Guarantees- are they a requirement in order to hire a PM?

2 Replies

We have awesome guarantees, but I do wonder what investors truly think about them.

Here are the guarantees we offer to our owners:

30-day leasing guarantee

The 30-day leasing guarantee protects you from loss of income due to extended periods of vacancy. We guarantee we will screen an applicant, place the tenant and sign a lease within 30 days of the property being ready to occupy.

Lease fulfillment guarantee-start the description with this sentence.

The lease fulfillment guarantee protects you from loss of income due to an early move out by the tenant. It protects you from the temptation to simply rush someone into your property. We place tenants who will pay rent, take care of your home and fulfill the entire lease term. With this guarantee, we promise the tenant that we place in the property will stay the full term of the lease.

Eviction protection

Our eviction protection saves you from having to pay the legal fees associated with evicting a tenant. With this guarantee, you won’t have to worry about the risk and expense associated with an eviction.

Pet damage protection

Our pet damage protection protects you from extensive damage caused by pets. If we place a pet in the property and that pet causes any type of damage, we will pay up to $2,500 to repair the damage.

Sewage lien protection

We guarantee a sewage lien will not be placed on your property due to failure to pay by the tenant we place. If a lien is placed, we will have it removed and pay the cost associated with removing it.

Satisfaction guarantee

Happy owner, happy property management company. We are so confident in our service we offer a satisfaction guarantee. If you are not happy with our service, you can cancel at no additional cost.

Would love to hear your thoughts on these or any others you've come across you loved (or hated)!

Hi Cristin- this all sounds wonderful but it all comes  down to your rate .  I get none of these guarantees but pay 6%.   I’ve heard some PM’s charge greater than 20% for a fee - this should mean I’m paying over $150k for these guarantees.

I think these are nice. I would be careful about giving these guarantees if you are managing d grade areas. I don't recommend managing there anyway. As an owner I have and will never invest in d grade areas. Being a pm I understand that its not fair to dump a d grade property on a pm and want eviction protection in the hood somewhere. Furthermore I know anyone who would guarantee tenants in that part of town is new to the business and will learn not to do that as they will see what happens to there billable rate. Outside of that I don't see any issues. Maybe tell the owners they need to change to vinyl plank flooring to get the pet protection unless its birds, insects, and reptiles or get a larger deposit for that.