If you’re committed to your investment goals, finding a great property manager to support you is a must. Rather than simply just collecting rent, property managers should take an integral role in the financial success of your investment.
Unfortunately, not all property managers are made equal. In some cases, using a property manager who is not up to scratch can lead to a variety of hassles for you and your investment including:
- High vacancy rates
- Reduced returns and declining property values
- Frustrated and angry tenants
- Maintenance fatigue
It can be tricky to determine the factors that made a property manager a good fit for your property, especially if you don’t have much to compare it to. We’ve put together a handy checklist so you can find the right fit to help you reach your investment goals.
Great property management checklist
One of the key aspects of property management is being the first point of contact for both tenants and landlords. Excellent communication skills are therefore a major factor in creating and maintaining a relationship with them.
Your property manager should be able to deal with any issues that occur in a clear, fast and concise way. This is essential for mitigating problems as they arise. On the other hand, you should be able to easily contact them and feel like you’re being kept in the loop at all times.
Your property manager should have enough industry experience to have developed the necessary knowledge and skills to make informed decisions about your investment. Purchasing a property is one of the most expensive investments you will make in your lifetime. You wouldn’t trust an 18 year old with $500,000 worth of shares so why would you trust one with your investment property? An experienced property manager will have developed all of the necessary knowledge and skills to make informed decisions about your investment.
Low staff turnover
Unfortunately, the property management industry is known for having a high staff turnover. It can be frustrating for you to have a point of contact that is always changing, and furthermore, it can be a red flag if property managers are continuously leaving an agency.
While your property manager doesn’t need to be a financial expert, having an investor mindset is important if you want to see great returns. They will need to have a good understanding of the market so that they know the value and potential rent of the property. Your property manager should also be focused on continual education and staying up to date with all of the latest market trends.
Requesting a rental appraisal from your current or potential future property manager will help you get a sense of their market knowledge. By providing them with some simple information about your investment, they should be able to tell you:
- How your property compares to others in the suburb in terms of rental value
- How your location increases (or decreases) attractiveness to tenants
- How much your property should rent for.
If your property manager has an in-depth understanding of the local property market, they should be able to take a proactive approach to your investment. This will allow them to constantly search for ways to improve the returns on your property investment, for example, knowing when to increase rent in line with market demands.
Switching property managers
So what do you do if your property manager isn’t up to scratch? Quite simply, it might be time to start looking for a new one.
If you’re locked into a contract, you will have to wait until it has lapsed to start with a new agency. However, it is usually quite a simple straightforward process to change management.
Once you’re ready, switching your property management is often as simple as giving notice. If you’ve already chosen your new agency, they should manage this process for you, including communicating any changes if you have current tenants.
The Access Property Management Difference
At Access PM, we’re committed to managing your investment property and helping you get maximum returns. If you’d like to find out more about how we can help you reach your financial goals, request your free rental appraisal here and we’ll let you know how much your property could be renting for.