Hiring a property management company to look after your real estate properties begins with meeting a manager and asking him/her certain questions. Interview them so you can confirm whether they are the right fit for you or not.
Landlords fail to hire the right real estate management company because they do know the right questions to ask them. Here are helpful questions that you can ask a property management company before hiring them.
Best Questions To Ask A Rental Manager Before Hiring:
1. Are You a Local or Foreign Real Estate Management Company?
It is always good to look for a local property management company because they have a better understanding of the local market and can offer customized services to their clients. It is worth noting that the real estate management industry has attracted both local and foreign management companies that compete for the same tenants. Always ask if the company you want to hire is a local company and choose the local one as long as its services meet your expectations.
2. Does Your Company Have A Permanent Office And Postal Address?
Many people have ventured into the business of managing properties so that they benefit from the thriving market. However, some real estate managers in the city do not have a permanent office or postal address for their businesses. This causes confusion and inconveniences to both tenants and landlords. It is therefore very essential to make sure the company you want to hire has a permanent office where they do their business and a permanent postal address where tenants can send checks when paying rent and other important documents.
3. What Strategies Does Your Company Use To Reach Out To Potential Tenants?
The real estate management industry is highly competitive and good property managers must have good marketing skills to be successful. It is important to make sure the company you are hiring to manage your properties has effective marketing strategies to use when advertising your rentals to potential tenants. You need to interview managers from different companies in the city and pick the one with the most effective marketing strategies. That way, vacancy rates will be minimal on your properties and you will be able to make more from your rental properties.
4. How Many Properties Are You Currently Managing?
It is very important to ask them how many properties they are managing. You want to make sure they do not have too many properties under their care for the amount of managers they have. On the other hand, if the company does not have any other property under their care, then they might not be the best in the market and you need to investigate more before hiring them. The number of properties managed by a company should be proportional to the number of employees for better delivery of services.
5. How Long Have You Been In Business?
The number of property managers is increasing day after day. It is important to ask the manager in charge of the company that you want to hire how long they have been in business so that you can tell whether it is an experienced company or not. It is recommendable to go for a company that has been operating is the city for some years and has a reputation of offering excellent services. Some of the upcoming real estate management companies in the city lack adequate experience and do not understand how the local market works.
6. What Services Do You Offer To Your Clients?
The company you are hiring to take care of your real estate investment should be able to offer all rental management services and set you free, especially if you want your investment to be a pure source of passive income. Some real estate management firms lack the skills and resources to handle all rental management tasks and expect the landlord to handle some tasks. Always go for the company that is capable of handling all rental management services and make sure your tenants are satisfied.
7. Do You Have Adequate Resources?
Rental management companies in Denver are very competitive and the company you are hiring should have adequate resources to enable them to offer you outstanding services. The company you are hiring should have adequate employees, adequate equipment, and other important items that it may need to offer quality services to you and your tenants.
8. How Do You Charge For Your Services?
Quality residential management services come at a fee and it is important to ask the company you are hiring to take care of your investment how they charge for their services. A good real estate management company is the one whose charges are based on the monthly rent collected and not the expected monthly rent. This means the company will work hard to make sure your rentals are occupied with tenants because you will only pay them for the rent collected.
9. Are You Registered And Licensed By Relevant Authorities?
One of the most important factors to consider when hiring a real estate management company in Denver is whether the company is licensed. It is important to make sure the company you are hiring is registered with the relevant authorities and is licensed to manage properties. That is the only way you can make sure your investment is in safe hands and to avoid having issues with the law enforcers.