Top 5 Benefits to Hiring a Property Management Company for Your Rental

If you own real estate property that you rent out, you already know how much work it is to juggle all the responsibilities of being a landlord. Being able to share that work with someone else is an obvious reason for hiring a property management company. Additional, here are the top 5 benefits to hiring a property management company for your rental properties.

Stay Up to Date on Legal Issues:

It’s difficult to stay on top of all the ins and outs of rental ordinances and tenant’s rights. Property management companies ensure tenant and landlord rights are not violated and that all state and local laws regarding rental property are followed. To help with this, property management companies often have an attorney on staff or on retainer.

Free Up More of Your Time:

The property management company is responsible for the day-to-day operations of your rental homes. If the furnace goes out in the middle of the night, the management company gets the call, not you. They schedule routine maintenance and handle any repairs that are needed. Some management companies perform monthly inspections of your rental property to identify any problems or tenants that are damaging the property. If you are a Landlord that lives out of town then you should definitely consider hiring a property management company where your property is located.

Screen Potential Tenants:

Instead of spending your time interviewing potential tenants, running credit reports and checking references, you can spend your time on other things that you need or want to do. The property management company advertises your rentals and screens all potential tenants. Their job is to get you the best possible tenants for your rental home, and they know how to do it. Your property management company also acts as a point of contact for tenant concerns. Any issues your tenants have they would address them with the property manager. This continues to free up your time to hunt for more properties!

Collect Rent: (Top 5 Benefits to Hiring a Property Management Company for Your Rental)

This is the main method in which property management companies are paid – They deduct their fees from the rent. Therefore it is in their best interest to collect rent from your tenants. The management company collects and deposits rent on all your rental units. This cuts down on the accounting you must do on a monthly basis. Consistent rent collection is key to receiving rent payments on time, and using a property management company will help enforce lease policies if payments aren’t received. Each unit is tracked separately, so you know which rentals are making the best return and which ones you might want to sell.

Remove Unwanted Tenants:

The management company is responsible for evicting tenants for non-payment of rent or improper care of your rental property. They handle filing the paperwork and going to the court hearing, as well as the follow-up process. This is probably one of the most unpleasant landlord duties and one of the most difficult to implement without violating the tenant’s rights from lack of knowledge. If you are not a fan of dealing with court issues then you should definitely hire a property management company to handle any future legal issues.

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Key Takeaway (Top 5 Benefits to Hiring a Property Management Company for Your Rental)

So there you have it:  Top 5 benefits to hiring a property management company for your rental properties. The everyday management of your real estate properties can become quite tedious. Ongoing task include tenant screening, marketing, maintenance and rent collection, etc. It is therefore highly recommended to hire a property management company. This ensures a successful and profitable real estate business, especially as you begin to expand.

P.S.  Should you need access to legal counsel do not forget to check out our services here. We would love to help.

Other Related Links:

Landlord rights

http://www.nolo.com/legal-encyclopedia/landlords/

Property management company

http://www.allpropertymanagement.com/

Tenant’s rights

http://portal.hud.gov/hudportal/HUD?src=/topics/rental_assistance/tenantrights

Cheers!