6 Effective Property Management Tips for landlords
Being a landlord, whether managed personally or by a property management company, can be time-consuming. In order to achieve your personal goals and avoid potential conflicts, we have laid out 6 tips to help you.
Property Management Tips for Landlords:
- Choose Property Management Wisely
- Create a Financial Plan
- Do your due diligence
- Maintain Proper Documentation
- Use the Internet
- Maintain Your Property
Choose the property manager wisely:
Research. Research. Research.
If you decide to hire a property manager, ensure you have thoroughly researched their company. Request references, detailed information on their procedures and maintain clear communication throughout the process. It is also important they can frequently update you and provide reports when necessary.
Create a financial plan:
Do your due diligence. Understand how much income your apartment is likely to generate; this can be based on the following factors:
- Location of the apartment
- Size of the apartment
- Amenities included
Do Your Due Diligence:
Although the market is unpredictable, it is recommended to have a long-term tenant, if possible, as it is a cost & time effective solution.
Ensure you are consistent with your advertising and it is targeted to the clients you are looking for. For example, if you are searching for high-end executives, investing in paid ads may be useful; however, if you are looking for students or young families, informal platforms such as a Facebook Marketplace may be a more cost-effective alternative.
Additionally, property managers generally advise to have an open and honest discussion regarding contract and expectations if deciding to rent to family/friends. This can be useful to avoid unnecessary conflict in the future.
Maintain proper documentation:
Maintaining a simple, straightforward file system for all documentation such as lease agreements and insurance plans is vital. A combination of electronic and physical storage is recommended to avoid loss or damage of your files.
Use the Internet:
In this day and age, the internet can be a very useful tool: take advantage of it! It can be useful in finding suitable tenants as well as maintenance service providers AND marketing has never been easier; you can advertise your property and significantly increase your customer reach.
Additionally, the use of different software’s for activities such as online transactions, communication with customers and screening will make your life simpler.
Maintain Your Property:
Invest in your property and ensure it is always well maintained, this will preserve your home as well as keep your tenants comfortable. An outsourced maintenance team can regularly check appearance (e.g. paint, furniture), air systems, water systems, smoke detectors etc.
A well-kept home will maximize your profits in the long-term and can help you find better suited tenants.
As a landlord, you must be willing to put in the time, effort and money to achieve your goals. These 6 tips will help you effectively and efficiently manage your property to your satisfaction.