No matter if you describe them as a Property Manager, home management firms, or rental property management agencies….it all means the same thing. The focal point is typically on residential properties (but commercial property management agencies are out there of course. Property rental agencies serving the 23282 area provide a variety of services to help you renting your home. It’s an overwhelming list of jobs that a good Property Manager will deal with; in fact (if you’re a great follow through kind of people person, you may even want to investigate 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?”
Renta Agent RESPONSIBILITIES
- What the owner truly wants: “Rent My House”!
- Locate a renter
- Oversee contracts
- Keep you out of jail by helping you comply with housing laws
- Open your house to interested tenants in order to rent your house
- Deal with move in and move out
- Collect money and get you paid!
- Handle follow up if payments are timely
- Help with evictions
- Deal with tenant inquiries
- And a lot more than that.
It’s everything from A to Z! Areas to think about if you are considering if you should rent your home on your own or hire a Property Manager near the 23282 area.
HOW CLOSE IS YOUR PROPERTY?
The more distance between you and your rental home,the more stressful it is to take care of. If your main address is in Georgia and your rental home is in the 23282 area, it will be more difficult for you to find renters,to handle renter complaints,to quickly respond to problems, to deal with maintenance concerns, and even to make sure payment is collected by due date.
The total time it takes you to travel to the property and the expense of getting there will also start to bite. In situations such as these, hiring a professionalRichmond property management agency? can make good sense and will likely save you some cash.
DO YOU HAVE EVEN A LITTLE BIT OF PROPERTY MANAGEMENT EXPERIENCE?
If you want to deal in Richmondinvestment homes, but don’t know the first thing about rental management, hiring a professional Property Manager can be a smart choice for you. Figuring it out as you go can become very costly.
For a real estate investor who is getting going, hiring a bad repairman or taking too long to fill an empty home can rapidly eat into your profits. There are huge legal liability concerns you can encounter if you don’t know about Fair Housing regulations or Federal real estate law. One lawsuit can pay for a lot of leasing management fees!
DOES IT MAKE FINANCIAL SENSE TO PAY A Property Manager ?
You’ve figured out that greatleasing agentswho provide services to the 23282 area in Richmond aren’t free.
Rental management firms will charge a fee, ballpark, between 5% and 10% of the monthly gross income for the house. The typical fee for a single family investment is closer to 8-10%. The charge for a property of 10 units or more is usually between 3% and 8%.
If your home is empty, it’s normal 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 range from 50%-100% of a single month’s rent.
One thing to keep in mind: 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 good rental agent likely will end up covering all or part of their charge because of higher rents.
DO YOU HAVE ANY PROPERTY MANAGEMENT EXPERIENCE?
If you would like deal in Richmondrental properties, but don’t know the first thing about residential property management, hiring an experienced Property Manager can be a smart choice for you. Learning as you go can become extremely draining financially.
For a single family home investor who is starting out, hiring the wrong repairman or taking too long to fill an empty home can quickly eat into your potential income. There are big 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 fees!
HOW CLOSE IS YOUR PROPERTY?
The more distance between you and your rental home,the more difficult it is to look after. If your main home is in Oregon and your property is in the 23282 area, it will be more difficult for you to find tenants,to handle constant complaints,to quickly respond to issues, to handle maintenance concerns, and even to ensure rent is collected on time.
The total time it takes you to go back and forth the property and the cost of travel will also mount. In situations like these, hiring a goodRichmond property management firm? can make some sense and may actually save you some dough.
HOW WILL A RENTAL MANAGEMENT COMPANY HELP ME MANAGE MY HOUSE NEAR 23282?
Property managers who service the 23282 area will do a number of things for you as the home investor, which may include the following:
At times when there is a problem needed, the leasing agent must attend to it themselves or must hire a third party to take care the problem it. They often have a big network of licensed electricians,carpenters,plumbers and other vendors.
RESPONSIBLE FOR OVERSEEING 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 set budget guidelines for the unit. In certain emergency situations when the renters or physical structure are in disrepair, they may move ahead to order fixup or likewise without additional approvals. Upkeep of Documents- the property manager should keep complete paperwork about the the home. This should include all income and expenses; lists of all inspections, fully executed agreements, maintenance requests, any problems noted, records of maintenance done, costs of repairs, maintenance expenses, record of rent collection and insurance charges.
OFFER GENERAL REAL ESTATE ADVICE:
Chat with you about the positives and negatives of different policies such as accepting pets, permitting smoking etc. A few things are very particular to the Richmond market, so having a local area expert who knows the 23282 area in particular is critical.
Provide accounting services Make payments on behalf of the owner (Mortgage, insurance, homeowner association dues, etc.) Specific accounting of expenditures via invoices and receipts Maintain all historical paperwork (paid invoices, agreements, inspection documentation, warranties, etc.) Oversee yearly reporting, coordinated for tax needs as well as needed tax paperwork including a 1099 form Advise owner on relevant tax deductions related to their investment property. Prepare simple monthly cash-flow reports which offer a detailed accounting of income and specific expenses
DEALING WITH WRITTEN AGREEMENTS
Many they are responsible for recommending the length of the lease and ensuring it has all the required provisions to look out for the owner. This includes deciding the total of damage deposit needed.
Other Employees- if there aresome employees in the apartment, such as a janitor or security guard, the rental manager is responsible for being certain they are doing their job. The rental manager often will set their salaries and even fire them.
RESPONSIBLE FOR OVERSIGHT OF OTHERS
Other Employees- if there aresome employees in the property, such as a concierge\desk manager or security guard, the property manager is in charge of making sure they are doing their job. The property manager may set their salaries and possibly terminate them.
COLLECTING RENTAL PAYMENTS:
This is where a rental agent earns their money! Residential property management firms make sure you get paid by collecting rent every month on time and strictly enforcing late fees.
Other Employees- if there are other employees in the property, such as a concierge\desk manager or security guard, the rental manager is in charge of being certain they are doing their job. The property manager often will set their salaries and possibly fire them.
DEALING WITH CONTRACTS
Many managers are responsible for setting the length of the agreement and ensuring it has all the necessary provisos to look out for the owner. This includes deciding the total of security deposit required.
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. Overseeing Budget- the rental managermust operate within the established budget guidelines for the unit. In particular emergency situations when the renters or house are in danger, they may use their discretion to order fixup or likewise without concern for the budget. Maintenance of Records- the leasing agent is required to thorough paperwork related to the home. This should include all income and expenses; notations of all inspections, fully executed contracts, upgrade requests, any problems noted, records of work done, charges for repairs, maintenance costs, documentation of rent collection and insurance charges.
EXPERIENCED WITH LANDLORD-TENANT LAW AND GOVERNMENT REAL ESTATE LAW
A experienced rental manager should have a complete knowledge of local and national laws referencing the best methods to: Screening potential renters. Manage security deposits Terminate a rental agreement Oversee evicting a tenant Comply with home safety standards Give input in case of of a legal action or litigation Send owner to a seasoned attorney when required Be up on and comply with the most recent local, state and federal legislation that relate to renting and maintaining rental houses.
RESPONSIBLE FOR MAINTENANCE ITEMS AND MINOR UPGRADES
Rental agents are usually responsible for the physical management of the house, including regular maintenance and emergency work to be done.
DEALING WITH EVICTIONS
When a tenant does not pay rent or otherwise breaks the terms of the lease, the rental agent knows understands the proper method to file and proceed forward with an eviction.
QUESTION: How Can a Property Management Agency Assist an owner with Property Routine Maintenance?
Property managers are responsible for overseeing preventative house maintenance to keep your house in top notch status. Examples of what can be involved:
- Direct and oversee an in-house maintenance crew
- Decide on a preventative maintenance plan to identify and deal with repair issues
- Provide a network of licensed, bonded and fully insured vendors who have been vetted for good bidding and good performance that meets requirements.
- Delegate work to various parties such as (in-house employees, handyman and professional contractors) based on who may do an excellent job for a fair price.
- Oversee outdoor areas
- Leaf and snow removal
- Disposing of garbage and debris
- Maintain and monitor a 24 hour emergency repair hotline
- Larger fix up or remodeling projects
- Offer suggestions on how the project can maximize rental returns.
- Prepare initial cost estimates
- Secure several different quotes for the project
- Act as general contractor overseeing the work
Question: How much do rental managers charge?
Answer: As you might guess, the response is “it depends.” Property management firms vary widely, and much of the response is dependent on what a firm does for you.. Just what do you want a rental manager to accomplish for you?
Typical % of Monthly Rent Agreement. As a ballpark figure, expect to pay a usual Residential property management company between 7 – 11% of the monthly rent of the property. This is called a management fee, or monthly management charge. Typically the higher your rent is, the lower the percentage is. For example if your rent is $2,500 each month for your property, you will normally pay a lower percentage fee than someone else whose house rents for $1000 each month.
You are not charged this percentage charge until payment is received. Look specifically at your agreement regarding whether the management fee is based on ‘rent collected’ or ‘rent due’. If the fee is based on rent received, it means the Rental management agency won’t get paid if you don’t get paid. Conversely, if it’s based on ‘rent due’, then you pay whether or not rent is received from the renter normally.
Fixed Fee Contract
Some agencies may charge, say,$75- $150 per month fixed rate. There is nothing dictated bylaw in this; it’s decided by the firm owner.
You wouldn’t owe money on a fixed rate agreement usually until rent is received.
QUESTION: How Should a Residential Property Company Assist an owner with Home Standard Maintenance?
Rental agents are in charge of managing preventative house maintenance to keep your house in top notch condition. Some of things that can be under consideration:
- Direct and oversee a company maintenance team
- Create a preventative maintenance policy to identify and deal with repair needs
- Locate a team of licensed, bonded and completely insured contractors who have been reviewed for fair bidding and excellent work that is up to code.
- Delegate work to various parties such as (in-house employees, handyman and professional contractors) based on who will do an excellent job for the best price.
- Oversee outdoor areas
- Debris and snow removal
- Disposing of garbage and debris
- Set up and oversee a 24 hour emergency repair hotline
- Larger renovation or rehab projects
- Take care of recommendations on how the project can maximize rental income.
- Take responsibility for initial pricing estimates
- Get multiple independent bids for the work to be done
- Act as general contractor managing the work
Question: What do do property managers cost?
Answer: As you may guess, the answer is “it depends.” Rental management agencies vary widely, and much of the answer depends on what they do for you.. Exactly what do you want a rental agent to accomplish for you?
Normal % of Monthly Rent Contract. As a baseline, expect to be charged a usual Rental management agency between 6 – 12% of the monthly rent of the house. This is called a management charge, or monthly management fee. Usually the greater your rent is, the lower the percentage fee is. For example if your rental charges are $2,500 per month for your rent house, you will typically pay a lower percentage fee than another person whose home rents for $700 per month.
You do not pay this management fee until payment is collected. Look carefully at your contract regarding whether the management charge is based on ‘rent collected’ or ‘rent due’. If the fee is based on 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 pay whether or not rent is collected from the tenant typically.
Fixed Payment Contract
Some companies may charge, say,$75- $150 per month fixed rate. There is nothing dictated bystatute in this; it’s decided by the firm owner.
You would not owe money on a fixed rate agreement typically until rent is collected.
QUESTION: How Might a Home Management Firm Assist With Tenant Screening and Choosing?
Vetting Tenants- A rental agent will screen the potential renter applications to discover the tenant that is the best fit for your house. They have a reliable screening process, including running credit checks and criminal background checks, which can reduce your possibility of being accused of discrimination. Professional property managers have seen hundreds, even thousands, of tenants, so they have a good idea of how to choose the best tenants; tenants who will pay their bills on time, have a longer tenancy and create much fewer headaches. Perform a background check to verify identity, wages, credit history, rental history, etc. Assess tenant per pre-decided tenant standards Inform applicants who were rejected
Question: Should I attempt to save money by managing my home myself? Or hiring the cheapest rental agent possible?
Answer: With the best home managers, paying a little bit more can be a wise investment, because it helps enhance the value of your investment property, and they help attract top notch tenants; studies have proven hiring a house managercan cut your vacancy rate in half. On the other hand, going cheap with a leasing agency can end up being very costly.
Question: What are Miscellaneous fees made by property management companies?
In some cases, you may see some costs passed on to you – especially when the manager is charging a low monthly percentage. Illustrations might include an advertising charge in connection with placing a renter, an annual inspection charge, and some sort of reserve, so that the management company has some cash on hand to take care of unanticipated, but urgent, expenses.
You might want to look into how you split up pet deposits collected and bad check charges (generally whomever gets stuck with the most bank costs deserves the bulk of this one!) Also, notice who gets to hang onto the income from vending machines and coin-operated washers and dryers, if any.
QUESTION: Do Property Management Agencies Help With Move Out?
Yes, a Rental management Firm can Help With Move outs. Services might include:
- Inspect rental home. and fill out a document on the house’s status when the renter moves out
- Provide tenant with a copy as well as estimated charges
- Return the remainder of the damage deposit to the tenant
- Transfer left over amount of the owner’s share of the renter deposit to the owner or keep in owner reserves for work to be done.
- Clean unit and handle needed repairs or upgrades
- Re-key the locks
- Put the property back on the market for rent
QUESTION: What Inspection Services Do Property Managers Provide?
- Handle systematic inspections (Inside and outside) on a predetermined schedule looking for maintenance requirements, safety issues, code issues, lease infractions, etc.
- Prepare owner periodic reports on the condition of the property
Question: Should I attempt to save cash by going FRBO? Or hiring the least expensive rental agent I can?
Answer: With the best property agents, paying a little bit more can be a wise investment, because it helps increase the value of your home, and they help attract top notch renters; studies have shown employing a home agentcan cut your vacancy rate by 50%. Conversely, going cheap with a residential property management firm can end up being very costly.
Question: Do all rental agencies charge basically the same way?
Not every fee structures are the same. Some leasing agencies in the 23282 area might charge a fixed monthly 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 fluctuate depending on the size and number of units you own.
To illustrate, if you own a few apartment buildings, you may get a “bulk” discount that a person with a single investment property or apartment might not receive.
Question: What are typical procedures regarding Late Payment Charges?
Sometimes tenants pay date. Look at your paperwork to see if those late payment fees go to you as the owner, to the property management company, or are shared somehow.
Question: Do all residential property management charge basically the same way?
Not all fee structures are identical. Some residential property management in the 23282 area may charge a fixed monthly rate – which again differs according to area, activities performed, and the total value of the property – while others charge a percentage rate, as noted above. Cost can also differ depending on the size and quantity of houses 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: Do leasing agencies help with evictions?
Some renters are flakes. Some get fired and become unable to pay their rent, while others prove to be irresponsible and a disturbance or pain in the neck at your property. Most likely a unit manager will levy a fee to go through the laborious process of evicting a tenant which is usually around $300-$600 per eviction, not counting any relevant courtroom costs.And an evictioncan last a couple months, so be mentally ready to not get any rental payments until they the legal action is complete. On top of that, you may find there is repair work to be done on your unit.
Generally speaking, you are better off providing your renter financial reasons to vacate the home early and skip taking them to court, as aggravating as that is. You can avoid many difficult situations with painstaking renter vetting done beforehand.
Question: What do Inspections of my home cost?
Some residential property management will charge for inspections, others will give you an inspection or more free per year. This is a visual inspection of your home to see how the tenant is keeping it up. Charges can range from $50-225 per inspection.