Can anyone recommend a reliable and professional Property Management Company in NW Indiana?
Anyone has experience and thoughts on MarketPlaceHomes.com ? They seem very straight forward and charge flat fees for PM.
will appreciate any inputs.
You can start by going to www.narpm.org and search their directory of managers. These are professionals with additional training and a stricter code of ethics. It's no guarantee but it's a good place to start.
1. Ask how many units they manage and how much experience they have. If it's a larger organization, feel free to inquire about their different staff qualifications.
2. Review their management agreement. Make sure it explicitly explains the process for termination if you are unhappy with their services, but especially if they violate the terms of your agreement.
3. Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers. It may sound nice to pay a 5% management fee but the extra fees can add up to be more than the other company that charges 10% with no add-on fees. Fees should be clearly stated, easy to understand, and justifiable. If you ask the manager to justify a fee and he starts hemming and hawing, move on or require them to remove the fee. Don't be afraid to negotiate!
4. Review their lease agreement and addendums. Think of all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.
5. Don't just read the lease! Ask the manager to explain their process for dealing with maintenance or problem tenants. If they are professional, they can explain this quickly and easily. If they are VERY professional, they will have their processes in writing as verification that it is enforced equally and fairly by their entire staff.
6. Ask to speak with some of their current owners and current/former tenants. You can also check their reviews online at Google, Facebook, or Yelp. Just remember: most negative reviews are written by problematic tenants. The fact they are complaining online might be an indication the property manager dealt with them properly so be sure to ask the manager for their side of the story.
I hope this basic guide helps. If you have specific questions about property management, I'll be happy to help!
Thanks Nathan. I talked to couple of PM and reviewed their agreements. Unfortunately, those agreements are very short and one-sided and they avoid to mention any specific things about their liability/responsibilities. Market is so tight and most of the PMs have more properties than they can handle so they really don't care about updating the agreement for a small investors like me. Therefore, I am looking for reviews and recommendations from current investors who are working with particular PM and their experience.
Thanks for your note. Have you worked with PropertyBoss and/or with Olson ? If yes, can you share your experience?
@Kumar Paj Both those companies seem to be doing flips moreso than management. Have them confirm who your specific property manager is and how many units they are managing. Simply put, flips generate more revenue/profit than managing. Your property manager should be fully dedicated as their property manager, not double duty with flips.
Marketplace business model is becoming somewhat trendy. I believe it works like a Master Lease Agreement. They pay you $1,000 guaranteed and then earn the profits above. If your place rents for anything above then you are making a business decision to discount yourself for guaranteed rent. Nothing wrong with this approach but please do your research and become very comfortable with what you are getting into.
This is not to say these companies can provide great quality service, just informing you.
Dont use Olsen's property they owe not reliable at all.