Owning real estate properties is one of the best ways to build your income and increase your wealth. For the most part, it provides a stream of passive revenue. However, as the owner of commercial or residential real estate, you’re also responsible for things like maintenance, repairs, tenant complaints, and more.
If you have enough properties, your passive income will eventually become income you have to work increasingly hard for. Whether you have one property or 10 properties, there’s a viable solution. Have you considered investing in real estate management services?
They can help you manage every aspect of your property. From attracting new tenants and dealing with rent payments to conducting maintenance and repairs, a real estate management company may be exactly what you’re looking for.
Keep reading for our top tips on how to choose the right one.
Get Recommendations From Other Property Owners
Start your search by talking to other property owners. Ideally, you should be talking to people who own the same type of property as you, whether it’s a vacation rental or a commercial office building.
Find out if they use real estate management services and what they think about the company in question. Are they satisfied with their list of services? Do they have any complaints about the real estate management agency?
Consider the Location of Your Property
Next, you need to think about where your property is located. You may have the perfect property management company on your list, but they may not cater to your area. This is often the case if you’re looking for management companies for remote vacation homes.
Find property management services in the local area that won’t charge you a bunch of extra money to take care of your property. However, if you have a remote property, this might be unavoidable.
Find Out What Services They Provide
Before hiring a company for real estate asset management, find out what duties are included in their services. For example, some companies do everything under the sun to take care of your property so you don’t have to lift a finger.
For example, real estate management services that cater to residential rentals often provided help with:
- Advertising your rental unit
- Screening tenants
- Managing tenant complaints
- Collecting rent
- Maintenance and repairs
- And more
If a real estate management company offers all of these services, find out if they’re all included in the package. Is it an all-inclusive company or do you have to pay for each service separately?
Look At Client Reviews Online
To gauge the credibility of a real estate management agency, visit their website and search for client reviews from other property owners. You should be able to find a long list of reviews and testimonials left by their past and ongoing clientele.
Are most property owners satisfied with their real estate management services? Does the company provide outstanding customer service, communication, and accessibility? Are there any red flags regarding common complaints?
Looking at client reviews can tell you a lot about a company. If you can’t find any on their website, check their social media pages. Alternatively, use Google to search for reviews of the property management company by name.
Ask About Experience and Expertise
If you’ve found a company in the right location that offers the services you need, do a little digging on their website to learn more about the business. How long has the real estate management agency been in business? What experience do the business owners have in the industry?
It’s important to invest in a company that has the experience and expertise. By providing you and your tenants with high-quality services, they can add value to your property. Follow this link to find an example of what to look for in a reliable property management company.
Verify Their Business License and Insurance
Trustworthy real estate management services take the time to become a legitimate, fully licensed company. The agency you hire should have a business license through the state, as well as a property management license.
However, because the property manages will be visiting your properties, they should also have professional liability insurance. This insurance policy provides financial protection for the property owner. If the property management team causes any damages to your property, liability insurance will compensate you to repair or replace what was damaged.
The real estate management company should also have worker’s compensation insurance. If an employee is injured on your property in the line of their duties, this coverage will pay for medical bills, lost wages, and more. Otherwise, the employee could try to hold you (as the property owner) responsible.
Ask About Service Guarantees
An extensive list of services is an attractive selling point for a real estate management company. However, services that aren’t backed with a professional guarantee don’t hold much water. If a property management agency is going to showcase its services, it must be backed by a promise to the client.
The best real estate management services provide customer satisfaction guarantees to their clients. This guarantee should be included in their contract. This provides the client with peace of mind and holds the agency accountable for providing quality services.
Compare and Contrast Pricing
Finally, when looking at real rate management services, you must consider pricing. What will the property management service cost? Do they offer discounts for long-term contracts?
However, we recommend comparing the costs of various property management services in conjunction with their other qualifying factors. For example, don’t try to save money by hiring a property manager who has limited experience and zero customer reviews.
Look for competitive prices, but remember that you often get what you pay for. Choosing a low-cost property management agency might not be worth the lack of quality provided in their services.
Looking for Reliable Real Estate Management Services?
If you own one or more real estate properties, we understand that you might not have time to manage them properly by yourself. However, if you let those properties suffer, you’re going to lose your tenants and end up with a property that’s costing you money.
Look into real estate management services that can help you provide the best properties for your tenants. And for more real estate advice and business tips, stick around and check out some of our other articles. Our blog has a wide range of helpful information for people like you.