No matter if you describe them as Property Management, home management firms, or rental property management agencies….it all means the same thing. The emphasis is typically on residential properties (but commercial property management agencies do exist of course. Property rental agencies serving the 23160 area offer a variety of services to help you renting your house. It’s a long punchlist of tasks that a expert Property Management will oversee; 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 an incomplete list of what property managers do if they are asked “will you help me rent my house?”
Property Management Services RESPONSIBILITIES
- What the owner truly wants: “Rent My House”!
- Locate a renter
- Oversee contracts
- Keep you out of jail by helping you obey government housing laws
- Open your house to interested tenants in order to rent your house
- Oversee move in and move out
- Collect rent and get you paid!
- Handle collections if payments are not on time
- Assist with evictions
- Respond to renter inquiries
- And so much more than that.
It’s everything from soup to nuts! Factors to consider if you are considering if you should rent your house on your own or hire a Property Management near the 23160 area.
HOW CLOSE IS YOUR PROPERTY?
The more miles between you and your property,the more stressful it is to manage. If your primary residence is in Georgia and your investment property is in the 23160 area, it will be harder for you to find tenants,to handle renter complaints,to quickly respond to difficulties, to take care of maintenance issues, and even to make sure rent is collected in a timely manner.
The amount of time it takes you to go back and forth the property and the expense of getting there will also add up. In situations such as these, hiring a professionalRichmond property management company can make a lot of sense and will likely save you some dough.
DO YOU HAVE THE AVAILABILITY TO MANAGE YOUR RENTAL PROPERTY near the 23160 area?
If you have a full-time job while you are investing in a investment home and simply cannot give your your rental home the time it requires, the viability of your investment may depend on employing a professional property management company in Richmond
Additionally, realize that time is definitely money and overseeing a investment home takes energy. If you feel like the day to day requirements of property management are stepping on on time that could be better spent making more money at your full time job, or looking for other investments, employing an outside property management firm may be the wisest move for you.
DO YOU HAVE ANY PROPERTY MANAGEMENT EXPERIENCE?
If you would like invest in Richmondinvestment homes, but don’t know anything about property management, hiring an experienced Property Management can be a good choice for you. Figuring it out on the job can become very costly.
For a property investor who is getting going, hiring a bad repairman or taking too long to fill a vacancy can easily eat into your potential income. There are huge legal liability problems 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!
DOES IT MAKE FINANCIAL SENSE TO HIRE A Property Management ?
You’ve figured out that top notchrental agentswho provide service to the 23160 area in Richmond aren’t free.
Residential property management companies will charge a fee, on average, between 4% and 9% of the monthly rents for the house. The normal fee for a single family rental property is about 8-10%. The fee for a apartment of 10 units on up is usually between 5% and 7%.
If your investment property is empty, it’s not unusual to pay a tenant finding fee to find and place a new tenant in your rental home. Depending on the property management company this can range from 50%-100% of a single month’s rent.
Something to keep in mind: Having expert professional input on market rents and having a certified agent handle locating a tenant can mean you can get higher rents, which means a good rental agent might end up covering all or part of their charge because of higher rents.
HOW MANY RENTAL UNITS IN 23160 DO YOU HAVE TO TAKE CARE OF?
As the total homes you own increases, so does the time it takes to manage them. The more renters you have, the more maintenance issues, renter complaints, and vacancies you will have to take care of. In addition, if your properties are dispersed across multiple locations, your time spent will increase as you will have to take care of the issues of each single rental as well as travel from property to property to deal with issues.
HOW WILL A RESIDENTIAL PROPERTY MANAGEMENT COMPANY HELP ME MANAGE MY HOME IN 23160?
Residential property managers who service the 23160 area may do a lot of things for you as the home investor, which may include the following areas:
PROPERTY MANAGEMENT COMPANIES HELP YOU DECIDE THE CORRECT RENT LEVELS
Property managers are responsible for establishing the initial rent level, and collecting payment from tenants. Excellent rental agents know how to set the market rent level toattract tenants to your home. They hopefully have a specific understanding of the Richmond area, where the home is located and have looked at comparable homes in the general Richmond area.
At times when there is a problem needed, the property manager must attend to it themselves or may employ someone to handle the problem it. They often have a large team of reliable plumbers, electricians, carpenters and other types contractors.
One of the main responsibilities of the rental agents is to oversee tenants. They are involved in all roles, from finding the tenants and responding to complaints to dealing with the eviction process.
OFFER SOLID REAL ESTATE ADVICE:
Chat with you about the pros and cons\pluses and minuses of different policies such as accepting various animals, permitting smoking etc. Some things are very specific to the Richmond market, so having a local market expert who knows the 23160 area in particular is critical.
IN CHARGE OF OTHERS
Other Employees- if there aresome employees in the unit, such as a concierge\desk manager or security guard, the property manager is in charge of being sure they are on their toes. The property manager can set their wage rates and possibly fire them.
Professional rental agents are many times engaged to observe vacant properties to make sure there has been no destruction and to perform regular maintenance. They also make certain contractors and other repairmen are completing their work in a timely manner.
Provide accounting services Make payments for the sake of the owner (Mortgage, insurance, homeowner association dues, etc.) Detailed documentation of expenses via invoices and receipts Manage all historical records (paid invoices, paperworks, inspection reports, warranties, etc.) Provide annual reporting, organized for tax needs as well as mandatory tax paperwork including a 1099 form Counsel owner on appropriate tax write offs related to their investment property. Prepare simple monthly cash-flow reports which offer a detailed breakdown of income and detailed expenses
CONTENDING WITH EVICTIONS
When a tenant does not pay as agreed or in some way breaches the terms of the agreement, the rental agent knows is experienced with the best way to file and proceed ahead with an eviction.
Provide financial management services Handle payments on behalf of the owner (Mortgage, insurance, HOA dues, etc.) Specific documentation of expenses via invoices and receipts Manage all past records (paid invoices, leases, inspection reports, warranties, etc.) Oversee annual reports, organized for tax purposes as well as mandatory tax paperwork including a 1099 forms Counsel owner on legal tax deductions related to their investment property. Provide easy to read monthly cash-flow reports which provide a detailed breakdown of income and specific expenses
COLLECTING RENTAL PAYMENTS:
This is where a property manager earns their money! Residential property management agencies make sure you get your money by collecting rent every month on time and strictly enforcing late fees.
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 established budget guidelines for the building. In particular emergency situations when the occupants or house are in disrepair, they may use their discretion to order fixup or similar without further delays. Maintaining Paperwork- the rental agent is required to complete records related to the property. This need to include all income and expenses; lists of all inspections, signed agreements, maintenance requests, any complaints, records of repairs, costs of repairs, maintenance costs, record of rent collected and insurance costs.
IN CHARGE OF OTHERS
Other Employees- if there are other employees in the property, such as a desk clerk or security guard, the property manager is responsible for being sure they are doing their job. The rental agent often will establish their compensation and even let them go.
This is where a property manager earns their keep. Home management agencies make sure you get your money by collecting rent every month on time and strictly enforcing late fees.
RE-LEASE YOUR INVESTMENT HOME
Once agreement ends ask current renters to continue their lease for one more rental period
Question: Should I attempt to save money by managing my home myself? Or finding the cheapest rental agent I can?
Answer: With the best home managers, paying a little bit more is a wise investment, because it helps increase the value of your house, and they help attract quality tenants; studies have shown hiring a home managercan cut your vacancy rate by 50%. Conversely, going cheap with a leasing agency can end up being very costly.
Question: What are typical procedures regarding Late Payment Charges?
Sometimes tenants pay date. Read your agreement to see if those late payment fees go to you as the owner, to the residential property management, or are shared in some way.
Question: What do Inspections of my home cost?
Some rental agencies will charge for inspections, some will give you one or more free per year. This is a walk through of your house to see how the tenant is keeping it up. Fees can range from $75-200 for each inspection.
Question What Services Are Included in A Typical Property Management Contract?
Be sure you establish precisely what maintenance services are a part of with your fees. It might be that when something needs repair, some labor costs are included with your monthly fixed rate or percentage charge (for illustration, changing out lighting switch plates and fixing faucet handles) while others are charged individually (such as replacing broken window panes and installing new sinks).
Regardless, everything should be specifically expressed in your contract. Keep in mind that these charges could require you toraise your rental rate, which could make finding – and keeping – renters harder. Keep in mind, home management fees can be negotiable. Depending on what you’re willing to pay, you may be able to get a lower price by giving up particular services and dealing with them on your own.
What can a RichmondHome Management Company Do to Market Your Home?
- Get home ready for renting out
- Clean home and optimize interior appeal
- Manage yard to maximize street appeal
- Develop ads specifically created for the home and marketing channel.
- A few of the mediums often utilized are:
- Paid and no fee rental listing websites
- Print publications
- Install a lock box
- MLS listings
- Work with other realtors and rental agents to secure a tenant
- Provide a 24/7 phone where potential tenant can listen to detailed information about the house
- Take calls from prospects for questions and showings
- Welcome prospective tenants for appointments during the week and weekend.
- Provide potential renters with rental applications that are legally compliant with government regulations
- Gather applications with application payment
QUESTION: What types of Maintenance can leasing agencies help with?
Some rental agencies in the 23160 area have their own maintenance employees, full-time. Most subcontract these jobs out to miscellaneous vendors. Some rental agencies charge a fixed fee to supervise any work with outside vendors. A few will add margin to the subcontrcontractor’s bill. Make sure you know how it operates with your property management company!
Question: What are typical procedures regarding Late Payment Fees?
Sometimes renters pay date. Read your agreement to see if those late payment fees go to you as the owner, to the rental agency, or are shared in some way.
QUESTION: How Can a Rental Property Agency Assist an owner with House Standard Maintenance?
Leasing agents are responsible for overseeing preventative house maintenance to keep your house in top notch shape. Some of things that may involved:
- Direct and oversee a company maintenance crew
- Decide on a preventative maintenance plan to find and handle maintenance concerns
- Identify a team of licensed, bonded and completely insured contractors who have been reviewed for good bidding and good work that is up to requirements.
- Assign work to different parties such as (in-house employees, handyman and professional contractors) based on who could do an excellent job for a fair price.
- Maintain outdoor areas
- Debris and snow removal
- Disposing of garbage and debris
- Maintain and oversee a 24 hour emergency repair hotline
- Bigger renovation or remodeling projects
- Take care of recommendations on how the project can optimize rental profits.
- Prep preliminary cost estimates
- Get a few different quotes for the work to be done
- Perform as general contractor managing the work
Question: How much should I price shop the fees my property management company charges me?
Ultimately, engaging a home agent in the 23160 area is creating into a partnership. Over the long haul, the fees aren’t as crucial as the interaction between you and the agent and quality of the service your manager delivers. A competent firm can take control of the oversight of the unit, for example, and turn out getting you much more rental value and price appreciation than you might be possible. That said, you need to be willing to provide them the resources to accomplish.
QUESTION: Do Home Management Firms Help With Move Out?
Yes, a Residential Property Management Agency can Assist With Move outs. Actions might include:
- Inspect rental home. and fill out a report on the property's condition when the tenant moves out
- Deliver renter with a version as well as noted charges
- Return the balance of the security deposit to the tenant
- Transfer left over amount of the owner’s portion of the tenant deposit to the owner or hold in owner reserves for repairs.
- Clean home and perform required repairs or upgrades
- Re-do all locks
- Put the property 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 issues, lease infractions, etc.
- Prepare owner periodic reports on the condition of the property
Question: Should I try to save cash by managing my home myself? Or finding the cheapest property manager possible?
Answer: With the best unit agents, paying a little bit more can be a wise investment, because it helps increase the value of your unit, and they help retain quality tenants; studies have shown employing a investment property managercan cut your vacancy rate by 50%. On the other hand, going lowball with a property management company can end up being very expensive.
Question: How much do rental agents cost?
Answer: As you might guess, the answer is “it depends.” Property management firms vary quite a bit, and a lot of the answer is dependent on what they do for you.. Just what do you want a property manager to accomplish for you?
Normal % of Rent Contract. As a ballpark figure, expect to pay a typical Residential property management company ranging from 6 – 12% of the monthly rent of the home. This is referred to as management fee, or monthly management charge. Generally the higher your rent is, the lower the percentage fee is. To illustrate if your rental charges are $2,500 per month for your property, you will normally pay a lower percentage fee than another person whose house rents for $800 per month.
You are not charged this percentage fee until payment is received. Look specifically at your contract regarding whether the management fee is determined by ‘rent collected’ or ‘rent due’. If the charge is based on rent collected, it means the Residential 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 tenant normally.
Fixed Fee Agreements
Some agencies may charge, say,$75- $150 per month flat rate. There is nothing required bylaw in this; it’s decided by the property management company owner.
You would not owe money on a fixed rate contract normally until rent is received.
QUESTION: How Might a Rental Property Company Help an homeowner with House Regular Maintenance?
Rental property management agents are in charge of overseeing preventative house maintenance to keep your property in top notch shape. Examples of what may under consideration:
- Provide and oversee an in-house maintenance team
- Decide on a preventative maintenance policy to locate and address maintenance concerns
- Locate a team of licensed, bonded and legally insured contractors who have been vetted for reasonable pricing and good performance that meets code.
- Delegate work to various parties such as (in-house employees, handyman and professional contractors) based on whom could do an excellent job for the lowest price.
- Maintain outdoor areas
- Leaf and snow removal
- Removing garbage and debris
- Set up and monitor a 24/7 emergency repair hotline
- Bigger renovation or rehab projects
- Offer suggestions on how the project can maximize rental income.
- Prepare preliminary cost estimates
- Get multiple different estimates for the project
- Act as general contractor managing 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 much of the response depends on what a firm does for you.. Exactly what do you want a property manager to do for you?
Normal % of Rent Agreement. As a baseline, expect to pay a typical Leasing agency between 7 – 11% of the monthly rent of the house. This is referred to as management charge, or monthly management payment. Usually the greater your rent is, the lower the percentage fee is. To illustrate if your rental charges are $2,500 per month for your property, you will normally pay a lower percentage fee than someone else whose house rents for $900 per month.
You do not pay this management charge until rent is received. Look carefully at your agreement regarding whether the management charge is determined by ‘rent collected’ or ‘rent due’. If the fee is based on rent received, it means the Leasing agency doesn’t get paid if you don’t get paid. On the other hand, if it’s based on ‘rent due’, then you pay whether or not rent is received from the tenant usually.
Fixed Fee Agreements
Some firms may charge, say,$75- $150 each month fixed rate. There is nothing required bystatute in this; it’s decided by the property management company owner.
You would not owe money on a fixed rate agreement typically until rent is received.