What value does a property management company deliver?
At the end of the day, a property management company is a service-based company. You are not buying a product so to speak. In that regards, it is a service that you can potentially do yourself. So then, the question arises, why should I hire a property management company when I could just do it myself. Or, if I hired a company to manage my rental property, then what value can they add to my investment? First off, many people hire a management company because they live out of town and it is just not practical to oversee the rental property from a distance. Others have been managing their property for a long time and now are entering into retirement and want to be free from the day-to-day involvement of managing a rental property. Remember back to when you first got into real estate investing and envisioned a time when you could have complete freedom – not only financial freedom, but time freedom. Professional property management offers the solution helping people accomplish their goals. It offers a long-term sustainable solution to real estate investing.
Next, let’s take a look at some of the practical ways in which a property management company can offer or really create value for your investment property. A great property manager can function much like an asset manager in how they oversee and care for your investment real estate and help you to make wise decisions to accomplish your long-term objectives. They offer 24/7/365 coverage, which is huge peace of mind. They continuously monitor and track the rental market for changes and keep up with ever changing landlord/tenant law. This will ensure that you are getting the best rents for your property while minimizing vacancy as well as adhering to laws that will avoid unnecessary liability and potential litigation. The ability to respond to tenant complaints and repairs promptly minimize issues and maintain happy tenants which tend to rent longer. All of these items contribute to the value that a great property management company can bring to you and your investment. Each owner and property is unique and as such an industry professional will be able to offer tailored feedback that can help you maximize your real estate investments and reach your goals faster.