Does a Landlord Need a Property Management Company?

To answer that question, yes. At least, a landlord should consider hiring a property management company. Now the question is why? What is the importance of property management and having a company do it for you? Property management companies are great for your business, especially if you have more to take on than you can handle by yourself. Some landlords will choose to maintain a property on their own, and that’s fine, but others might find it necessary to hire a property management company to help take on some of the work load.

What Does a Property Management Company Do?

A property management company will deal with tenants and prospects for the properties that you own. For example, they will save you the time and energy of showing a rental, though you can still do so as the owner. While you will have final say, a property mangement company ultimately handles the organizational side of marketing rentals, collecting the rent, and handing repairs and issues associated with maintenance. Property management companies are also independent contractors, so you technically are not an employer if you hire them to do the work.

Why Should Landlords Hire a Property Management Company?

A property management company may not be suitable for every landlord. If you own one or two properties, then you might be able to take on the work yourself. However, if you own more than a few, you might want to consider hiring a management company. Here are some reasons you might consider:

You Don’t Live Close to Your Rental Properties

You might own the properties, but if you aren’t in proximity to the locations, then it’s more difficult for you to manage them. Property management companies deal with tenants directly, including any maintenance requests, bill handling, or rent payments. If you live out of the state or even a town over, a property management company will ensure that organizational methods are met.

You Have a Busy Schedule

If you have limited time to deal with tentants directly, have a property management company help. That is their sole purpose. Devotion and time are key components to make sure a business stays afloat, but sometimes you might have other things on your plate. Whether you have limited time or you simply want to focus on the aspect of growing and developing your business (i.e. searching for new properties, building new properties, arranging fiances and renovations, etc.), then it’s nice to have a management company deal with the front end of your business while you take care of the items in the background.

Too Many Management Tasks to Take On

Sooner or later, your business might grow into something you realize that you simply cannot handle on your own. If maintenance tasks and other management tasks such as collecting rent and communicating with tentats are weighing you down, then consider a property management company. In the event you have too much going on, then it might do your business some good to consider it.

You Simply Are Not Interested in Hands-On Managment

If you love owning a business but simply do not want to deal directly with your tenants, then that’s more of a reason to hire a property managment company. They will deal with everything directly while you take on other tasks involving the backbone of the business.

Whether you choose to hire a property management team or to go it alone, it’s always important to do your research first. When choosing a management company, be sure to interview them and narrow down what key takeaways you can associate with each company. Also, look in directories, as the Internet has plenty of professional directories when searching for a real estate management company.

About the Author: Kellie is a guest contributor from Valley Brokers, a full service real estate company serving home buyers in Corvallis, Albany, and Leanon, Oregon.

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