Many people think about buying investment rental properties but are oftentimes afraid of having to deal with all the hassles that come with being a landlord. Screening tenants, handling maintenance and repairs and the inevitable evictions are all part of being a landlord. Because of these issues, many people give up on their real-estate investment goals without ever considering all of the benefits of using a property management company.
Hiring a professional property manager Gilbert AZ service can remove virtually off of the headaches that are associated with owning rental properties, as a management company will handle all of the day-to-day responsibilities of renting and maintaining your property. Here are the major benefits of using a property management company:
Tenant Management
A quality management company will have the experience to properly screen applicants. This is probably the most critical step when considering a tenant for a rental unit, as it can sometimes seem like it takes an act of God to get a bad tenant out of an apartment. In the meantime, the tenant is living rent-free and may even be causing damage to the unit. Here is where a management company can help keep the bad apples out by running criminal background checks, checking credit histories, confirming employment and checking past rental references. Having a property management company screen your tenants will help ensure they will pay their rent on time and cause fewer problems. Additionally, tenants that are professionally screened typically rent for longer periods of time, so there will be less turnover of tenants.
Rent Collections and Evictions
Handling rent collection is the linchpin that will make or break an investment property. Mortgage costs, taxes, insurance, building repairs, and regular maintenance costs occur on a regular schedule and add up quickly. This is why consistent and positive cash flow is paramount to keeping the bills paid and the long-term success of the property. Professional property management companies are experts at making sure the rent is paid every month and in a timely manner. Most tenants understand that a professional management company has a job to do and very a no-nonsense way of doing things. Therefore, most tenants are much more likely to comply with the terms of the lease when dealing with a management company, as opposed to an owner-landlord. Additionally, when necessary, the management company will handle the not-so-pleasant task of evicting a non-paying tenant. Most states have very strict laws regarding evictions, and a professional property management company knows how to handle every step of the process.
Investing in Different Areas
Investors who manage their own properties are more or less limited to a specific geographical region close to home. However, there are professional property management companies in virtually every area of every state on the U.S. Many companies will have branch offices in other cities and states where you may be interested in investing, so you may even be able to have the same company handle all of your property investments located in the same state or across the country.
Property Management Company Costs
Because hiring a professional property management company will save you from having to screen tenants, free you from having to make repairs, collecting rent, fighting with tenants over enforcing lease term and dealing with evictions, in the end, you may actually come out ahead financially.
At Premier Business Investments, we are a professional property management company that has years of experience getting paid to be the bad guy. With Premier Business Investments as your property manager, you will never have to deal with the hassles of being a landlord. Our fees are very reasonable and can be less than the cost of having to evict just one bad tenant, and because we are so good at what we do, that is an expense that rarely occurs. Call us today to see how much time, money and hassle we can save you by taking the burden of managing your investment rental property off your back.
If you have a property manager, you do not have to learn everything about the area where your investment is located. Your property manager should be able to advise you and market your property based on where it is located. They should also be able to assist you with the maintenance of your property. Hiring a residential property management company allows you to invest in markets that align with your personal investing goals. You will not be limited by any geographic barriers.
Maintenance requests are often a difficult thing to deal with. It’s inevitable that some appliances and systems will break down at some point. If you respond to your tenants’ maintenance issues in a timely manner, you can reduce the tenant turnover rate. A property manager will handle all of your tenants’ requests and solve any maintenance issues.