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 usually on residential properties (but commercial property management agencies are out there certainly. Property rental agencies serving the Hopewell area offer a long list of services to help you renting your home. It’s an overwhelming list of tasks that a good Property Management Company will oversee; in fact (if you’re a great follow through kind of people person, you might even want to consider a job as a property manager yourself!.) Here’s an incomplete 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
- Deal with legal contracts
- Keep you legal by helping you obey Fair Housing laws
- Show your home to prospective renters in order to rent your house
- Oversee move in and move out
- Collect monies and get you paid!
- Handle collections if payments are not on time
- Assist with evictions
- Deal with tenant questions
- And a lot more than that.
It’s everything but the kitchen sink! Areas to contemplate if you are considering if you maybe should rent your home on your own or hire a Property Management Company near the Hopewell area.
HOW CLOSE IS YOUR RENTAL PROPERTY?
The more miles between you and your rental property,the more stressful it is to look after. If your primary residence is in Oregon and your investment property is in the Hopewell area, it will be a lot of work for you to find renters,to handle constant complaints,to quickly respond to emergencies, to take care of maintenance concerns, and even to make sure payment is collected on time.
The amount of time it takes you to get to the property and the cost of gas will also mount. In situations like these, hiring a professionalRichmond property management agency? can make some sense and may actually save you money.
IS THERE THE MONEY TO PAY A Property Management Company ?
You’ve figured out that goodleasing agentswho provide services to the Hopewell area in Richmond aren’t free.
Residential property management firms will charge a fee, roughly, between 4% and 10% of the monthly gross income for the home. The usual fee for a single family investment is estimated at 8-10%. The cost for a apartment of 10 units on up is usually between 4% and 8%.
If your home is empty, it’s not unusual to pay a tenant finding fee to procure and place a new renter in your investment property. Depending on the property management company this can range from 50%-100% of a month’s rent.
Something to consider: Having expert professional input on market rents and having a certified agent handle locating a tenant can mean you get higher rents, which means a great leasing agent likely will end up covering all or part of their fee because of increased rents.
DO YOU HAVE A HIGH VACANCY RATE?
Great Property Management Company are skilled at locating and screening renters rapidly and will have a network of reliable, cost effective Richmondmaintenance companies to deal with difficulties. Most experienced leasing agents will also comprehend landlord-tenant law, thereby reducing the risk of legal problems.
HOW MANY RENTAL UNITS IN Hopewell DO YOU OWN?
As the number of units you own increases, so does the time it takes to manage them. The more tenants you have, the more repair issues, renter complaints, and vacancies you will have to take care of. Additionally, if your homes are spread across multiple areas, your time commitment will go up as you will have to manage the cash flow of each single property as well as physically commute from property to property to deal with problems.
HOW MANY INVESTMENT PROPERTIES IN Hopewell DO YOU HAVE TO MANAGE?
As the number of homes you own increases, so do your responsibilities. The more tenants you have, the more maintenance concerns, renter complaints, and empty properties you will have to handle. On top of that, if your properties are dispersed across multiple areas, your time spent will increase as you will have to oversee the issues of each individual rental as well as drive from property to property to resolve problems.
HOW WILL A PROPERTY MANAGER HELP ME MANAGE MY PROPERTY IN Hopewell?
Residential property managers who service the Hopewell area can do a lot of things for you as the home investor, which may include the following areas:
INCREASING OR ADJUSTING RENT:
The property manager 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.
IN CHARGE OF OVERSEEING THE BUDGET/MAINTAINING RECORDS
In most situations rental managers are responsible for managing the budget for the building and maintaining all pertinent records. Managing Budget- the property managermust operate within the set budget guidelines for the property. In particular emergency situations when the occupants or home are in need of upgrade, they may move ahead to order repairs or similar without concern for the budget. Maintenance of Documents- the rental manager is required to thorough paperwork related to the house. This might include all income and expenses; lists of all inspections, signed leases, maintenance requests, any problems noted, records of work done, amount paid for fix up, maintenance costs, record of rent paid and insurance fees.
RESPONSIBLE FOR OVERSIGHT OF OTHERS
Other Employees- if there are other employees in the unit, such as a janitor or security personnel, the rental manager is responsible for making sure they are on their toes. The rental agent can determine their salaries and possibly let them go.
IN CHARGE OF OTHERS
Other Employees- if there are other employees in the unit, such as a janitor or security guard, the rental agent is responsible for being certain they are paying attention to details. The rental agent can determine their compensation and even terminate them.
SUGGEST AND SUPERVISE VENDORS
Rental management agents should be ready to suggest vendors to do repairs and small work that maximize monthly rent while providing good return on investment.
RESPONSIBLE FOR MAINTENANCE AND REPAIRS
Leasing agents are customarily in charge of the physical oversight of the property, including regular maintenance and emergency work to be done.
TAKES CARE OF HANDLING TAXES
The leasing agent can help the property owner with education on how to handle taxes for the house. The leasing agent may additionally file taxes for the house
COLLECTING RENTAL PAYMENTS:
This is where a rental agent earns their keep. Residential property management companies make sure you get your money by collecting rent every month on time and strictly enforcing late charges.
PROPERTY MANAGERS HELP YOU SET THE CORRECT RENT LEVELS
Rental agents are responsible for setting the initial rent level, and collecting payment from renters. Excellent leasing agents know how to set the market rent level todirect renters to your rental property. They hopefully have a specific understanding of the Richmond area, where the home is located and have looked at comparable properties in the general Richmond market.
Most leasing agents are responsible for marketing the home to fill vacancies. leasing agentsare aware of to promote and what to include in their advertisements. leasing agents also understand what attracts tenants, so they may suggest making cosmetic improvements to help improve the home.
KNOWLEDGE OF LANDLORD-TENANT LAW AND GOVERNMENT REAL ESTATE LAW
A experienced rental agent will have a thorough understanding of statewide and federal laws regarding the proper methods to: Reviewing potential renters. Handle security deposits Terminate a rental agreement Evict a renter Obey with property safety standards Counsel in case of of a legal dispute or lawsuit Refer owner to a seasoned attorney when necessary Understand and abide by the latest local, state and federal laws that are applicable to renting and maintaining rental houses.
RESPONSIBLE FOR HANDLING TAXES
The rental agent may help the home owner with knowledge of how to file taxes for the property. The rental agent might additionally mail in taxes for the investment property
Many managers are responsible for setting the duration of the agreement and making sure it has all the needed provisions to protect the owner. This includes deciding the amount of damage deposit needed.
DEALING WITH MOVE OUTS
When a renter ends his tenancy, the property manager is in charge of inspecting the property, checking for damages and deciding what portion of the damage reserves mightl be given to the tenant. After move out, the manager is responsible for cleaning the unit, fixing any areas of concern and finding a new tenant.
QUESTION: What are Advertising Fees?
Some property management companies charge a marketing fee. This is an initial fee to advertise your empty investment property. This fee is usually $$150-500. A majority of firms don’t charge this charge, so shop around!
Vacant Unit charge Some agencies charge 1 month’s payment up front. You might run into this charge if you are trying to engage the residential property management firm while the house is vacant. This gives them the money to pay a real estate agent a commission for placing a renter in the home, or to pay the costs of advertising, repeatedly showing the house to prospective tenants, as well as the expense of preparing lease documents (which can take hours).
QUESTION: What is a New Tenant Placement or “Lease up” Charge?
Some leasing agencies in the Hopewell area could charge a new tenants placement fee or have a bonus structure for getting a tenant into an agreement. Acharge of 50 to 100 % of the first month’s rent for any new tenant placed is not unusual. However, you shouldn’t normally bump into high multiple up-front fees.
Typically a placement charge is not due until the tenant is found, meaning you don’t need to come out of pocket to pay this.
Question: What do do property managers cost?
Answer: As you might guess, the response is “it depends.” Property management firms vary quite a bit, and a good deal of the answer depends on what a company does for you.. Exactly what do you want a rental manager to accomplish for you?
Typical Percentage of Rent Agreement. As a baseline, expect to be charged a normal Leasing agency between 8 – 11% of the monthly rent of the unit. This is called a management charge, or monthly management charge. Generally the higher your rent is, the lower the percentage fee is. For example if your rent is $2,000 per month for your property, you will usually pay a lower percentage fee than someone else whose property rents for $1000 each month.
You do not pay this percentage fee until payment is received. Look carefully at your agreement regarding whether the management fee is determined by ‘rent collected’ or ‘rent due’. If the charge is based on rent received, it means the Rental management agency doesn’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 usually.
Fixed Payment Agreements
Some agencies may charge, say,$75- $150 per month fixed rate. There is nothing dictated bystatute in this; it’s decided by the company owner.
You would not owe money on a fixed rate contract normally until rent is received.
Question: Do all residential property management charge basically the same way?
Not all fee structures are identical. Some leasing agencies in the Hopewell area might charge a fixed monthly rate – which again differs according to area, duties performed, and the total value of the property – while others charge a percentage rate, as noted above. Price can also differ depending on the size and quantity of properties you own.
For example, if you own a few apartment buildings, you might get a quantity discount that a person with a single home or apartment might not receive.
QUESTION: What types of Maintenance can leasing agencies help with?
Some property management companies in the Hopewell area have in house maintenance crews, full-time. Most subcontract these jobs out to various subcontractors. Some property management companies charge a flat rate to manage any work done by subcontractors. Many will upcharge the contractors fee. Make sure you know how it works with your investment property management firm!
QUESTION: Do Home Management Agencies Help With Move Out?
Yes, a Property Management Company can Assist With Move outs. Activities might include:
- Inspect rental home. and complete a document on the property's condition when the tenant moves out
- Provide occupant with a copy as well as noted deductions
- Return the remainder of the security deposit to the tenant
- Forward left over portion of the owner’s share of the renter deposit to the owner or hold in owner reserves for work to be done.
- Clean home and handle required repairs or upgrades
- Re-do the locks
- Put the house back on the market for rent
QUESTION: What Inspection Services Do Rental Managers Provide?
- Handle timely inspections (Inside and outside) on a predefined schedule watching out for upgrade requirements, safety hazards, code issues, lease infractions, etc.
- Send owner periodic reports on the condition of the property
QUESTION: How Might a Residential Property Management Agency Help With Tenant Screening and Choosing?
Screening Tenants- A leasing agent will review the potential renter applications to find the applicant that is the ideal fit for your property. They have a proven vetting process, including running credit checks and criminal background checks, which can reduce your chances of being accused of bias. Professional rental agents have seen many renters, so they have a better idea of how to select the best applicants; renters who will pay their obligations on time, have a longer tenancy and create fewer headaches. Perform a background check to verify identity, wages, credit history, rental history, etc. Grade applicant according to pre-defined renter criteria Inform tenants who may have been turned down
Question What Services Are Included in A Typical Property Management Contract?
Make certain you establish exactly what maintenance services are included with your charges. It might be that when something needs fixing, some labor costs are included with your monthly fixed rate or percentage charge (for illustration, changing out lighting switch plates and replacing faucet handles) while others are billed individually (such as replacing broken window panes and installing new sinks).
Regardless, everything should be clearly expressed in your contract. Consider that these charges may require you toraise your rental rate, which might make finding – and keeping – tenants harder. Keep in mind, house management charges can be negotiable. Depending on how much you’re willing to pay, you might be able to get a lower price by giving up certain services and handling them on your own.
QUESTION: How Would a Residential Property Management Agency Help With Renter Screening and Choosing?
Screening Applicants- A residential property agent will screen the prospective tenant applications to discover the tenant that is the ideal fit for your house. They have a proven screening process, which includes running credit checks and criminal background checks, which can reduce your chances of being accused of bias. Experienced rental agents have seen hundreds, even thousands, of renters, so they have a better idea of how to select the correct tenants; renters who will pay their obligations on time, have a longer tenancy and create fewer headaches. Perform a background check to verify identity, salary, credit history, rental history, etc. Grade applicant in relation to pre-defined renter standards Inform applicants who were turned down
QUESTION: What types of Maintenance can rental agencies help with?
Some property management companies in the Hopewell area have their own maintenance employees, full-time. The majority of refer these jobs out to various subcontractors. Some rental agencies charge a fixed fee to supervise any work with outside vendors. Some will add margin to the subcontrcontractor’s invoice. Make certain you know how it works with your investment property management company!
What can a RichmondProperty Management Agency Do to Market Your Home?
- Get home ready for rental
- Clean property and optimize interior attractiveness
- Take care of yard to emphasize curb appeal
- Create advertisements tailored to the house and advertising medium.
- A sample of the platforms regularly used are:
- Paid and free rental listing websites
- Print publications
- Install a lock box
- MLS listings
- Property fliers
- Partner with other agents and property management agents to secure a renter
- Provide a 24/7 hot-line where prospective tenant can hear to specific information about the house
- FieldAnswer phone calls from prospects for questions and showings
- Greet prospective tenants for showings during the week and weekend.
- Provide potential renters with tenant applications that are legally compliant with government regulations
- Gather applications with application payment
QUESTION: What is a New Renter Placement or “Lease up” Fee?
Some leasing agencies in the Hopewell area may charge a new renters placement charge or have a bonus structure for getting a renter into an agreement. Afee of 50 to 100 percent of the first month’s rent for any new tenant placed is not abnormal. Nevertheless, you shouldn’t normally bump into high multiple up-front fees.
Generally a placement charge is not due until the tenant is signed, which means you don’t need to come out of pocket to pay this.
QUESTION: How May a Lease Management Firm assist an owner with the Renter Move In Procedure?
- Initiate leasing agreement
- Determine move in date with renter
- 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 tenants sign a report verifying the condition of the property prior to move-in.
- Secure initial month’s rent and security deposit
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 visual inspection of your unit to see how the renter is treating it. Charges can range from $75-200 for each inspection.