What to Look for in a Property Management Company

Finding the right property management company for your real estate investment can be tough. The decision making process should not be rushed, every company you consider should be assessed for credibility as well as performance. Research and interviews are a must to ensure that you separate the bad from the good companies. To help you protect your real estate investment and find the best management company for your needs, ask the following questions during the interview process.

What is your policy on vacant properties or failure to collect rent of the property?

This is a tough question. You need to know if management fees are collected if the property is vacant or if they are unable to collect the monthly rental fee from the tenant. Quality companies do not charge a fee when rent is not collected or if the property is vacant.

What type of Maintenance Policies do you provide?

Maintenance of your property is a must if you want your real estate to stay in great shape and be of the highest quality for your tenants. The management company will be in charge of maintenance service but you are the owner of the property. Find out how much input you have in how your money is being spent on regular upkeep of the property. Also determine what areas of maintenance the company covers, such as HVAC, plumbing, landscaping, etc.

How many Formal Inspections will you conduct each year?

A formal inspection should be taking place at least two times a year at each of your properties by a management company. The tenants do not need to be annoyed each month with a property manager showing up for an inspection. Find out how the inspections are conducted, who is involved and when they will take place.

When can I expect rent in my account after it has been collected?

This is a biggie. You want to be paid as quickly as possible once the rent has been collected by the property management company. Residential tenancy agreements specify how much rent is due as well as when it should be paid. The time frame in which the money is placed in your account should be relatively short based on when it was collected. Some companies will pay you a month’s rent for that given month while other companies might be a month behind. Check to see what a company offers to ensure you always have money in the bank from your properties.

What is Your Policy on Debt Collection?

Every property owner has most likely dealt with an unsavory tenant. It is not uncommon for a tenant to be behind a month or even several months in rent. Over time, debt collection will be needed to see the tenant removed from the property and the back rent paid. The rental agreement will include what is to be done on your behalf as well as the tenant. Find out how the property management company will handle certain situations to feel comfortable with such issues as debt collection.

At Latitude Properties, we want to assist you with all residential and commercial properties. Find out just what we can provide you by contacting our office today!