With interest rates at historically low levels, you may be considering buying a second investment property. If the responsibilities of being a landlord are turning you off from the idea, you may want to consider property management.
If you choose to become a DIY landlord, there are a wide variety of tasks and responsibilities that come with it, including:
- Marketing Property
- Screen Prospective Tenants
- Setting and Collecting Rent
- Dealing with Repairs
- Understand Landlord/Tenant Laws
While it may seem like a big commitment, you don't have to go it alone.
"While real estate can be an amazing and financially rewarding investment, being a landlord can be a very time-intensive endeavor," said Kazantzis Real Estate Owner and Broker Andrea Kazantzis. "From finding tenants to fixing potential problems at all hours of the night, to making sure rent is paid - there are multiple aspects to owning a rental property. While some people have the skill and know-how to handle it from start to finish, a property manager can offer varied expertise to those who don't."
A property manager can help you with some (or all) of the tasks that come with owning a rental property. Maybe you're able to find and screen tenants, but want someone else to handle tenant issues, rent collection, and emergency repairs. Or perhaps, you're handy and can take care of the maintenance aspect, but need assistance managing your finances. A property manager can help you do just that - manage your property.
While there is an expense to hiring a property manager - usually 8% to 10% of the rent - you can adjust rents to cover the cost. Plus, the expense is deductible. If you're not handy or you live far away from the property, a property manager could prevent a bigger, more expensive issue down the road.
When looking for a property management company, Zillow.com says you should:
- Ask for referrals from friends, family, or your real estate agent
- Check reviews online or with a state or local apartment association
- Make a list of a few companies that may fit your needs
- Compare the fees of each company
- Check each company’s licenses and certification
- Read each company’s property management agreement
- Inspect properties currently managed by the companies you’re interested in
- Organize interviews with a few companies to see which one is the best fit
Kazantzis Real Estate now offers property management services, including:
- Setting and handling rent
- Marketing for and screening tenants
- Handling tenant issues
- Scheduling and tracking maintenance
- Managing finances and records
If you'd like more information about this service or would like help buying or selling a home, contact us today.