Tag Archives: property manager
If you’re both an investor and a landlord, chances are you have a good working knowledge of managing your own property. So, why would you consider taking on a property manager to look after your investment property for you? Well, apart from saving you a heap of time, a property manager can actually save you cash in these five ways…
1. They can save you money on general maintenance and repairs
Property managers generally have a range of connections in the home repair and maintenance business who are willing to offer their services at a reduced price for continued business. That means you would benefit from the existing relationships your property manager already has.
Discounted products and services could include anything from plumbing, electrical work, air conditioning installation, gardening and even help moving house
2. They can handle rent and debt collection
Rental properties should make money, not work! As an owner-landlord, keeping track of rent paid on your investment properties can be a strenuous task, not to mention cost you valuable time and money chasing arrears.
A property manager can handle rent collection for you, ensuring rent is paid on time and in full, before being deposited straight into your account. They can also handle the arrears process if rent is late, ensuring you don’t miss out on the income your rental property is supposed to generate, and it means you don’t have to engage an external debt collection agency.
3. They can minimise the risk you’ll lose money through bad tenants
It’s always the risk you run when renting out your property, the possibility of having ‘bad tenants’. But bad tenants aren’t just a nuisance, they’re also a drain on cash. Tenants can potentially cause damage to your property that their bond amount won’t entirely cover, and if you need to take them to court over damages, unpaid rent or other disputes, this itself can be a very costly process.
That’s why it pays to have a property manager who has a thorough vetting and screening process for any potential tenants, weeding out any trouble makers before they ever become bad tenants.
Property managers know what to look for:
- Good employment history
- Good rental history
- Finances in good working order
- No complaints from previous landlords or property managers
They also have the time to thoroughly investigate a tenant’s situation, call current and past employers, and former landlords and property managers, ensuring you end up with tenants who’ve past the test.
4. They can make sure you don’t get caught out with legislation
Property managers must know property legislation inside and out, which takes the risk out of owning an investment property for you. As part of their role, property managers need to know what makes a property legally habitable, down to all the necessary repairs to the structure and exterior of a property.
If a tenant were to be injured as a result of your property not being up-to-scratch, you could be in for a potentially very costly lawsuit.
Property managers are accredited, meaning they are required to continually improve their knowledge on insurance requirements, legislative changes, landlord-tenant law and industry market trends to ensure all clients and their properties are well protected.
5. They can help you with wealth creation
As a busy owner-landlord, there is a lot to consider when it comes to maximising the return on your property portfolio. How should you optimise the return on your investment? What strategies are there to minimise vacancies? How can you negotiate the best rental rate for your property?
Property managers are constantly monitoring the market, they’re familiar with the areas they work in and all types of dwellings. They know what other tenants are paying and what others are likely to pay. They also have the skills to negotiate an optimum rental rate as well as having the expertise to assist in further enhancing your investment.
A property manager’s whole job is managing rent, tenants, researching the market, and keeping up with legislation. They also have the tools, systems, processes and training to ensure they’re doing it in the best way possible.
At the end of the day, a property manager could save you a huge amount of time, stress and cash!
Our team would be glad to tell you more about our property management services in your area.