No matter if you describe them as a Rent My House, 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 companies do exist certainly. Property rental agencies serving the 23220 area offer a variety of services to help you renting your house. It’s a long list of tasks that a expert Rent My House will handle; in fact (if you’re a detailed follow through kind of people person, you might even want to consider 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?”
Property Management RESPONSIBILITIES
- What the owner truly wants: “Rent My House”!
- Locate a renter
- Oversee legal paperwork
- Keep you out of jail by helping you follow government housing laws
- Show your home to prospective renters in order to rent your house
- Deal with move in and move out
- Collect money and get you paid!
- Handle collections if payments are timely
- Help with evictions
- Deal with renter questions
- And a lot more.
It’s everything from soup to nuts! Issues to consider if you are considering if you should rent your home on your own or hire a Rent My House near the 23220 area.
HOW MANY RENTAL UNITS IN 23220 DO YOU HAVE TO MANAGE?
As the number of investment properties you own goes up, so does your workload. The more tenants you have, the more maintenance concerns, renter complaints, and vacancies you will have to deal with. On top of that, if your properties are dispersed across multiple locations, your energies committed will go up as you will have to take care of the issues of each individual property as well as physically commute from property to property to handle issues.
CAN YOU AFFORD TO HIRE A Rent My House ?
You’ve figured out that goodproperty managerswho provide services to the 23220 area in Richmond aren’t without cost.
Property management agencies will charge a fee, roughly, between 5% and 9% of the monthly gross income for the house. The normal fee for a single family rental home is estimated at 8-10%. The charge for a building of 10 units or more is typically between 3% and 7%.
If your house is empty, it’s typical to pay a lease up fee to locate and place a new tenant in your investment property. Depending on the property management company this can fluctuate from 50%-100% of one month’s rent.
One thing to keep in mind: Having experienced property manager input on market rents and having a certified agent handle locating a tenant could mean you might get higher rents, which means a great leasing agent may end up covering all or part of their fee because of increased rents.
HOW MANY RENTAL HOMES IN 23220 DO YOU OWN?
As the number of investment properties you own increases, so does your workload. The more tenants you have, the more repair issues, renter complaints, and empty properties you will have to take care of. Additionally, if your properties are dispersed across multiple locations, your time spent will go up as you will have to manage the issues of each single rental as well as drive from property to property to resolve issues.
DO YOU HAVE THE MINDSET TO WORK WITH TENANTS?
Is the stress of dealing with evictions, tenant complaints and maintenance concerns stressful for you? Rental managers are experienced in dealing with landlord-tenant difficulties. Rent My House have an understanding of Richmond legal issues and can act as the middle-man for problems. Additionally, if the renter is aware they are dealing with a third party, they may act more cordially as well.
You do not have to pay for a property management company because you are brand new to property investing in 23220, have a lot of rental units or are having difficulty filling vacancies. Many people manage their own homes. Personal experience can often be the best instructor and everyone has to begin learning somewhere. If you educate yourself about residential real estate, ask the advice of others and have a powerful desire to oversee your home with excellence, its likely, you will come out on top.
HOW MANY INVESTMENT PROPERTIES IN 23220 DO YOU HAVE TO TAKE CARE OF?
As the number of homes you own increases, 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 dispersed across multiple areas, your time spent will go up as you will have to take care of the cash flow of each single rental as well as travel from property to property to handle concerns.
HOW WILL A PROPERTY MANAGEMENT COMPANY HELP ME MANAGE MY HOME IN 23220?
Rental management companies who service the 23220 area can do many things for you as the homeowner, which could include the following areas:
RESPONSIBLE FOR TAXES
The rental manager can help the house owner with understanding on how to file taxes for the home. The leasing agent might additionally mail in taxes for the house
At times when there is a problem needed, the leasing agent may handle it themselves or must employ an outside firm to take care the problem it. They often have a screened black book full of experienced plumbers, electricians, carpenters and other contractors.
INCREASING OR ADJUSTING RENT:
The leasing 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.
OFFER GENERAL REAL ESTATE ADVICE:
Chat with you about the positives and negatives of different policies such as accepting various animals, allowing smoking etc. A few things are very particular to the Richmond market, so having a local area expert who knows the 23220 area in particular is critical.
A key responsibility of the leasing agents is to oversee renters. Agents are involved in many roles, from identifying the tenants and addressing problems to beginning the eviction process.
MANAGE MAINTENANCE AND MINOR UPGRADES
Property managers are oftentimes in charge of the physical management of the property, including scheduled maintenance and unexpected repairs.
PROPERTY MANAGERS HELP YOU DETERMINE THE CORRECT RENTAL RATE
Leasing agents are responsible for setting the initial rent level, and collecting rent from renters. Top level property managers know how to set the correct rent level todirect tenants to your home. 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.
DEALING WITH LEASES
Many they are responsible for determining the duration of the lease and ensuring it has all the necessary clauses to protect the owner. This includes deciding the total of security deposit needed.
SUGGEST AND SUPERVISE VENDORS
Rental management pro’s should be capable to recommend vendors to do repairs and cosmetic improvements that maximize monthly rent while providing great return on investment.
KNOWLEDGE OF LANDLORD-TENANT LAW AND FEDERAL REAL ESTATE LAW
A experienced leasing agent should have a thorough understanding of statewide and federal laws regarding the ideal methods to: Screen the applicants. Escrow damage deposits Terminate a rental agreement Evict a tenant Obey with home safety standards Give input in the occasion the event of a legal action or litigation Refer owner to a seasoned attorney when required Understand and abide by the most recent local, state and federal laws that relate to renting and maintaining investment properties.
Professional rental managers are often engaged to look after empty homes to make sure there has been no vandalism and to execute routine maintenance. They also make certain vendors and other repairmen are finishing their work in a timely manner.
Provide accounting services Handle payments on behalf of the owner (Mortgage, insurance, HOA dues, etc.) Detailed records of expenditures via invoices and receipts Manage all past paperwork (paid invoices, agreements, inspection documentation, warranties, etc.) Deliver annual reports, structured for tax needs as well as required tax paperwork including a 1099 form Counsel owner on appropriate tax deductions related to their rental property. Deliver simple monthly cash-flow documents which offer a detailed accounting of income and itemized expenses
DEALING WITH MOVE OUTS
When a tenant leaves, the agent is responsible for inspecting the house, looking for damages and determining what amount of the security deposit willl be returned to the tenant. After move out, the agent is in charge of cleaning the property, fixing any issues and finding a replacement tenant.
DEALING WITH PROBLEMS
Nearly all they are paid to oversee maintenance requests, noise issues and have the required contacts to deal with difficult situations.
QUESTION: How Might a Rental Management Firm help an owner with the Tenant Move In Process?
- Prepare leasing agreement
- Confirm move in date with applicants
- 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 renters sign a report verifying the condition of the property prior to move-in.
- Secure first month’s rent and security deposit
QUESTION: What are Marketing Charges?
Some rental agencies charge a marketing fee. This is an upfront charge to market your vacant unit. This charge is typically $250-400. Many agencies don’t charge this charge, so shop around!
Empty Unit charge Some companies charge One month’s rent up front. You could run into this charge if you’re trying to hire the rental agency while the unit is empty. This gives them the cash to pay a realtor a commission for finding a renter in the home, or to pay the costs of marketing, repeatedly showing the home to potential tenants, as well as the cost of preparing lease documents (which can take hours).
QUESTION: What are Advertising Fees?
Some residential property management charge a marketing fee. This is an upfront fee to market your empty home. This fee is typically $$150-450. Most companies don’t charge this charge, so shop around!
Vacant House fee Some companies charge One month’s rent up front. You might run into this charge if you are trying to engage the rental agency while the investment property is empty. This gives them the money to pay a realtor a commission for finding a tenant in the investment property, or to pay the costs of marketing, repeatedly showing the home to potential renters, as well as the cost of preparing lease paperwork (which can take hours).
QUESTION: Do Residential Property Management Companies Handle Evictions in the 23220 area?
- Preparing relevant documents to begin and complete an unlawful detainer lawsuit
- Representing owner in court
- Interacting with with police enforcement to remove tenant and tenant’s things from house
QUESTION: Will Leasing Agencies Handle Evictions in the 23220 area?
- Preparing relevant documentation to start and process an eviction action
- Representing owner in court
- Coordinating with police authorities to remove tenant and renters belongings from home
QUESTION: Do Residential Property Management Companies Help With Move Out?
Yes, a Rental management Agency can Assist With Move outs. Services might include:
- Inspect investment property. and complete a document on the home’s status when the tenant moves out
- Give occupant with a photocopy as well as noted deductions
- Return the balance of the damage reserves to the tenant
- Forward remaining portion of the owner’s share of the tenant deposit to the homeowner or keep in owner reserves for repairs.
- Clean house and perform required repairs or upgrades
- Re-key the locks
- Put the house back on the market for rent
QUESTION: What Inspection Services Do Rental Managers Provide?
- Handle periodic inspections (Inside and outside) on a predefined schedule looking for maintenance needs, safety violations, code issues, lease violations, etc.
- Send owner periodic reports on the condition of the property
Question: How much do property managers cost?
Answer: As you may guess, the response is “it depends.” Property management firms vary quite a bit, and a lot of the response depends on what a firm does for you.. Just what do you want a rental agent to do for you?
Typical % of Rent Agreement. As a baseline, expect to be charged a usual Residential property management company between 8 – 11% of the monthly rent of the property. This is referred to as management charge, or monthly management fee. Typically the higher your rent is, the lower the percentage fee is. For example if your rental charges are $2,500 each month for your rental home, you will usually pay a lower percentage fee than someone else whose house rents for $700 per month.
You do not pay this percentage fee until payment is collected. Look specifically at your contract regarding whether the management charge is based on ‘rent collected’ or ‘rent due’. If the fee is tied to rent collected, it means the Rental management agency 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 usually.
Fixed Fee Contract
Some agencies may charge, say,$75- $150 per month fixed rate. There is nothing dictated bystatute in this; it’s determined by the firm owner.
You would not owe money on a flat rate agreement usually until rent is received.
Question: What Is The Normal Term Of A Property Management Agreement?
Typically, an owner signs an agreement with a rental agency for a specific length of time – 12 or 24 months, for example – with an option to renew. Paperwork can 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 the breaking of the contract in any way.
Question: What do Inspections of my home cost?
Some residential property management will bill for inspections, others will give you an inspection or more free annually. This is a visual inspection of your house to see how the tenant is treating it. Charges can range from $100-200 per inspection.
QUESTION: Do Residential Property Management Firms Help With Move Out?
Yes, a Residential Property Management Agency can Assist With Move outs. Activities might include:
- Inspect investment home. and fill out a report on the house’s condition when the renter moves out
- Provide occupant with a photocopy as well as estimated charges
- Return the remainder of the damage deposit to the tenant
- Mail left over portion of the owner’s share of the tenant deposit to the homeowner or hold in owner reserves for work to be done.
- Turn over home and handle needed repairs or upgrades
- Re-do the locks
- Put the home back on the market for rent
QUESTION: What Inspection Services Do Property Managers Provide?
- Insure periodic inspections (Inside and outside) on a predetermined schedule noting maintenance requirements, safety concerns, code violations, lease violations, etc.
- Send owner periodic reports on the condition of the property
Question: How much should I price shop the fees my property management company charges me?
Ultimately, engaging a house manager in the 23220 area is entering into a partnership. In the long run, the fees aren’t as crucial as the interaction between you and the agent and quality of the service your manager delivers. A great company can take control of the maintenance of the unit, for example, and turn out providing you a lot rental value and price appreciation than you thought possible. That said, you need to be willing to get them the resources to do it.
Question: Should I try to save cash by going FRBO? Or hiring the cheapest rental agent possible?
Answer: With the best unit agents, paying a little bit more can be a smart investment, because it helps enhance the value of your investment property, and they help attract quality renters; studies have shown hiring a house managercan reduce your vacancy rate in half. Conversely, going cheap with a residential property management firm can end up being very costly.
QUESTION: How Might a Residential Property Management Firm Help With Tenant Screening and Selection?
Vetting Tenants- A leasing agent will review the prospective renter applications to find the applicant that is the best fit for your home. They have a reliable screening process, including running credit checks and criminal background checks, which can decrease your chances of being charged with breaking the law. Professional leasing managers have seen many renters, so they have a better concept of how to choose the best applicants; tenants who will pay their obligations on time, have a longer tenancy and create less problems. Perform a background check to verify identity, salary, credit history, rental history, etc. Grade tenant in relation to pre-defined renter criteria Communicate with applicants who were turned down
QUESTION: How Can a Rental management Company Help With Renter Vetting and Selection?
Screening Tenants- A property manager will review the potential renter applications to discover the applicant that is the ideal fit for your home. They have a reliable vetting process, including running credit checks and criminal background checks, which can decrease your likelihood of being accused of bias. Experienced property managers have seen hundreds, even thousands, of renters, so they have a better concept of how to choose the right applicants; tenants who will pay their rent on time, have a longer tenancy and create much fewer issues. Perform a background check to confirm identity, income, credit history, rental history, etc. Evaluate tenant in relation to pre-defined renter criteria Communicate with applicants who may have been turned down