Dec 9, 2016

Why Hire a Property Manager?

Benefits of Using a Property Manager
They can save you time and aggravation. Collecting rents, finding new tenants, making maintenance repairs, etc. are time consuming. Use high quality lease agreements. Make sure that leases are property completed.

Screen Potential Tenants
One of the biggest mistakes landlords make is by not properly screening potential new clients. It is important to properly screen them by doing background checks, credit checks, and criminal background checks. Make sure you don't rent to someone who has been evicted before! Many people are chronic poor renters 

Collect Rent from Tenants
They will collect the monthly rents from tenants. Send out 5 - day notices for non-payment of rent. Charge late fees when rents are paid late. They can act as a buffer between you and the tenants. Landlords creating a personal relationship with the tenants is a common mistake that I see. When a personal relationship exists it can be easy to 

Property Maintenance
Problems are a natural part of renting. There will be toilets that clog, sinks that flood, roofs that leak. Period inspections of the property. I have seen many clients who are severe hoarders. We've found tenants who were to have 2 dogs living at a property and they end up with 22 dogs! I've also had landlords who have found that while there were 2 tenants authorized to live in the property there were 22 people living in the rental property!

Property Inspections
Property managers perform move-in, move-out, and periodic inspections of the property on behalf of a landlord.

Property managers can also perform in-person periodic inspections. A periodic inspections are performed while a tenant is living in the property. This gives the a landlord the opportunity to know what is going on in the property. If there are serious problems then this will give you the opportunity to resolve potential issues before the tenant vacates the property. A periodic inspection should be performed prior to renewing leases.

While the Arizona Residential Landlord Tenant Act does not require landlords to perform move-in or move-out inspections it is wise to do so.

Tenant Placement
Arizona property management companies can advertise your properties across a 100+ different platforms. Let them help you find better tenants, faster. greater ability to find tenants for you.  He likely manages multiple properties, and has a system of advertising already in place.

A professional property manager is worth their weight in gold, for a number of reasons:

Property managers can be objective, when it comes to screening possible tenants.  It is rare that your manager will fall for a hard luck situation.   Property managers assess the income, debt, and other issues that your tenant has.  They will make an educated assumption, NOT BASED on emotions!  They will help you find tenants that have a greater likelihood of paying rent!

Property managers can be objective about the monthly rents. If you are asking too much for rent then your property will sit vacant and this means you are losing money. 

Professional property managers play by the rules. They are available 24/7 to resolve problems as they arise. And know the current standards and laws required of them.

Property managers have special accounts set up for holding escrow, and accounting for interest which under certain circumstances must be paid to the tenant.

A good property manager has a very comprehensive lease agreement.  And will keep you from worrying wether or not you have included all necessary details on your lease.  That offers you far more protection as a landlord than using pre-printed forms online.

Thorough inspections, both before move in and upon move out, are essential to a smooth transition. Having an experienced, objective 3rd party to conduct these inspections and insure that the appropriate follow up paperwork is completed is a must.      
And finally, property managers have a wide variety of loyal service men and women, with whom they have good relationships. They know what contractor, or carpet guy to call, when you are in desperate need of repairs. They have invested time in finding quality craftsman, who will do the work they are paid for.  And if you have ever dealt with a poor quality contractor, you will appreciate leaving the hassle on your property managers shoulders.
Property managers typically charge landlords 10 to 15% of the monthly rent.  If you value your free time, night times, and bottom line, a property manager might be worth your investment. If you have questions about whether a property manager is right for you then please contact us.