Agreement?
Usually, a landlord signs a contract with a rental agency for a certain length of time – 12 or 24 months, for example – with an option to renew. Agreements could be drawn up so that they automatically renew if neither party takes actionstopping it. Termination clauses allow for early termination if the rental agency is in the breaking of the agreement in any way.
Question: What are Random fees made by property management companies?
In some cases, you could see some charges passed on to you – especially when the manager is charging a low monthly percentage. Illustrations could include an marketing fee in connection with placing a renter, a yearly inspection fee, and some sort of reserve, so that the management company has some cash on hand to take care of unanticipated, but urgent, costs.
You may want to look into how you share pet deposits collected and bad check charges (basically whomever gets hit with the most bank fees should get 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.
Question: Do all property management companies charge basically the same way?
Not all pricing structures are identical. Some leasing agencies in the 23836 area may charge a fixed monthly rate – which again differs according to area, duties performed, and the total value of the home – while others charge a percentage rate, as noted above. Cost can also change depending on the size and quantity of units you own.
For example, if you own a few houses, you might get a “bulk” discount that a person with a single house or apartment might not receive.
QUESTION: What are Advertising Charges?
Some leasing agencies charge a marketing fee. This is an upfront charge to advertise your empty house. This charge is typically $$150-400. A majority of firms don’t charge this charge, so shop around!
Vacant Unit fee Some agencies charge One month’s payment up front. You could run into this fee if you’re trying to engage the leasing agency while the property is vacant. This gives them the cash to pay a real estate agent a commission for placing a renter in the unit, or to pay the costs of advertising, repeatedly showing the unit to prospective renters, as well as the expense of preparing lease paperwork (which can take hours).
QUESTION: How Can a Lease Management Firm help an owner with the Tenant Move In Process?
- Prepare leasing contract
- Confirm move in date with tenant
- Review lease guidelines with renter regarding things like rental payment terms and required property maintenance
- Ensure all agreements have been properly executed
- Perform detailed move in inspection with tenant and have tenants sign a report verifying the condition of the property prior to move-in.
- Secure initial month’s rent and security deposit
QUESTION: What types of Maintenance can residential property management help with?
Some leasing agencies in the 23836 area have their own maintenance employees, full-time. Most contract these jobs out to miscellaneous subcontractors. Some residential property management charge a flat rate to supervise any work with outside vendors. Some will add on to the subcontrcontractor’s fee. Make certain you understand how it operates with your house management agency!
Question: Should I attempt to save money by going FRBO? Or hiring the cheapest leasing agent I can?
Answer: With the best unit agents, paying a little bit more is a smart investment, because it helps enhance the value of your home, and they help retain quality renters; studies have shown employing a property agentcan reduce your vacancy rate by 50%. Conversely, going cheap with a property management company can wind up being very expensive.
QUESTION: How Can a Residential Property Agency Assist an owner with Home Routine Maintenance?
Leasing agents are in charge of overseeing preventative property maintenance to keep your property in good status. Examples of what may under consideration:
- Direct and oversee company employed maintenance crew
- Establish a preventative maintenance plan to identify and deal with repair needs
- Provide a team of licensed, bonded and completely insured contractors who have been vetted for reasonable bidding and excellent work that is up to requirements.
- Assign work to various parties such as (in-house employees, handyman and professional contractors) based on whom could do the best job for an excellent price.
- Maintain outdoor areas
- Debris and snow removal
- Disposing of garbage and debris
- Maintain and monitor a 24 hour emergency repair hotline
- Bigger fix up or rehab projects
- Provide recommendations on how the project can optimize rental profits.
- Prep preliminary cost estimates
- Secure multiple different quotes for the project
- Perform as general contractor overseeing the work
QUESTION: What are Advertising Charges?
Some leasing agencies charge a marketing fee. This is an upfront fee to market your empty home. This charge is usually $200-400. Most agencies don’t charge this fee, so shop around!
Empty Home charge Some firms charge 1 month’s rent up front. You might run into this fee if you’re trying to engage the rental agency while the house is vacant. This gives them the money to pay a real estate agent a commission for placing a tenant in the property, or to pay the costs of marketing, repeatedly showing the investment property to prospective tenants, as well as the expense of preparing lease paperwork (which can take hours).
Question: Do all leasing agencies charge basically the same way?
Not all fee structures are identical. Some rental agencies in the 23836 area may charge a fixed per-month rate – which again varies according to area, activities performed, and the total value of the house – while others charge a percentage rate, as noted above. Price can also fluctuate depending on the size and quantity of homes you own.
To illustrate, if you own a few homes, you might get a “bulk” discount that a person with a single unit or apartment might not get.
Question: How much should I price shop the fees my property management company charges me?
Ultimately, engaging a investment property manager in the 23836 area is entering into a partnership. In the long run, the charges aren’t as important as the communication between you and the agent and quality of the service your manager provides. A good company can take charge of the maintenance of the investment property, for example, and wind up getting you a lot rental value and price appreciation than you might be possible. That said, you need to be prepared to provide them the resources to do it.
Question: Should I try to save money by going FRBO? Or hiring the cheapest leasing agent I can?
Answer: With the best house managers, paying a little bit more is a wise investment, because it helps increase the value of your home, and they help retain quality tenants; studies have shown employing a investment property agentcan reduce your vacancy rate by 50%. On the other hand, going cheap with a residential property management firm can wind up being very expensive.