Five Things a Property Manager Must Know
Updated: Feb 16
If you're a landlord yearning to manage your property successfully, there are a few things your property manager must know. When any landlord thinks of a rental property manager, they think of basic tasks like screening tenants, ensuring the occupancy rate is high, and ensuring the property is in stellar condition.
That said, these tasks aren't easy and require quite a bit of work. Be it their long list of responsibilities or the skills needed to succeed, here are five things your property manager must know.
1. Delegating Authority
At one point, your property manager won't be able to take on additional responsibility since they'll be managing several rental properties. A good property manager pieces together a strong team they can rely on. Most of the people they hire will have to take on some ownership and take control of the different tasks at hand.
Tenant screening, rental billing, bookkeeping, and property maintenance are tasks your property manager can delegate to their team. They'll need to hire people who share their drive to do this. This way, you'll be confident that they're doing their job the right way.
2. The Responsibilities Involved
Above, we went over the consideration that a property manager should delegate tasks to other people, but are you sure your property manager is aware of every responsibility? Your property manager must know what you expect from them. If they've been a part of the industry for a long time, they may have got the basics down. However, if they're starting out, listed below are their core responsibilities:
Setting the rent and then collecting it
Maintaining different records
Supervising different rental properties and their employees
Screening the potential tenants
Ensuring regular maintenance checks keep happening
Ultimately, every property of a landlord must have a positive cash flow.
3. Adopting Technology
If your rental property manager isn't using the software made for the job, it's highly likely they won't make it too far in the US market in 2022. Gone are the days when property management software was a luxury; it's now a necessity. By using this software, your property manager can find an efficient way for almost every aspect involved in their job.
Modern property managers have understood that technology is an integral part of their job, and now they are considering running all of their operations through a single platform. Your property manager will have to deal with a lot of paperwork if they're not using the software. Whether they're drafting a lease, collecting rent, or paying the maintenance cost, the paperwork will begin piling up if they don't have this information digitized.
They can also set up a portal on their website in which you (the landlord), the property manager, and the tenant can communicate.
4. Drafting the Lease Agreement
Every state has different laws in place for the landlord-tenant relationship. Usually, they can learn from one side to the other. You'd want your property manager to suggest landlord-friendly states as a landlord. These states will make the legal proceedings easier. Even though every property manager should know the laws that apply to the state they are operating in, you should still consider hiring a lawyer for this task.
A legal professional can put the agreement for you, or they may also review the one that you've created. This is possibly the best way to protect yourself from any landlord-tenant disputes.
5. Updating the Rental Units
Regular maintenance will let you know which part of your property needs improvement. Your property manager must first ensure that all of your properties are up to the safety and health codes. Don't let them fall into complacency. If there are any appliances that you can upgrade to increase your tenant's satisfaction, don't wait!
The property management world is fast-paced and rapidly changing. To ensure your properties perform at their optimal rate, you'll need a stellar property manager that keeps you ahead of the pack.