Are you currently considering hiring a property manager? Perhaps you already have a property manager and exploring options for a new property manager. You came to the right place to learn about property management responsibilities and duties.
For this article, we are addressing offsite property management. Offsite management includes single family and small multi-family. On-site management starts to occur around 50-unit properties.
While most property management tasks are standard for small or large properties, there are differences.
Property managers are typically responsible for setting rent. Part of their responsibilities include studying the market to know the comparable rates. This includes taking into consideration the location, quality, and amenities of the property.
Regions that have cold seasons may see their rates drop during the winter. Property managers should be aware of the rent difference depending on the season.
Collecting Rent and Sending Notices
Property managers collect the rent. When rent is late, they will attempt to contact the tenants. Responsible for providing written late notices if needed.
Although late fees are standard practice, property managers typically keep all collected late fees.
With the help of software, tenants can pay online with direct deposit or credit cards. Traditional property management hold onto the collected rent until they pay out the landlords. Landlords receive their checks later in the month.
On Burbz, all payments go directly to the landlord. Getting landlords their money faster.
As tenants move out, the property manager is responsible for getting new renters. Upon notice, your property manager should start listing the rental property.
Property managers will advertise the property. They should list on popular listings sites. Some will use MLS but that costs extra.
As applications come in, managers will review the interested applicants. Coordinate any showings.
Sometimes property managers will hire a leasing agent. Leasing agents coordinate the entire process. They work directly with the property manager.
As applications roll in, property managers should be screening tenants. Every manager has their own unique screening process. Regardless, it should include running background reports and credit checks.
Property managers are legally forbidden from sharing the rental history reports with their clients. They can share any concerns about qualify.
One of the last verifications prior to allowing a tenant to move in is their copy of the renter’s insurance.
Maintenance and Repairs
As renters occupy your rental, expect repairs and things to break. Property managers also coordinate all maintenance and repairs. Maintenance can include lawn care, HVAC annual cleaning, and snow removal.
The property manager will coordinate when repairs are needed. They often have a handyman or contractor. Property management has their preferred network of contracts. One benefit of hiring them. However, landlords lose control of selecting their own contractors.
Be aware that landlords are typically informed after the repairs have been completed. This is a major pain for landlords. They feel property managers do not try to minimize repair costs. Management agreements include a clause allowing the manager to spend within a threshold. Learn more about those types of maintenance clauses.
Knowledge of Landlord-Tenants Laws
There are many local and federal laws when renting a property. Licensed property managers will need to stay current with the laws.
Along with Landlord-Tenant laws, local municipalities have their own laws.
Managers need to know how to handle security deposits, screen tenants, terminate leases, and the correct eviction process.
Handle Tenants and Their Complaints
For most landlords, the biggest fear is dealing with tenants. Answering midnight phone calls. Ruining weekends. Hiring a property manager resolves that nuisance.
Depending on how big your portfolio is, for most landlords, this is not common. Unless it is an emergency, late-night calls are very rare.
Property managers will handle any issues the tenants are having.
Better Solution for Landlords
Are you hesitant to give up full control of your rental property? Would you like to be involved in the management?
Not only is Burbz a property software platform, but we allow landlords to hire out management to local contractors. These co-managers provide proposals based on the scope you requested. Helping you lower management expenses.
Combining local management with Burbz software, landlords have complete transparency to their management.