A successful rental property portfolio can provide many advantages for investors, like regular income and tax benefits to inflation protection, which at the moment is more apparent than ever. But there can be many headaches to deal with along the way, which is where a solid property management company comes in.
What does a Property Management Company do?
Before deciding whether a Property Management Company is worth the expense, you need to know what it is they do, and how they can take the hassle out of managing a property portfolio.
New Tenants
The vast majority of the hassles involved in being a landlord come from tenant changeovers. Property management companies oversee everything from the old tenants moving out and deposits being repaid, to cleaning up the property and advertising it. New tenants are then approved through a rigorous screening process and lease agreements signed. There is a lot of work involved in this stage of managing your property, and this only compounds with larger portfolios.
Rent Collection & Conflict Resolution
You could say that property managers serve as the front line for customer service and communication with your tenants. This includes the collection of rents to phone calls, emails and tenant feedback – both good and bad. Conflict resolution procedures will be implemented ensuring a speedy response to any issues that arise.
Many experienced landlords out there would agree that dealing with tenants’ complaints and other issues can sometimes be quite a burden and are only happy to employ a property management company to act on their behalf.
Maintenance and Repairs
Costly maintenance and repairs on your properties can be a huge drain on both your finances and your time. This is one of the main benefits of hiring a property management company like KPM Group. We have a wide range of service and tradesmen ready to look after all your needs.
Property Inspections
Most landlords will want to inspect their properties at least once or twice a year. But, depending on the tenants, this can be a pleasant experience or quite a negative one. This again is another big reason many landlords opt to hire a property manager as inspections will be carried out on your behalf. This can lead to huge savings as some issues that many tenants fail to report can be picked up early and dealt with, potentially preventing more costly damage down the road. Regular checks can also make sure tenants are abiding by their agreement with regards to things like occupancy or pets.
Evictions
Absolutely no one wants to deal with this unfortunate situation. It can be very unpleasant for all parties involved. It can also be long and tedious and very stressful. A property management company can handle all of this for you, which again can save you time and money and most importantly allow you to avoid these sometimes nasty situations.
Accounting
Another benefit to hiring a property management company is that we maintain orderly bookkeeping records. We document all income and expenses. Come tax season, we can provide the landlord with profit and loss statements along with many other reports you may require. This service can be particularly beneficial to those with larger portfolios.
So is it worth it?
Property managers offer an invaluable service to those who want their property portfolio to become a truly passive income. There is a lot of work involved unlike stocks or bonds, so delegating the day-to-day to a quality property management company is the best option.
With an established and reputable property management company you will get excellent local market knowledge enabling the speedy turnover of your properties and a large network of professionals from various industries all working together for you to cover areas such as insurance, maintenance and marketing.
You also enjoy the freedom from ‘being on call’ seemingly 24 hours a day, 7 days a week to answer any of your tenants’ questions or deal with any emergencies that may arise. In step with this, you maintain your privacy. No one wants to give out their personal contact details to various tenants. The only number they need now is your property managers.
Contact us here at KPM Group today and a member of our team will be happy to help in any way we can.
