Owning a rental property is a significant investment requiring regular and efficient management to ensure promising returns. However, being a landlord requires a great deal of time and effort, and this is where the services of a property manager come into play. These professionals can assist you in managing your property with relative ease and utmost efficiency. But before you entrust your valuable asset to someone else, it is critical to ensure they are the right fit for the job. This article will guide you through some of the top questions we recommend you ask before entering the hiring process for property management companies in Fort Collins.
The Importance of Getting the Right Property Manager
Hiring the right property manager will provide a plethora of benefits in the long run, including:
- Get tenants faster
- Keep your property financially competitive
- Stay compliant with market and legal regulations
- Gain greater data insights
- Avoid legal headaches and bad tenants
- Improve communication
- Collect rent easily and in a timely fashion
- Enjoy more free time and less stress
- And more!
Hiring the right property manager is crucial for the success and growth of your real estate investment. An experienced and skilled property manager can efficiently handle various aspects that will avoid potential issues and enhance the value of your property, while making the entire process of being a landlord simpler and stress-free.
Here are some of the questions that you should ask to ensure a potential candidate is a good fit for managing your property.
What is your experience in property management?
This is a great question to start with, and it will help you gain an immediate insight into the company you are considering as well as the agent you’re communicating with. A property manager with extensive experience will help you keep peace of mind as they’ve “been there, done that” with practically any ownership obstacle that might come your way. Be sure to understand the experience of the property management company as well as the individual agent, if you are assigned one particular individual. A good follow-up to this question is whether they have experience in the area where your property is located.
What kind of properties and how many?
This one is a double-edged sword. It’s smart to ask a potential manager about the types and number of properties they currently manage. A well-performing property manager shows that their current clients trust them, while a property manager with fewer clients might be a sign of inexperience or unhappy clients. In a similar vein, knowing which types of properties they manage will help you gauge whether they are experienced with the type of property you own.
Can you provide references?
Remember that property managers are vying for your business. And, just like most job interviews, be sure to ask for a couple of references from past clients or other property professionals that they’ve dealt with! Be sure to speak with each directly rather than just receiving written references.
What percentage of tenants renew?
Another great insight into a property manager’s performance is whether tenants tend to renew or not. When tenants renew, it is a good sign that they feel respected and well looked after.
What services do you offer?
All property managers offer different services for different fees. Be sure to understand the full extent of what the property manager is offering so that you can ensure they will be doing all that you expect them to.
Are there any additional or miscellaneous fees?
You never want to be surprised by unexpected fees. Asking this question puts the property manager on the spot to be honest and open about anything that might be unclear such as fees for marketing units, evicting tenants, and more.
What are your monthly management fees?
This is a very important question and the bottom line for your understanding.
What is your tenant application procedure?
You should verify that a property manager will accept only the best tenants so as to ensure the longevity and quality of your property. They should be able to provide a list of criteria they check for including employment, credit, background, and references.
How often do you visit managed properties?
Experienced property managers will conduct regular, proactive inspections to identify repairs, hazards, or other problems. Health and safety checks along with tenant satisfaction should be an important consideration for all property managers.
How do you handle tenant acquisition?
It is wise to know whether the property manager will handle all aspects of tenant acquisition including things like, for example, viewings. Before hiring any property manager, be sure to know exactly what extent you will need to be involved.
What is your typical contract length?
This question is among the most critical. You should be very clear about what type of contract you will be signing, how long it lasts, and whether you can cancel it at any time (without fees). Being able to cancel a contract puts the power into your hands as an owner.
What is your marketing process?
Of course, you want your property seen by the greatest number of potential tenants so that you can charge a reasonable amount of rent to the highest qualified individuals. Ask about things such as email marketing, property portals, client databases, and social media.
Looking For Property Management Companies in Fort Collins?
One of the best ways to ensure the success of your property is to hire a reliable property manager. After reading through some of the questions above, you can probably tell that there’s a lot more at stake than what may appear on the surface. So while you’re conducting your own search for property management companies in Fort Collins, be sure to stick with the one you can trust, clearly answering all of your questions with full transparency.
If you’re ready to get your property on the market or if you have a few more questions before getting started, don’t hesitate to contact the real estate experts at Black Bear Real Estate and Property Management today!