Whether you call them a Property Management Company, home management firms, or rental property management agencies….it all means the same thing. The focal point is normally on residential properties (but commercial property management companies do exist certainly. Property rental agencies serving the Doswell area provide a variety of services to help you renting your house. It’s a long list of jobs that a great Property Management Company will handle; in fact (if you’re a good follow through kind of people person, you might even want to look at 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 tenant
- Handle legal paperwork
- Keep you out of jail by helping you comply with housing laws
- Show your property to prospective renters in order to rent your house
- Oversee move in and move out
- Collect monies and get you paid!
- Handle follow up if payments are timely
- Assist with evictions
- Answer tenant inquiries
- And a lot more.
It’s everything but the kitchen sink! Items to contemplate if you are questioning if you should rent your home on your own or hire a Property Management Company near the Doswell area.
HOW MANY INVESTMENT PROPERTIES IN Doswell DO YOU OWN?
As the number of investment properties you own multiplies, so does your workload. The more renters you have, the more repair issues, tenant complaints, and vacancies you will have to handle. Additionally, if your properties are spread across multiple cities, your time commitment will multiply as you will have to manage the cash flow of each individual investment home as well as drive from property to property to deal with problems.
HOW HIGH IS YOUR VACANCY RATE?
Great Property Management Company are skilled at locating and screening renters quickly and will have a network of reliable, cost effective Richmondrepairmen to deal with difficulties. Most experienced property managers will also comprehend landlord-tenant law, thereby reducing the risk of legal problems.
CAN YOU AFFORD TO PAY A Property Management Company ?
You’ve figured out that goodproperty managerswho provide services to the Doswell area in Richmond aren’t without cost.
Property management agencies will charge a fee, roughly, between 5% and 10% of the monthly rents for the property. The typical fee for a single family rental property is closer to 8-10%. The charge for a apartment of 10 units or more is typically between 5% and 7%.
If your investment property is not occupied, it’s typical to pay a lease up fee to procure and place a new renter in your rental home. Depending on the property management company this can fluctuate from 50%-100% of a single month’s rent.
Something to think about: Having expert professional input on market rents and having a professional deal with locating a renter can mean you can get higher rents, which means a great property manager likely will end up covering all or part of their fee because of increased rents.
DO YOU HAVE ANY PROPERTY MANAGEMENT EXPERIENCE?
If you would like deal in Richmondrental homes, but don’t know anything about rental management, hiring an experienced Property Management Company can be a good choice for you. Figuring it out on the job can become very draining financially.
For a single family home investor who is getting going, hiring the wrong repairman or taking too long to fill an empty home can quickly eat into your profits. There are huge legal liability issues you can stumble on if you aren’t aware about Fair Housing laws or Federal real estate law. One lawsuit can pay for a lot of property management charges!
HOW MANY RENTAL HOMES IN Doswell DO YOU HAVE TO MANAGE?
As the number of homes you own multiplies, so does the time it takes to manage them. The more renters you have, the more maintenance issues, renter complaints, and empty properties you will have to handle. On top of that, if your units are dispersed across multiple locations, your time commitment will go up as you will have to take care of the cash flow of each particular investment home as well as drive from property to property to resolve concerns.
HOW WILL A PROPERTY MANAGER HELP ME MANAGE MY HOME NEAR Doswell?
Property managers who service the Doswell area will do many things for you as the homeowner, which could include the following:
RESPONSIBLE FOR OVERSEEING THE BUDGET/MAINTAINING RECORDS
In most situations property managers are responsible for managing the budget for the building and maintaining all pertinent records. Managing Budget- the rental managermust operate within the established budget guidelines for the property. In certain emergency situations when the occupants or physical structure are in need of upgrade, they may move ahead to order repairs or similar without additional approvals. Maintenance of Records- the leasing agent is required to thorough records about the the home. This should include all income and expenses; lists of all inspections, signed leases, repair requests, any problems noted, documentation of repairs, amount paid for fix up, maintenance expenses, record of rent collection and insurance fees.
TAKES CARE OF TAX PAYMENTS
The leasing agent may provide the property owner with knowledge of how to complete taxes for the home. The rental manager can additionally file taxes for the investment property
RESPONSIBLE FOR MANAGING THE BUDGET/MAINTAINING DOCUMENTATION
In most situations property managers are responsible for managing the budget for the building and maintaining all pertinent records. Managing Budget- the leasing agentmust operate within the set budget guidelines for the property. In particular emergency situations when the renters or property are in disrepair, they may move ahead to order fixup or similar without additional approvals. Maintenance of Records- the rental agent should keep detailed documentation related to the house. This should include all income and expenses; lists of all inspections, completed agreements, repair requests, any problems noted, documentation of repairs, costs of repairs, maintenance charges, documentation of rent collected and insurance costs.
This is where a property manager earns their keep. Home management agencies make sure you get paid by collecting rent each month on time and strictly enforcing late fees.
RESPONSIBLE FOR MANAGING THE BUDGET/MAINTAINING RECORDS
In most situations leasing agents are responsible for managing the budget for the building and maintaining all pertinent records. Managing Budget- the rental agentmust operate within the established budget guidelines for the property. In particular emergency situations when the renters or home are in danger, they may move ahead to order repairs or similar without further delays. Maintenance of Paperwork- the property manager should keep detailed records regarding the house. This should include all income and expenses; records of all inspections, completed agreements, repair requests, any problems noted, records of repairs, charges for fix up, maintenance charges, documentation of rent collected and insurance costs.
One of the main responsibilities of the leasing agents is to oversee renters. They are engaged in all capacities, from locating the renters and addressing issues to beginning evictions.
HANDLING WRITTEN AGREEMENTS
Many agents are responsible for recommending the length of the agreement and making sure it has all the needed clauses to look out for the owner. This includes determining the total of security deposit needed.
Nearly all managers are compensated to address maintenance situations, noise disturbances and have the necessary contacts to deal with difficult situations.
INCREASING OR ADJUSTING RENT:
The rental agent can increase the rent by a fixed percentage each year, according to individual state and/or municipal law. They can also decrease the rent if they (and you) decide that’s necessary.
OVERSEEING MOVE OUTS
If a renter leaves, the manager is in charge of inspecting the property, checking for issues and deciding what amount of the damage deposit mayl be returned to the renter. After move out, the rental agent is in charge of cleaning the property, fixing any areas of concern and locating a replacement renter.
RE-LEASE YOUR INVESTMENT HOME
Once lease ends ask existing renters to extend their lease for one more rental period
OFFER SOUND REAL ESTATE ADVICE:
Chat with you about the positives and negatives of different issues such as accepting various animals, permitting smoking etc. Other are very particular to the Richmond area, so having a local market expert who knows the Doswell area in particular is critical.
IN CHARGE OF OTHERS
Other Employees- if there aresome employees in the property, such as a desk clerk or security guard, the property manager is responsible for being sure they are on their toes. The rental agent often will determine their wage rates and even terminate them.
DEALING WITH PROBLEMS
Nearly all managers are compensated to deal with maintenance requests, noise complaints and possess the needed contacts to take care of emergency situations.
QUESTION: What is a New Tenant Placement or “Lease up” Charge?
Some property management companies in the Doswell area could charge a new renters placement charge or have a bonus structure for getting a renter into a lease. Acharge of 50 to 100 % of the first month’s rent for any new tenant placed is not atypical. However, you should not generally run into high multiple up-front fees.
Normally a placement fee is not paid until the tenant is signed, meaning you don’t need to come out of pocket to pay this.
QUESTION: What types of Maintenance can residential property management help with?
Some rental agencies in the Doswell area have their own maintenance crews, full-time. Most refer this work out to various vendors. Some rental agencies charge a flat rate to oversee any work with contractors. A few will add on to the contractors invoice. Be sure you know how it operates with your property management firm!
Question: Do all property management companies charge basically the same way?
Not every fee structures are identical. Some rental agencies in the Doswell area might charge a flat 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 change depending on the size and quantity of units you own.
To illustrate, if you own a few homes, you may get a “bulk” discount that a person with a single property or apartment might not get.
QUESTION: How Can a Residential Property Management Agency Help With Tenant Vetting and Selection?
Vetting Applicants- A property manager will screen the prospective tenant applications to discover the applicant that is the best fit for your property. They have a reliable screening process, which includes running credit checks and criminal background checks, which can decrease your chances of being accused of breaking the law. Experienced rental agents have seen hundreds, even thousands, of tenants, so they have a good concept of how to choose the right renters; those who will pay their bills on time, have a longer tenancy and create less issues. Perform a background check to confirm identity, wages, credit history, rental history, etc. Assess applicant according to pre-decided tenant criteria Inform applicants who were declined
Question: What do Inspections of my home cost?
Some property management companies will charge for inspections, others will give you one or more free annually. This is a visual inspection of your property to see how the renter is treating it. Fees can range from $50-200 per inspection.
What can a RichmondHome Management Company Do to Market Your Property?
- Get property ready for renting out
- Clean home and optimize interior appeal
- Take care of landscaping to maximize curb appearance
- Prepare advertisements customized for the house and marketing medium.
- Some of the channels regularly used are:
- For pay and free rental listing websites
- Print publications
- Install a lock box
- MLS listings
- Coordinate with other professionals and property management agents to secure a renter
- Provide a 24-hour hot-line where prospective renters can hear to detailed information about the property
- Take calls from prospects for questions and appointments
- Welcome interested tenants for appointments during the week and weekend.
- Provide prospective renters with tenant applications that are legally compliant with government regulations
- Gather applications with application payment
What can a RichmondRental management Company Do to Market Your Home?
- Get property ready for rental
- Clean home and emphasize interior appeal
- Manicure yard to emphasize street appearance
- Develop ads specifically created for the property and advertising channel.
- A sample of the mediums commonly utilized are:
- Paid and no charge rental listing websites
- Print magazines
- Installing a lock box
- Multiple Listing Service listings
- Property fliers
- Partner with other professionals and rental agents to secure a tenant
- Provide a 24/7 hot-line where prospective tenant can listen to detailed information about the property
- Take calls from prospects for questions and viewings
- Meet potential renters for appointments throughout the week and weekend.
- Provide potential tenants with tenant applications that are legally compliant with fair housing laws
- Collect applications with application payment
Question: What do Inspections of my home cost?
Some property management companies will charge for inspections, others will give you one or more without charge per year. This is a walk through of your investment property to see how the renter is treating it. Fees can range from $100-175 for each inspection.
Question: Should I attempt to save cash by managing my home myself? Or hiring the least expensive 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 investment property, and they help retain top notch renters; studies have proven employing a home agentcan cut your vacancy rate by 50%. On the other hand, going lowball with a rental agency can wind up being very expensive.
Question: What do do rental agents cost?
Answer: As you might guess, the answer is “it depends.” Leasing agencies vary quite a bit, and much of the response depends on what they do for you.. Just what do you want a rental manager to accomplish for you?
Typical Percentage of Rent Contract. As a starting point, expect to pay a typical Residential property management company between 8 – 12% of the monthly rental value of the house. This is referred to as management fee, or monthly management payment. Usually the higher you charge for rent, the lower the percentage fee is. For example if your rental charges are $2,300 per month for your rental house, you will normally pay a lower percentage fee than another person whose home rents for $800 each month.
You do not pay this percentage fee until payment is received. Look specifically 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 Property management company 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 renter typically.
Fixed Fee Contract
Some agencies may charge, say,$75- $150 per month flat rate. There is nothing dictated bystatute in this; it’s decided by the property management company owner.
You wouldn’t owe money on a fixed rate agreement normally until rent is collected.
Question: What Is The Normal Term Of A Property Management Agreement?
Usually, an owner 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 actionopposing it. Termination clauses allow for early termination if the residential property management firm is in breach of the agreement in any way.
QUESTION: Do Property Management Companies Help With Move Out?
Yes, a Property Management Firm can Assist With Move outs. Actions might include:
- Inspect investment property. and complete a document on the home’s status when the renter moves out
- Deliver tenant with a photocopy as well as estimated damages
- Return the balance of the damage reserves to the renter
- Mail remaining portion of the owner’s portion of the tenant deposit to the owner or keep in owner reserves for repairs.
- Turn over unit and perform required repairs or upgrades
- Re-key all locks
- Put the property back on the market for rent
QUESTION: What Inspection Services Do Property Managers Provide?
- Handle periodic inspections (Inside and outside) on a predetermined schedule looking for maintenance needs, safety hazards, code problems, lease infractions, etc.
- Prepare owner periodic reports on the condition of the property
Question: Should I attempt to save cash by managing my home myself? Or hiring the cheapest leasing agent I can?
Answer: With the best home agents, paying a little bit more is a wise investment, because it helps enhance the value of your investment property, and they help retain quality tenants; studies have shown hiring a unit agentcan reduce your vacancy rate in half. Conversely, going lowball with a leasing agency can end up being very costly.
Question: Do all property management companies charge basically the same way?
Not every fee structures are the same. Some residential property management in the Doswell area may charge a flat per-month rate – which again varies according to area, duties performed, and the total value of the home – while others charge a percentage rate, as noted above. Price can also differ depending on the size and quantity of units you own.
To illustrate, if you own several houses, you may get a “bulk” discount that a person with a single unit or apartment might not receive.