Investing in real estate is a great way to grow your financial portfolio. Managing multiple properties on the other hand, can be quite a task for people who already have full time jobs and their own household to maintain. If you own investment properties or are considering purchasing rental properties, review the quick reference guide below. It can help you determine if and when hiring a property management company is the right move for you.
If you are a busy professional, full time mother or otherwise occupy a jam-packed schedule, property management should be something you seriously consider. Taking care of a rental property is something that needs your constant and immediate attention, especially if there are maintenance issues with the home. Being a responsible landlord means taking care of issues as soon as they arise. If your current responsibilities are keeping you from making your rental properties your top priority, it is time to consider hiring a professional to take over that job for you.
Proper maintenance means more than just making sure the appliances are working. Most states have extremely strict laws when it comes to landlord responsibilities. Being familiar with, and keeping on top of these responsibilities is key to protecting yourself from being prosecuted or sued by your tenants. The best way to familiarize yourself with the landlord/tenant laws in your state is to consult an attorney who specializes in this area. Common responsibilities include, but are not limited to:
- Keeping your rental property up to code per your state's requirements
- Taking necessary precautions to protect tenants from fire hazards
- Are there fire extinguishers in all required areas of the home?
- Are the fire extinguishers expired or malfunctioning?
- Are there enough working fire alarms in the home?
- Taking necessary precautions to protect tenants from safety hazards
- Are there any exposed electrical wires?
- Are there enough working carbon monoxide detectors in the home?
- If you have a pool, is it secured with a gate or pool lock?
If you aren't able to personally see to it that these requirements, along with any other state mandated requirements aren't being met on a regular basis, a property management company can and will monitor your investment properties maintenance issues as required by law.
If you are already living on a tight budget, being hit with the unexpected costs of a tenant refusing to pay rent can really do damage to your personal finances. Also, personally vetting possible tenants can be costly and time consuming. This can make finding the best tenant extremely difficult. Luckily, checking credit, references and financial reliability is something that property management companies pride themselves on. Not only do they have the resources to scour a potential tenant's background, they have the ability to take action at the first sign of financial trouble. Most property management companies have a team of legal experts available at their disposal for the primary purpose of protecting the homeowners' rights should a tenant default.
Property management companies are the best way to protect your investment properties. They free up your time, maintain your investment properties and work to provide you with reliable tenants. If you are considering becoming a landlord, or have exhausted your efforts to be your own landlord, finding a qualified property management is the next step you should be taking! Contact a company like Condominium Management for more information.