What Makes A Great Property Management Company

Question

I am full-time Property Manager/Broker in Florida and manage approximately 350 SFR's. Would like to get your thoughts.

So I read a lot of posts that seem to indicate that the quality of Property Management companies is a large factor for many people choosing to self manage, or they have a Manager that they are unhappy with. I'm curious to know, for self-betterment, what the ideal Property Manager would be for some of you. We are always looking to improve our company, and I feel like you guys are a perfect group to ask.

If you have already hired, or would hire, a Property Manager, what would you expect from them? Assuming that the company charges "standard rates" for your area, what should be included in their services? What is important to you, as an investor, in regards to managing the investment for you? What would make it "worth it"?

Cal C. · Answer

Here is what I'd like to see.

The ability to accurately judge rental rates.

Proactive on repairs.  Basically don't fix anything that doesn't need fixing but don't miss anything that needs fixing, especially something which would have been cheap to repair initially but expensive if missed/skipped.

The ability to rent appropriately priced houses quickly.

Continuous communication with both owner and tenant.

A long list of quality contractors available for a good price with timely response rates.

No upcharges.

Honest evaluations of rental units.

Treating my property and my money like your own.  I don't want to be pennywise and pound foolish yet I don't want to spend money needlessly.

Know the difference between adequate flooring, painting, etc.. and overkill.

Acknowledgement that this is not a one time thing for a few months.  This is a long term relationship which involves trust on both ends.

Paying the owner ASAP.

Knowing that the PM is in charge and the tenant is not.  Knowing when to compromise.

A deep understanding of the local jurisdiction and the laws pertaining to PM/Landlording.

Eugene Kemp · Answer

Two words.....Honest and Responsive!

I am an investor (self manage), and my wife ran her own Property Management company a number of years ago.  The industry is rife with corrupt management companies that make it very difficult for an owner to trust an unknown entity.  I also owned a condo in a college town (Auburn, AL), and found the easy money available there tended to make for very poor and very expensive management.  Just my .02  Hope it is useful to you.

Jason McGuire · Answer

Thank you for the great responses. I feel like we have a good system in place from a management perspective, but I always like to see what the other side thinks is important as well.

Johnathan Alesso · Answer

I recommend that you seek references from experienced investors.  I've had very dismal experiences with a property management company and hope to never endure another similar ordeal in the future.  Be aware that many companies do not attempt to engender smooth relations with the tenants; many simply collect rent and badger the tenants when payment is late.

I personally have had success with individual property managers who do not work for a larger company.  They tend to foster harmonious relationships with the tenants by getting to know them and their situation.  By simply understanding the tenant's payday schedule you can structure your bill collection accordingly and avoid a tremendous amount of headache.

Tyrus Shivers · Answer

For my company we are responsive. That means inquires get answered same day usually and maintenance items are taken care of as quickly as possible. Also our documents are very detailed and it takes the guess work out. We strive for a great experience for everyone involved and we stick to the letter of the agreements and have found that it cuts down on emotions and he said she said.

Carrie Hiner · Answer

Great question.  I'm in property management myself - Austin Texas.  We've had great success in attracting + retaining good tenants and owners by providing an easy to use online portal.  All applications and rent payments are made online.  Residents submit service requests online.  Property owners can check account ledger online as well.  The process makes leasing a unit efficient (quick to screen + pay app fees) and helps us maintain 100% rent collection.  www.MorrisGreenProperties.com

What Makes A Great Property Management Company

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