7 Reasons Why You Should Hire a Property Manager
September 1, 2022
When you’re trying to find success as a real estate investor, one of the most important steps you can take is to build a team of industry professionals who can help you. It’s been said that “no man is an island,” and that’s certainly true in the world of real estate investing.
While it’s important to have financial professionals in your corner, one of the best things you can do is hire a property manager. If you’re questioning whether or not hiring a property manager is the right decision for you, read on to find the top seven reasons why it is! This will answer your question: “should I hire a property manager?”
Tenant screening is one of, if not the most important, steps in successful real estate ownership. Whether you’re purchasing a single family home or an apartment complex, it’s vital that you understand exactly who it is you’re renting to. That's what tenant screening services are.
Unfortunately, many real estate investors don’t really know or have the time to know what to look for. Having an established property manager on your team who knows how to dive into the finances of a potential tenant is of utmost importance. This ensures that you’re getting paid on time every time.
2.You Will Make More Money
Undoubtedly, you’ve heard that you have to spend money to make money. One of the main reasons that some investors shy away from hiring a property manager is that they don’t want to take on the expense. However, one of the biggest benefits of property management is the fact that you will make more money.
Property managers are experts in tenant screening, advertising, and every other aspect of successfully running a real estate investment. By hiring a property manager, you will have an expert that is dedicated to optimizing every aspect of your rental investment. We lease faster, catch late payments sooner, complete turnovers quicker, etc. Instead of thinking that you can’t afford to hire a property manager, ask if you can afford not to.
3.Property Managers Know The Law
You may still be asking yourself, “Is a property manager worth it?” The most important aspect of finding success as a real estate investor is making sure that you’re operating legally. While financial professionals can help ensure that you’re handling your taxes legally, it’s important to note that there are plenty of laws that pertain to the relationship between landlords and tenants. When dealing with tenants, having a property manager ensures that you’re following every law set forth by your state and the federal government.
4.Save a Lot of Time
As a real estate investor, time is money. Every minute that you spend not generating income is a minute that you’re losing money.
Do you really have time to advertise every open space that you have? Do you have time to handle showing every potential tenant around the space? Moreover, do you have time to handle all the maintenance issues that arise from owning property?
If the answer to any of these questions is “no,” then you should certainly hire a property manager. Doing so saves a lot of time, allowing you to make more money, and if you know how to hire a property manager, you will save a lot of money.
5.Maintaining the Property
Unless you’re well-versed in all sorts of building maintenance, you’re probably going to have to hire a handyman to tackle the jobs that come up during the course of property ownership. Property maintenance is a huge part of the equation when building a strategy for owning commercial real estate.
Sure, you may be able to change light bulbs, but do you have the time to do that? What about when something more significant happens? Do you have the knowledge to handle a plumbing emergency? Working with a property manager ensures that you have someone on hand who can tackle a job of any size.
6.Buffer Between Owner and Tenants
If you’re still wondering why hire a property manager, take a moment, and think about the number of phone calls, text messages, and emails that you may have to answer. This is especially true if you own a multifamily housing unit.
If the tenant in one apartment has a plumbing issue and a tenant in another unit has an electrical problem, they’re going to call you if there isn’t a property manager in place. Even worse, it will be your responsibility to field all these requests! Property managers serve as a buffer between owner and tenants, ensuring that you’re free to run your business.
Every single family home real estate investor wants to make money, but none of them want to deal with the hassle of rent collection. Depending on your personal business model, the process of collecting rent can be a headache in even the best of circumstances.
Fortunately, property managers today are familiar with online rent collection and other advances that can make the process much easier for you. Unless you’re willing to commit hours a month to tracking down tenants, collecting checks, and going to the bank, you should certainly allow a property manager to handle rent collection on your behalf.
By now, you’re probably thinking that employing a property manager is the best option for you and we have answered the question of what's a property manager. Even if you only own a single piece of residential real estate with goals to add more to your portfolio, you certainly don’t want to deal with all of those demands on your own. That's what Keyrenter Houston does.
If you believe that a professional property management service is the right choice for you, we have the systems in place to handle it for you and have helped many Texans manage their properties. Contact Keyrenter Houston today to find out how we can help you succeed.