You’re not alone if you’re interested in diversifying your investment strategy by investing in real estate. But investing in real estate can be expensive and risky, so caution is advised.
Before adding a rental property to your investment portfolio, you’ll want to consider how you’ll pay for it, if your financial position is solid enough to buy an investment property, and if you have enough money set aside to handle any maintenance and repairs.
Another thing you’ll want to consider is whether you want to operate the property yourself or retain the services of an experienced property management firm to manage it for you. Property managers typically charge anywhere from around 6% to 12% of rental value. Is it worth it?
When considering the benefits property managers offer, you’ll find that the value you get justifies whatever percentage it charges in commission. Here are some good reasons to hire a property manager for your rental property.
You’ll Get Help Managing the Day-to-Day Affairs
Do you fancy having to be on the phone all day to deal with tenant complaints or concerns? Good customer service is a must if you own a rental property. Finding good tenants takes a lot of effort, so you’ll want to keep them happy with excellent customer service.
If you don’t, they’ll be out the door after their leases are completed. A reputable property manager can be the point of contact for tenants. You can count on the service provider to ensure your tenants are treated well and that their concerns are appropriately handled.
You’ll Get Help Finding Tenants for Your Rental Property
Finding the right tenants for your rental unit takes some work. It’s essential to find a property manager with a process in place to find the most suitable candidates. This can mean asking prospective tenants about their employment history, criminal history, rental history, and more. A property manager will increase your odds of getting good tenants who pay their rent on time.
Whether you need to find your first tenant or you need to replace one leaving at the end of a lease, a property manager will prove most useful. It will know how to find tenants that allow you to enjoy the monthly rental income. Passive income is one of the benefits of property ownership. You’ll enjoy passive income without fail when you have the right tenants in your rental units.
You’ll Get Help Managing Maintenance and Repairs
Another reason it pays to hire a property manager is that you’ll get help with maintenance and repairs. Property managers have contacts with suppliers and contractors, so you won’t have to start from scratch trying to find what you need to get things done on time and on budget.
The right service provider can handle projects from start to finish. Remember that proper maintenance and repairs are essential if you want to attract and retain tenants. They’re also crucial if you want to increase your rental property’s valuation.
You’ll Get Help Marketing Your Units
Do you know how to write an effective ad? Are you aware of where to place an ad? Do you even know what your target demographic is? You might not, but a property manager does. When you hire a property manager, you’ll get help marketing your rental units to attract suitable tenants. You’ll benefit from the property manager’s expertise in marketing and advertising.
If you’re going to invest in a rental property, you owe it to yourself to consider hiring a property management firm. You can operate it yourself if you want, but there are advantages to working with a property manager that can do some or all of the heavy lifting on your behalf. It’ll be worth the investment and will free up your time to focus on other things.