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5 Questions You Should Ask Your Property Manager

property managementIf you manage your property yourself, you will save on costs otherwise billed as “fee of property manager”. You will also be safe with the idea that your profits (and losses) depend upon your own diligence. Great!

However, the other side of the coin is that you will be personally attached to the property and in due course of time, the whole affair of management may become a stress-inducing exercise. Add to this any shortage of market or industry knowledge on your part- which is all too possible a case.

Property managers are professionalism personified

Property managers on the other hand know the market trends in and out and are fairly well versed with industry knowledge too. They know the job and unless they charge you a fortune, it might pay to stick to them (some of us who have had terrible tenancy experience will vouch for this).

What if my manager has many portfolios to look after, will he give me top priority? Nice question this. May be there are many more popping in your head. Let me produce a list of questions you must ask before hiring a property manager.

Q1. What is his experience like?

More experience means they have seen through the best and worst of previous property cycles. In other words, they may know how best to react to falling rental yields, vacancy rates and how to help you maximize on an upturn.

Q2. Will he represent you in court if required?

Sometimes, as can be with the case with dubious tenants, you may find more on your plate than you had bargained for. They may refuse to pay rent, damage your property or use it for purposes distinctly denied in the rental clause. This is just an example of a situation where your manager should be able to represent you in court.

Q3. Does the agency he represents have a dedicated department for property management?

A few agencies prioritize on the vendor’s agent part and leave property management on the back burner. It then becomes prerequisite to ask your agency if they have a specialized cell for property management. If they have, you will definitely have a heartening encounter with the professional they choose for you.

Q4. What are his charges?

Can there ever be a meaningful professional discussion where fee is not talked about? Your best bet will be those managers whose fee are limited to tenant sourcing, property management fee and charges which are generally associated with legal representations.

Q5. How does he review prospective tenants?

Does he have a questionnaire ready for potential tenants? Does he personally perform Due Diligence, attaining knowledge from various sources about the tenants (police verification, rental history and checking with past and present employers)?

You should not think twice about hiring a property manager if all these answers raise a sense of trust in you.

Have you had a disturbing tenancy experience. If yes, did your property manager come to your aid?