27 Dec Property Management Responsibilities
Property Management Responsibilities
For any landlord looking to free up their time, hiring a property management company is the best solution. However, property management responsibilities can vary greatly from one company to the next. Which is why it is so important to get acquainted with what a property management company does. That is, if you are looking to hire the right one. Sure, their function is to take over managing your rental property, but what exactly does this include? Most work to maximize the financial return you will receive. And most also handle everything from maintenance and repairs to selecting the right tenants for your property. Before you hire a property management company, it’s best to know what tasks they perform. With this in mind, we offer some insight on the responsibilities of a property management company.
Marketing The Property
A property management company’s primary function is to maximize the financial return an owner receives from their property. To do this, a property manager undertakes a variety of activities, one of which is marketing. Marketing a vacant rental is more than posting it online and calling it a day. In fact, to obtain the best rental rate, a property manager must first analyze the market. This includes an analysis of the location, the property, and comparable properties in the area. With this information a property manager can set the right rent level and suggest cost-effective amenities. This can include things like new appliances, extra parking, or other amenities that will attract prospective tenants. And, to gain a competitive edge over other properties in the area. When a property manager understands the market, they will also know how best to reach and attract the right tenants.
Managing The Physical Asset
Physical management of the property is another core responsibility of a property management company. This includes direct involvement in the operation and maintenance of the rental property. From providing contractually required maintenance to implementing a system of preventive maintenance. All good property managers assure compliance with all applicable codes. And, keep the property in safe and habitable conditions by ensuring regular maintenance is performed when needed. This also includes, emergency repairs.
Managing The Budget & Maintaining Records
Typically a property management company keeps the financial records for the property. This includes documentation of rent receipts and operating expenses of the property. As well as, accounting for the deposits into and disbursement from the trust accounts. Included among the records of the operating expenses include work orders for repairs and maintenance and invoices for goods and services. Other items include a list of all inspections, signed leases, tenant complaints, and maintenance requests. All good property management companies operate within a set budget. The only exception here, is in certain emergency situations.
Managing tenants is another key responsibility of a property manager. To be successful one should look for a property management company that is involved in all areas including:
- Finding Tenants
- Screening Tenants
- Handling Leases
- Handling Tenant Complaints
- Taking Care of Emergencies
- Dealing with Late Rent Payments
- Dealing with Rent Rate Increases
- Doing Move Ins and Move Outs
- Dealing with Evictions
A property manager represents the property owner in negotiations with a variety of individuals. The property manager is responsible for setting the right rent level. To do this, they analyze the market where the property is located and look at comparable properties in the area. Additionally, they ensure optimal cash flow by setting a date to collect rent. And, strictly enforce late fees. Adjusting the rent is something a property management company will do from time to time. They will either increase the rent or decrease the rent. For rent increases, a property manager will raise the rent by a fixed percentage each year. And, if they feel it is necessary, they can also decrease the rent when needed.
In summary, the owner of the property may retain a property management company to perform one or some combination of the activities mentioned. There are times the owner may want the property manager to find tenants and negotiate the rent. Or the they might require the property management company to market their property, maintain and repair the improvements, and maintain the property’s financial records.
When In Doubt
If you need help finding the right tenant, or need help maintaining your San Diego rental property, call us today! We manage all types of residential rental properties including homes, condos, multiplexes such as duplex and triplexes, and even small apartment buildings. Whether you are interested in changing property managers, or simply looking to hire a property management company for the first time, we can help. Let us manage your rental properties, so you can enjoy your life! Call us today at (858) 576-2176. We will save you time, money, and the stress that comes along with managing your own rentals.