No matter if you call them a Rent My House, home management firms, or rental property management agencies….it all means the same thing. The focus is usually on residential properties (but commercial property management companies are out there certainly. Property rental agencies serving the Midtown area offer a variety of services to help you renting your house. It’s an overwhelming punchlist of jobs that a top notch Rent My House will deal with; in fact (if you’re a great follow through kind of people person, you might even want to look at 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?”
Real Estate Property Management RESPONSIBILITIES
- What the owner truly wants: “Rent My House”!
- Find a renter
- Deal with legal contracts
- Keep you out of jail by helping you obey government housing laws
- Open your house to possible tenants in order to rent your house
- Handle move in and move out
- Collect rent and get you paid!
- Handle follow up if payments are late
- Help with evictions
- Respond to tenant inquiries
- And so much more.
It’s everything from A to Z! Points to think about if you are asking if you maybe should rent your house on your own or hire a Rent My House near the Midtown area.
IS THERE THE MONEY TO PAY A Rent My House ?
You’ve figured out that goodleasing agentswho provide services to the Midtown area in Richmond aren’t without cost.
Residential property management companies will charge a fee, on average, between 5% and 10% of the monthly rents for the house. The typical fee for a single family investment is estimated at 8-10%. The cost for a property of 10 units or more is on average between 5% and 7%.
If your home is empty, it’s not unusual to pay a lease up fee to locate and place a new renter in your rental home. Depending on the property management company this can fluctuate from 50%-100% of a 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 renter could mean you 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 THE TIME TO CARE FOR YOUR RENTAL HOME in the Midtown area?
If you are employed at a full-time job while you are dealing with a investment home and simply cannot give your your rental home the focus it needs, the profitability of your investment may depend on hiring a good property management company in Richmond
Additionally, realize that time is money and overseeing a rental property takes time. If you feel like the real life requirements of leasing management are stepping on on time that could be more enjoyably spent making more money at your day job, or searching for other properties, employing an outside property management company may be the smartest move for you.
WILL YOU HAVE THE AVAILABILITY TO CARE FOR YOUR RENTAL HOME near the Midtown area?
If you are employed at a full-time job while you are investing in a rental home and simply can’t give your your rental property the energy it needs, the viability of your investment may depend on paying for a good property management company in Richmond
Also, realize that time is money and managing a rental property takes effort. If you feel like the day to day duties of rental management are impeding on time that could be better spent making more money at your day job, or hunting down other investments, employing an outside property management agency may be the smartest move for you.
HOW MANY RENTAL HOMES IN Midtown DO YOU HAVE TO MANAGE?
As the number of investment properties you own multiplies, so does the time it takes to manage them. The more tenants you have, the more maintenance concerns, tenant complaints, and empty properties you will have to handle. Additionally, if your properties are spread across multiple areas, your energies committed will multiply as you will have to take care of the cash flow of each single investment home as well as drive from property to property to handle problems.
HOW MANY RENTAL UNITS IN Midtown DO YOU OWN?
As the number of units you own multiplies, so does the time it takes to manage them. The more renters you have, the more maintenance issues, renter headaches, and empty properties you will have to deal with. 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 issues of each single investment home as well as drive from property to property to deal with concerns.
HOW CAN A RESIDENTIAL PROPERTY MANAGEMENT COMPANY HELP ME MANAGE MY HOUSE IN Midtown?
Property managers who service the Midtown area will do a number of things for you as the home investor, which could include the following areas:
HANDLING WRITTEN AGREEMENTS
Many managers are responsible for setting the length of the agreement and making sure it has all the required clauses to protect the owner. This includes determining the total of damage deposit required.
RE-LEASE YOUR HOME
Once agreement expires get current renters to extend their rental contract for one more rental period
Nearly all managers are paid to oversee maintenance requests, noise disturbances and possess the necessary contacts to handle emergency situations.
Deliver accounting services Make payment for the owner (Mortgage, insurance, homeowner association dues, etc.) Specific accounting of expenses via invoices and receipts Manage all past documents (paid invoices, agreements, inspection documentation, warranties, etc.) Oversee annual reporting, structured for tax purposes as well as needed tax documents including a 1099 form Advise owner on relevant tax write offs related to their investment property. Prepare easy to read monthly cash-flow documents which specify a detailed accounting of income and detailed expenses
At times when there is a problem required, the rental manager must handle it themselves or will contract with someone to take care the problem it. They sometimes have a screened list of reliable carpenters,plumbers,electricians and other types contractors.
A key responsibility of the leasing agents is to manage tenants. They are involved in many roles, from locating the tenants and dealing with issues to initiating the eviction process.
PROPERTY MANAGEMENT COMPANIES HELP YOU SET MARKET RENTAL RATE
Rental managers are responsible for determining the initial rent level, and collecting payment from renters. Good rental managers know how to set the market rent level toattract renters to your rental property. They hopefully have a specific understanding of the Richmond area, where the home is located and have reviewed at comparable properties in the general Richmond area.
At times when there are repairs required, the property manager may attend to it themselves or must hire a third party to take care the issue it. They sometimes have a vetted list of licensed electricians,carpenters,plumbers and other types contractors.
IN CHARGE OF OTHERS
Other Employees- if there aresome employees in the unit, such as a desk clerk or security guard, the rental manager is responsible for being sure they are on their toes. The rental agent often will set their compensation and possibly fire them.
RESPONSIBLE FOR TAXES
The rental manager will assist the property owner with understanding on how to handle taxes for the investment property. The property manager may also file taxes for the house
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.
Professional property managers are often contracted to look after vacant houses to ensure there has been no vandalism and to execute routine maintenance. They also make sure vendors and other outsourced workers are finishing their work in a reliable manner.
Professional leasing agents are frequently employed to look after vacant homes to make sure there has been no vandalism and to perform routine maintenance. They also make sure contractors and other repairmen are completing their work in a reliable manner.
IN CHARGE OF OVERSEEING 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 rental managermust operate within the established budget guidelines for the property. In particular emergency situations when the occupants or physical structure are in danger, they may take action to order repairs or likewise without further delays. Maintaining Records- the rental manager is required to complete documentation related to the house. This should include all income and expenses; lists of all inspections, signed leases, maintenance requests, any problems noted, notation of maintenance done, charges for repairs, maintenance expenses, documentation of rent paid and insurance fees.
QUESTION: How May a Residential Property Management Company assist an owner with the Tenant Move In Procedure?
- Prepare rental documents
- Affirm move in date with tenant
- Review lease guidelines with renter regarding things like rental payment terms and required property maintenance
- Ensure all agreements have been properly executed
- Perform detailed move in inspection with tenant and have tenants sign a report verifying the condition of the property prior to move-in.
- Secure first month’s rent and security deposit
QUESTION: What types of Maintenance can residential property management help with?
Some leasing agencies in the Midtown area have their own maintenance employees, full-time. Most contract this work out to miscellaneous subcontractors. Some residential property management charge a flat rate to supervise any work done by outside vendors. Some will add margin to the contractors invoice. Make certain you understand how it works with your house management firm!
Question: How much should I price shop the fees my property management company charges me?
Ultimately, engaging a investment property agent in the Midtown area is entering into a partnership. In the long run, the fees aren’t as important as the communication between you and the agent and quality of the service your manager provides. A good agency can take control of the maintenance of the property, for example, and wind up getting you a lot rental value and price appreciation than you might be possible. That said, you need to be prepared to get them the resources to do it.
Question: Do residential property management help with evictions?
Some renters are deadbeats. Some lose their jobs and become unable to pay their rent, while others prove to be flakey and a problem or nuisance at your unit. Most certainly a investment property manager will levy a charge to initiate the tedious process of evicting a renter which is customarily around $250-$500 for each eviction, plus any applicable legal charges.And an evictionmay last a couple months, so be mentally ready to not get any rental payments until they move out. On top of that, you may find there is fix up work to be done on your property.
Generally speaking, you are better off giving your renter financial reasons to leave the investment property early and skip suing them, as maddening as that is. You can avoid many difficult situations with complete tenant vetting done beforehand.
Question: Should I try to save money by managing my home myself? Or hiring the cheapest leasing agent I can?
Answer: With the best house agents, paying a little bit more can be a smart investment, because it helps increase the value of your home, and they help retain top notch tenants; studies have proven hiring a unit managercan cut your vacancy rate in half. On the other hand, going cheap with a property management company can wind up being very costly.
Question: What do Inspections of my home cost?
Some leasing agencies will charge for inspections, some will give you one or more free per year. This is a walk through of your investment property to see how the renter is treating it. Charges can range from $75-225 for each inspection.
QUESTION: What is a New Tenant Placement or “Lease up” Fee?
Some residential property management companies in the Midtown area may charge a new tenants placement fee or have a extra commission incentive for getting a renter into a lease. Afee of 50 to 100 percent of the first month’s rent for any new tenant placed is not atypical. Nevertheless, you should not generally run into significant multiple up-front fees.
Typically a placement charge is not due until the renter is secured, which means you don’t need to pay out of pocket to pay this.
Question: Do leasing agencies help with evictions?
Some tenants are flakes. Some lose their jobs and become unable to pay their rent, while others prove to be irresponsible and a problem or pain in the neck at your unit. Most certainly a property manager will levy a fee to initiate the laborious paperwork involved with evicting a tenant which is customarily ballpark cost of $200-$400 per eviction, not counting any relevant legal fees.And an evictionmay take a couple months, so be mentally ready to not receive any rental income until they move out. On top of that, you might find there is fix up work to be done on your investment property.
Usually, you are better off offering your tenant incentives to leave the home early and avoid suing them, as aggravating as that might seem. You can avoid many difficult situations with painstaking tenant screening done beforehand.
QUESTION: How Might a Property Management Firm Assist With Tenant Vetting and Choosing?
Screening Tenants- A rental agent will screen the prospective tenant applications to find the tenant that is the ideal fit for your property. They have a proven vetting process, which includes running credit checks and criminal background checks, which can reduce your likelihood of being accused of bias. Experienced property managers have seen many tenants, so they have a good idea of how to choose the best renters; renters who will pay their bills on time, have a longer tenancy and create fewer headaches. Perform a background check to confirm identity, wages, credit history, rental history, etc. Assess tenant according to pre-decided tenant standards Inform tenants who were rejected
Question: What do Inspections of my home cost?
Some leasing agencies will bill for inspections, some will give you an inspection or more without charge per year. This is a visual inspection of your property to see how the renter is keeping it up. Charges can range from $75-200 for each inspection.
Question: What are typical procedures regarding Late Payment Charges?
Occasionally renters pay date. Look at your agreement to see if those late payment charges go to you as the owner, to the leasing agency, or are shared somehow.
QUESTION: What is a New Tenant Placement or “Lease up” Fee?
Some residential property management companies in the Midtown area might charge a new tenants placement fee or have a extra commission incentive for getting a renter into an agreement. Acharge of 50 to 100 % of the first month’s rent for any new tenant placed is not atypical. However, you shouldn’t generally bump into unreasonable multiple up-front fees.
Normally 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 are Advertising Charges?
Some leasing agencies charge a advertising fee. This is an upfront fee to market your vacant house. This charge is typically $250-400. A majority of firms don’t charge this charge, so shop around!
Empty Property charge Some companies charge One month’s payment up front. You could run into this fee if you are attempting to hire the residential property management firm while the home is empty. This gives them the money to pay a real estate agent a commission for finding a renter in the property, or to pay the costs of marketing, repeatedly showing the property to prospective tenants, as well as the expense of preparing lease documents (which can take hours).
QUESTION: How Might a Rental management Agency Assist With Tenant Screening and Selection?
Vetting Applicants- A leasing agent will screen the potential tenant applications to discover the applicant that is the ideal fit for your home. They have a proven screening process, which includes running credit checks and criminal background checks, which can reduce your chances of being charged with breaking the law. Professional property managers have seen hundreds, even thousands, of tenants, so they have a better idea of how to choose the correct applicants; tenants who will pay their bills on time, have a longer tenancy and create much fewer headaches. Perform a background check to verify identity, income, credit history, rental history, etc. Grade applicant per pre-defined renter standards Inform tenants who may have been turned down